According to financial writer Simon Black, the federal government is spending approximately 52,000 dollars per second. This, not last years tax cuts, is the reason why the national debt has reached a record 21 trillion dollars, which is more than Americas gross domestic product (GDP).
Another ominous sign is that this year both Social Security and Medicare will have to draw down on their reserve funds to be able to pay benefits. The Social Security and Medicare trust funds will both soon be bankrupt, putting additional strains on the federal budget and American taxpayers.
The excessive debt caused by excessive spending will inevitably cause a major economic crisis. Yet, with a few notable exceptions, there is little to no desire in Washington to cut spending. Instead, both parties are committed to increasing spending on warfare and welfare while ignoring the looming entitlements crisis.
Examples of fiscal irresponsibility on Capitol Hill are easy to find. For instance, even though the Untied Stares is currently spending more on its military than the combined budgets of the next seven highest spending countries, Congress recently increased military spending by 82 billion dollars. This brings the total the US spends on a futile effort to police and democratize the world to 716 billion dollars. The US House has also recently passed a farm bill that increases spending by more than 3 billion dollars over the next five years. This bill does not take a step toward ending subsidies to wealthy farmers and even continues providing farm subsidies to non-famers! Pressure on Congress to increase spending on farm subsidies is likely to increase as famers becomes collateral damage in President Trumps trade war.
Many progressives are attacking the House farm bill because it makes some reforms to the SNAP (food stamp) program, even though the House version of bill increases the budget for food stamps by at least 1.7 billion dollars over the next five years!
When the economic crisis hits, there will be no choice but to cut spending and raise taxes. Of course, Congress is unlikely to raise taxes or cut benefits. Instead, it will rely on the Federal Reserve to do the dirty work via the inflation tax. The inflation tax is the worst type of tax because it is both hidden and regressive.
One of the worst features, if not the worst, of the tax reform plan is increasing the inflation tax by authorizing the use of chained CPI. Chained CPI hides inflations effects by claiming that rising prices do not harm Americans as long as they can still afford low-cost substitute goods to replace products they can no longer afford due to the Federal Reserves devaluation of the currency as if people forced to buy hamburger instead of steak are not negatively impacted by inflation.
Increasing federal debt will also put pressure on the Federal Reserve to keep interest rates low to prevent federal interest payments on the debt from skyrocketing. Eventually, the Feds monetization of the debt will lead to hyperinflation and a rejection of the dollars world reserve currency status. The question is when, not whether, the welfare-warfare state and the fiat currency system will end. Hopefully, those who know the truth will succeed in growing the liberty movement so we can convince Congress to gradually unwind the welfare-warfare state, restore a true free market in money, and stop trying to run the world, run the economy, and run our lives.
See the rest here:
The Ron Paul Institute for Peace and Prosperity : Spending ...
- Ron Paul Forums / Rand Paul Forums - Grassroots Central Updates [Last Updated On: February 6th, 2018] [Originally Added On: February 6th, 2018]
- The Ron Paul Institute for Peace and Prosperity : What the ... [Last Updated On: February 6th, 2018] [Originally Added On: February 6th, 2018]
- The Libertarian Party Won't Let Ron Paul Speak at Their ... [Last Updated On: February 6th, 2018] [Originally Added On: February 6th, 2018]
- Barnds brothers lawn and garden, Overland park, Kansas ... [Last Updated On: February 23rd, 2018] [Originally Added On: February 23rd, 2018]
- Ron Paul .com [Last Updated On: March 20th, 2018] [Originally Added On: March 20th, 2018]
- Aaron Paul, Ron Cephas Jones Round Out Cast of Apples ... [Last Updated On: June 19th, 2018] [Originally Added On: June 19th, 2018]
- Ron Paul presidential campaign, 2012 - Wikipedia [Last Updated On: June 29th, 2018] [Originally Added On: June 29th, 2018]
- Ron Paul: U.S. secession is already 'happening' | MSNBC [Last Updated On: June 29th, 2018] [Originally Added On: June 29th, 2018]
- Ron Paul tweets racist, anti-Semitic cartoon before ... [Last Updated On: July 4th, 2018] [Originally Added On: July 4th, 2018]
- Ron Paul Blames Shockingly Racist, Anti-Semitic Tweet On ... [Last Updated On: July 9th, 2018] [Originally Added On: July 9th, 2018]
- Ron Paul, former presidential candidate, tweets racist and ... [Last Updated On: July 9th, 2018] [Originally Added On: July 9th, 2018]
