Debt, risk and lies

The following is a comment I posted on our friend Jill’s blogpost where she has penned an excellent letter firing the president. See below for a link. There is good back and forth between two of her followers, which is good for its content and civility, the way it should be. Since the debt came up as one issue, as a failing of many presidents including Obama, I used that as one example. These are the views of this independent voter who has been a member of both parties and defines himself as fiscally conservative and socially progressive.

Just taking the debt as one issue, while Obama will be remembered as a pretty good president, to me a key failure was to put on the shelf the Simpson-Bowles Deficit Reduction Act. Dems and Reps did not like it as for every $1 of tax increases it asked for $2 of spending cuts. Obama should have said, let’s start with this and make changes. What both parties fail to understand is we need both spending cuts and tax increases to solve the debt – the math will not otherwise work.

That was when the debt was about half of what it is now. I find the Freedom Caucus who got elected on reducing the debt the height of hypocrisy when they voted for a tax law change in December 2017 that increased the debt by $1.5 trillion – we did not need that, so now when we spend $2 trillion because of COVID-19, we have to go deeper into the well to borrow money.

On top of the many reasons not to vote for Trump (climate, environment, corruption, chaos, lying, global leadership retrenchment, et al), his cavalier short term financial focus to prop up a long running pretty good economy to be a little better for a little while was indicative of why he had six corporate bankruptcies and other failed investments. Even on the COVID-19, his primary focus has been his image, first, the stock market second (his proxy for the economy) then the people, third. This is not a recipe for good decisions and is one reason for his inconsistency.

But, at the heart of all of this, is I do not believe a word the president says and that makes me sad. All presidents lie to some extent, but this one is the most corrupt and deceitful president in my lifetime including Richard Nixon and he was a crook.

But, before we burn the government down, please read Michael Lewis’ “The Fifth Risk,” which reveals the true risk heightened by this “chaotic and incompetent” president’s White House (per conservative pundit David Brooks) and that is the gutting and hamstringing of people who know what they are doing to serve us. Could they be more efficient, always? But, for the very large part, they are dedicated public servants trying to do a good job. Lewis based his book on the required briefing materials prepared by the outgoing administration that went largely unread and not even picked up when briefings went unattended by incoming (or not even appointed) Trump people.

YOU’RE FIRED!!!

Debt and more debt

The following is a brief sample letter to the editor on the US debt problem that is being unwisely ignored. Please feel free to adapt and use if you agree.

**************************

The last time we had a balanced budget was when Bill Clinton left office, but we still had debt. Now that debt is about $21.5 trillion and is expected to grow by almost $12 trillion by 2027. The tax reduction law passed last December will increase the debt by $1.5 trillion and the spending bill from the spring will add to it as well.

The annual deficit is once again approaching $1 trillion, which is about 30% of our annual tax revenue. I believe it was poor stewardship to increase the debt with the tax change and now I understand another tax bill is in the works. We cannot cut our way out of this problem – we need both spending cuts and more tax revenue.

A day of reckoning will come and future legislators will have to address this poor financial stewardship by three Presidents and their Congresses.