Posts Tagged ‘government shutdown’

Obama’s Claim that Raising the Debt Ceiling Doesn’t Increase Debt

Posted by Troy on 23rd September 2013 in Current Events

Obama claimed that raising the debt ceiling doesn’t increase deficit spending.  Okay…why does one increase their debt?  So that they can spend more, right?  He mentions some story about buying a truck and then deciding to not to pay the payments.  That’s not the issue.  This is the issue:  Lets say you buy the truck.  Then it turns out that your spouse is spending more money than ever, and you can’t afford the car payments with the current level of spending.  The rational response will be to cut back on unnecessary spending.  You will still pay for the truck, but you will cancel your cable bill.  You will cut off your cell phone.  This is what the Republicans are suggesting.  What is Obama and the Democrats suggesting?  Taking out another credit card.  How would you react if your spouse refused to cut back and instead insisted on taking on more debt?  You would be pissed.  Regardless of the Democrats’ protest otherwise, microeconomics are BASICALLY THE SAME as macroeconomics.  The operations are basically the same.  Finally, does anyone buy this crap about our deficits falling too fast?  When you are in debt, anything that is deficit spending is BAD.  Half of deficit spending is still DEFICIT SPENDING!  It is still digging the hole deeper.  Until we start having MASSIVE SURPLUSES, the Democrats have NO room to talk.

Long Live the Constitution!