- Ron Paul: 'Trump Won' in Summit with Putin, 'Neocons Aren't ... [Last Updated On: July 19th, 2018] [Originally Added On: July 19th, 2018]
- Ron Paul warns that this is the 'biggest bubble in the ... [Last Updated On: July 19th, 2018] [Originally Added On: July 19th, 2018]
- Ron Paul disavows racist newsletters under his name - CBS News [Last Updated On: July 25th, 2018] [Originally Added On: July 25th, 2018]
- Ron Paul Exposes The Human Suffering Of "Cultural Marxism" [Last Updated On: July 25th, 2018] [Originally Added On: July 25th, 2018]
- Wikipedia Listed Ron Paul On White Supremacists List For ... [Last Updated On: August 1st, 2018] [Originally Added On: August 1st, 2018]
- The Ron Paul Institute for Peace and Prosperity : Neocons ... [Last Updated On: August 9th, 2018] [Originally Added On: August 9th, 2018]
- Ron Paul: The Mueller Indictments & The Triumph Of The Deep ... [Last Updated On: September 4th, 2018] [Originally Added On: September 4th, 2018]
- The Ron Paul Institute for Peace and Prosperity : Cant We ... [Last Updated On: September 4th, 2018] [Originally Added On: September 4th, 2018]
- The Ron Paul Institute for Peace and Prosperity : NAFTA 2.0 ... [Last Updated On: October 9th, 2018] [Originally Added On: October 9th, 2018]
- Ron Paul, Rising Political Star - CBS News [Last Updated On: November 12th, 2018] [Originally Added On: November 12th, 2018]
- Ron Paul: US is barreling towards a 50% or more stock ... [Last Updated On: November 13th, 2018] [Originally Added On: November 13th, 2018]
- Ron Paul Tweets Racist, Anti-Semitic Cartoon [Last Updated On: December 5th, 2018] [Originally Added On: December 5th, 2018]
- TNR Exclusive: A Collection of Ron Pauls Most Incendiary ... [Last Updated On: December 5th, 2018] [Originally Added On: December 5th, 2018]
- Ron Paul: Foreign interventionism isnt the America First ... [Last Updated On: December 5th, 2018] [Originally Added On: December 5th, 2018]
- Ron Paul's LANDSLIDE VICTORY! (327-98) | SVTPerformance.com [Last Updated On: December 17th, 2018] [Originally Added On: December 17th, 2018]
- The Ron Paul Revolution - Taki's Magazine - takimag.com [Last Updated On: December 17th, 2018] [Originally Added On: December 17th, 2018]
- Ron Paul: Market meltdown could spark depression-like conditions [Last Updated On: December 18th, 2018] [Originally Added On: December 18th, 2018]
- The Ron Paul Institute for Peace and Prosperity : Why The ... [Last Updated On: December 23rd, 2018] [Originally Added On: December 23rd, 2018]
- Ron Paul: US is barreling towards a 50% or more stock market drop [Last Updated On: December 29th, 2018] [Originally Added On: December 29th, 2018]
- Ron Paul | American politician | Britannica.com [Last Updated On: December 29th, 2018] [Originally Added On: December 29th, 2018]
- Ron Paul: Troops Out Of Syria And Afghanistan? That's A Good ... [Last Updated On: December 29th, 2018] [Originally Added On: December 29th, 2018]
- Ron Paul: Troops Out of Syria and Afghanistan? Thats a Good ... [Last Updated On: December 29th, 2018] [Originally Added On: December 29th, 2018]
- US needs to withdraw all troops from Mideast: Ron Paul [Last Updated On: December 29th, 2018] [Originally Added On: December 29th, 2018]
- Ron Paul: Trump's decision to withdraw US troops from Syria ... [Last Updated On: December 29th, 2018] [Originally Added On: December 29th, 2018]
- Stem Cell Therapy - Top Rated Local Stem Cell Treatment In ... [Last Updated On: January 1st, 2019] [Originally Added On: January 1st, 2019]
- The Power of Stem Cells | California's Stem Cell Agency [Last Updated On: January 1st, 2019] [Originally Added On: January 1st, 2019]
- xkcd: Secretary: Part 2 [Last Updated On: February 19th, 2019] [Originally Added On: February 19th, 2019]
- Ron Paul - Official Site [Last Updated On: March 21st, 2019] [Originally Added On: March 21st, 2019]
- GOP candidates blast Ron Paul over Iran policy. Is one side ... [Last Updated On: April 5th, 2019] [Originally Added On: April 5th, 2019]
- 'Racist newsletter' timeline: What Ron Paul has said ... [Last Updated On: April 5th, 2019] [Originally Added On: April 5th, 2019]
- Ron Paul spent $35M, yet only got 40,000 votes nationwide ... [Last Updated On: April 5th, 2019] [Originally Added On: April 5th, 2019]
- RON PAUL: Is he the ONLY candidate who can speak PLAIN ... [Last Updated On: May 1st, 2019] [Originally Added On: May 1st, 2019]
- Ron Paul - amazon.com [Last Updated On: May 1st, 2019] [Originally Added On: May 1st, 2019]
- Ron Paul TV Archives & Latest Videos | MidEast News Syria [Last Updated On: May 1st, 2019] [Originally Added On: May 1st, 2019]
- Ron Paul: False Flag Could Ignite War in Venezuela [Last Updated On: May 2nd, 2019] [Originally Added On: May 2nd, 2019]
- The Dollar Is Going to Self Destruct: Talking Bitcoin With ... [Last Updated On: May 23rd, 2019] [Originally Added On: May 23rd, 2019]
