Today Congress is trying to get the votes to increase the national debt ceiling yet again… right on the heels of a huge tax cut to corporations that increases our debt, and the report that the federal government had a $666 BILLION deficit for fiscal year 2017. What haven’t we seen? A group of Senators and Congressmen that are working on a budget that is fiscally responsible.
There are many issues that Senator Rand Paul and I disagree on, but the one we do agree on is very important. It is time for the United States to wean itself off of debt to run our government and to take fiscally responsible steps to thwart a national disaster. He is correct that we are heading for a day of reckoning. That is not some crystal ball forecast; that is simply doing the math and looking back at history to learn what our present situation is going to do to us.
Donald Trump has made all of his money using other people’s money. I warned everyone about that in a prior article. Debt means nothing to him because that is his “norm”. His existence is based on debt. The difference here is that the Federal government cannot declare bankruptcy like he has. But he does not care one bit. He already has his money. He can simply take his paper bag of marbles and go home.
When the burden of debt becomes unbearable, the proverbial shit-will-hit-the-fan like you have never seen before. Why will it be devastating? Because the Federal debt ($20.24 TRILLION) is presently at 108.14% of the Gross Domestic Product (GPD). (Upside down financially, like home owners facing foreclosure in the past) What does that mean? That means that we will have no money to fund any major events that will require a lot of cash. Like… the recession we recently experienced… or a major war. The war that Bush began in the Middle East, that drained us of cash and drove up our national debt, is STILL going on with no “win” in sight.
So who has better leveraged debt vs GDP? Russia and China. Russia comes in at 17.35% and China is at 47.61%. In other words, they are better positioned to handle something big. If we somehow get into a war with those two countries, we are at a serious disadvantage. Putin REALLY loves having Trump in office.
So now we are told that the military needs MORE money to keep fighting. Well folks, the military will keep asking for more and more money because there is no end of fighting in sight, there is no end-game, and there is no strategy to reverse the death spiral in the Middle East. Thus, to not “lose” we must incur more debt. That is a self-defeating prophecy because to not “lose” we incur debt that… ultimately leads to our failure.
There is a day of reckoning. There will be a point where it will be impossible to run the government because most of the money that your taxes will go toward will be to pay the interest on our debt. You see, our economy is about as good as it gets at the moment, however, it was not managed properly to pay off our debt during the climb. Furthermore, that tax cut for the rich just cut off a major part of the Federal revenue stream. Financial analysts are beginning to see the growing shadow of disaster looming ever closer and closer. If we keep spending more money as our debt keeps increasing, then when the economy tanks, there will be no buffer to stabilize it. There will be no “well” of money to borrow money from and our government has none. Our government is financially broke. That is what some of the stock market analysts are beginning to realize and they are taking steps to adjust their portfolios for that event. Folks, this is just the beginning of a national disaster that you are beginning to see unravel. I have been sounding off about the catastrophic event for a couple of years now. We are in it. It is not coming… it is here right now. Pay attention!
What can you do about it? That is very difficult to say, at this exact moment, because control is not in the hands of the people anymore. A handful of arrogant and selfish people hold the future of our country, like a giant soap bubble on the end of a round spoon, while the wind blows it around. Can you say, ‘POP!’?
I wish I could give you a positive forecast. Nobody (or any religious made-up being) is magical to make everything wonderful for you. We will be required to live through it just like we lived through a depression and a recession. Only this time, we are facing the destruction of laws protecting citizens, lack of protection of our environment, and a collapse of our core values. That is one heck of a toxic soup to swallow when a crises erupts. It can take decades to fix. Expect to see Russia and China take brazen steps to expand their control and power when that time comes. They have been preparing for years while we were depleting our strength. We have been losing a war of strategy by being stupid and selfish.
When our government fails because of debt, expect to see social services end, like Social Security, Medicare, Medicaid, unemployment, welfare, and healthcare. The upper 1% (who own part of the government’s debt) won’t give a damn about you or any other person. They will have their money, a steady cash flow (from interest payments), and you will be their slave.
I have said this before and I will say it again; I will have one giant mess to clean up when I become president. If we have any hope whatsoever at that time, I will expect you and other voters to give me a Congress that I can work with to right our course. THAT is something you can do. Let’s hope that we do not self-destruct before then.
In the meantime, you should take steps to prepare for the worse, be vocal, be active, and take steps to turn-over our Congress. If you are strong and true, then run for office. DO NOT let others laugh and say that you cannot do it. You can! If you are selfish and power hungry, then get out of our way; I won’t be easy on you.
As much as life is going to be increasingly difficult, keep your family and spirit guides close. Enjoy what you can from life and be resilient in the face of hardships. Never give up and work hard for optimism. The life you want to live will only die if you let it. This is your life… so take it and live.
Live Strong and True to be Forever,
[Music: Life is Sweet, by Natalie Merchant] <-- Click to play through Spotify