Suppose this was your household budget:
• Annual family income………………....$23,400
• Money family spends annually….....$35,900
• New debt added to credit cards……$12,500
• Outstanding credit card balance ..$154,000
• Total cuts to family budget………….......$385
Looks like the budget from hell, right? This household with its skyrocketing debt stands precariously on the brink of bad credit, bankruptcy, and ruin.
Now add 8 zeros to all of the above numbers, and you have the current U.S. federal budget (World Magazine, May 19, 2012).
Or shall we say the current financial situation of the United States. You see, we Americans haven’t seen a real budget, balanced or otherwise, in years. The Republican House under Paul Ryan recently proposed a plan that would balance the budget by 2040. The Senate shot down that plan, but offered nothing in its stead. In fact, the Democratic Senate hasn’t offered a real budget in four years. This spring President Obama sent his own recommended budget to the Congress, where in March the House defeated it 414-0. Last week the Senate followed suit by a vote of 99-0. Congress apparently found a few flaws in the president’s proposals.
Both Congress and the president have drawn up other plans for fixing the deficit. Some of our elected officials have called for raising taxes on the wealthy. This sounds like a good idea because the truly wealthy possess so much more money than the rest of us, and they probably don’t deserve it, and anyway, we need it more than they do. So goes the reasoning of some of our citizenry. But eventually we realize that the amount so raised amounts to only a pittance of the debt we owe and such an increase will result in a shift of capital overseas, leading to even less wealth and fewer jobs here at home. (If we are honest, we might also tell ourselves that some talented people have worked hard for their money and that we are thieves to steal it away).
Others call for making cuts to the budget. Some want to reduce miliatary spending and foreign aid. Why, after all, should the United States give $2 billion to Egypt again this year? Why can’t something be done about our wasteful military? Some want to cut or change social programs. Why do we require a Department of Education for the nation when every state in the union already has such a department?
Here the legislators who wish to cut programs face different obstacles than the tax advocates. They are met on one side by political opponents who decry their lack of compassion for the poor and the elderly, and on the other side by lobbyists who are all for cuts as long as they aren’t aimed at those who employ them. Try extending the age of eligibility for Social Security, and you’ll have the American Association of Retired Persons slicing you into small pieces. Propose reducing military benefits or closing overseas military bases — we have hundreds of them — and the lobbyists will take you apart.
Meanwhile, the rest of us watch, enraged at the failure of politicians to find a cure, cursing their knavery and greed. We blame them for our economic woes, for the loss of our AAA credit rating, for a federal government drunken on dollars and corrupted by power. We regard these leaders as fools, rogues, and thieves, and many of them indeed fit those descriptions.
Yet surely some of the fault lies with us. We vote these people into office; we demand they protect us from the natural ills and woes of life; we want what we want without regard to the cost. We don’t want to pay taxes and certainly don’t want to pay more taxes, yet we want food stamps, extended unemployment benefits, “free” medical care, clean air along with plenty of oil. In 2008, a radio commentator reading children’s letters to candidate-elect Obama best summed up our expectations with this line from a seven-year-old: “President Obama, please make it rain candy.” For decades we have enjoyed that rain of candy. Now the rot of that sugar is destroying us.
Some historians point to Ancient Rome as a warning for us, that crumbling empire with its bread and circuses for the poor, its failed price and wage controls, its unwieldy taxes. But we needn’t stare 1,500 years into the past to see what’s coming. We have only to look across the Atlantic at present-day Greece, Spain, and Italy, all of which are falling apart from the same construct we have erected here: burgeoning social programs, uncontrolled spending, and massive debt. We can look closer to home at California, which while being crushed by enormous debt staggers toward bankruptcy by enacting more government programs.
“Money talks, b***s**t walks,” so the saying goes. We can buy into the lies of some politicians, and we can lie to ourselves, but in the end the figures and the money don’t lie. There’s a bill coming due, and when it arrives, our arguments about taxes and government services won‘t matter. There won’t be enough of us left to tax, wealthy or otherwise, and there will be no more social programs.
It’s time for us to ask every politician, from our mayor to our president, from our senators in Raleigh to those in Washington, what they intend to cut from the budget and how they intend to make government more efficient. If they aren‘t up to the task, then it’s time to elect women and men with long knives, axes, and swing blades, courageous men and women who can chop away at the kudzu of ridiculous regulations, excessive spending, and out-of-control programs. As for the rest of us, we can either pitch tantrums like a three year old when these cuts are made, or we can suck it up and act like grown-ups.