- Inside Ron Paul's Counter-Convention | Vanity Fair [Last Updated On: May 23rd, 2019] [Originally Added On: May 23rd, 2019]
- Ron Paul: Julian Assange, Political Prisoner OpEd Eurasia ... [Last Updated On: May 23rd, 2019] [Originally Added On: May 23rd, 2019]
- Ron Paul | Abortion | Pro-Life Profiles [Last Updated On: May 23rd, 2019] [Originally Added On: May 23rd, 2019]
- Ron Paul, Author at Antiwar.com Original [Last Updated On: May 23rd, 2019] [Originally Added On: May 23rd, 2019]
- Rev. Ron Moore: Three reasons to be thankful - State-Journal.com [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- What Is Happening With Rand Paul? (2019-11-28) - Biology Reporter [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- 'I dont have a facade': How Kane went from WWE icon to elected office - Yahoo Sports [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- The Conservative Establishment's Nightmare Is Only Just Beginning - Washington Monthly [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- Texas' 22nd Congressional District: History of the Seat and a Breakdown of the Current Race - The Texan [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- Getting Hot Late Is Usually the Key to Winning Iowa - New York Magazine [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- Ron Paul: The Real Bombshell Of The Impeachment Hearings OpEd - Eurasia Review [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- Americans are sick and tired of impeachment and grandstanding & chicanery of both parties Ron Paul - RT [Last Updated On: November 29th, 2019] [Originally Added On: November 29th, 2019]
- McCain conservatives are rallying behind Justin Amash - Hot Air [Last Updated On: December 27th, 2019] [Originally Added On: December 27th, 2019]
- Ron Paul: How Congress And The Federal Reserve Stole Christmas OpEd - Eurasia Review [Last Updated On: December 27th, 2019] [Originally Added On: December 27th, 2019]
- What it's like to shoot Cher, Anna Wintour and others at Met Gala - Page Six [Last Updated On: December 29th, 2019] [Originally Added On: December 29th, 2019]
- The 2019 Wypipo Awards: End of the Decade Edition - The Root [Last Updated On: December 29th, 2019] [Originally Added On: December 29th, 2019]
- Recreational bowling scoreboard - The Times Herald [Last Updated On: December 29th, 2019] [Originally Added On: December 29th, 2019]
- How Jaylen Brown and Jayson Tatum have found balance, complement each other, and propel the Boston Celtics - MassLive.com [Last Updated On: December 29th, 2019] [Originally Added On: December 29th, 2019]
- Why These Might Be The Most Competitive Iowa Caucuses Ever - FiveThirtyEight [Last Updated On: January 30th, 2020] [Originally Added On: January 30th, 2020]
- A Million Iraqis Asked Us To Leave We Should Listen - Antiwar.com [Last Updated On: January 30th, 2020] [Originally Added On: January 30th, 2020]
- How The Iowa Caucuses Work And Why They're Important | NPR - KCRW [Last Updated On: January 30th, 2020] [Originally Added On: January 30th, 2020]
- 12 Wild Hours With Andrew Yang - POLITICO [Last Updated On: February 12th, 2020] [Originally Added On: February 12th, 2020]
- Dwayne Haskins is 'All For Competition' To Be The Redskins Starting Quarterback - Redskins.com [Last Updated On: February 12th, 2020] [Originally Added On: February 12th, 2020]
- Andrew Yang makes his stand in New Hampshire - POLITICO [Last Updated On: February 12th, 2020] [Originally Added On: February 12th, 2020]
- Iowa and New Hampshire have no business leading the nomination process - The Dallas Morning News [Last Updated On: February 12th, 2020] [Originally Added On: February 12th, 2020]
- Unbuilt Portland: 4 big projects that never happened... yet - Pamplin Media Group [Last Updated On: February 12th, 2020] [Originally Added On: February 12th, 2020]
- Big Swinging Brains and fashy trolls: how the world fell into a clickbait death spiral - The Guardian [Last Updated On: February 12th, 2020] [Originally Added On: February 12th, 2020]
- Judy Shelton and the - New York Sun [Last Updated On: February 12th, 2020] [Originally Added On: February 12th, 2020]
- Pardon the Interrupters: meet the ska-punks with an InfoWars problem - Telegraph.co.uk [Last Updated On: February 29th, 2020] [Originally Added On: February 29th, 2020]
- Ron Paul: Trump Does The Bidding Of Deep State - The National Memo [Last Updated On: February 29th, 2020] [Originally Added On: February 29th, 2020]
- Health Care Is On Coloradans' Minds. This Is Where The 2020 Presidential Candidates Stand - Colorado Public Radio [Last Updated On: February 29th, 2020] [Originally Added On: February 29th, 2020]
- The immorality of US hegemony with Ron Paul - RT [Last Updated On: February 29th, 2020] [Originally Added On: February 29th, 2020]
- Afghanistan: 'Thank Allah We're Out of That Quagmire' - Consortium News [Last Updated On: March 8th, 2020] [Originally Added On: March 8th, 2020]