The National Debt: The Heroin Addiction of the American People

Discussion in 'Articles and Opinion' started by Stephen, Aug 31, 2016.

  1. Stephen

    Stephen Administrator Staff Member

    The National Debt: The Heroin Addiction of the American People

    Article from 50right.com

    Similar to heroin addiction that is eventually deadly to the user if not stopped, the growing national debt is financially deadly to America. Now at over 19 trillion dollars and addictively increasing, the American people with the national debt are like heroin junkies who constantly need to increase the dose of their drug to continue getting the desired effect.

    This is not going to be a normal article about the national debt, boring you with statistics to the point of numbness about this massive problem, and stifling any motivation to get it solved because it seems so overwhelming. This article is intended to awaken you, especially the middle class, to the point of understanding that we must begin doing something now about this monstrous problem.

    The national debt has doubled under Barack Obama from around 10 trillion dollars, coming up to 20 trillion dollars. It's not just meaningless numbers, the lenders have to be paid back.

    First, let's address the issue that some people believe the United States could go bankrupt because of the national debt. This will never happen because we have the ability to print our own money. When parts of the debt come due, if there isn't sufficient incoming revenue, and temporarily we cannot borrow, then we can just print money to pay it. Yes, we won't go bankrupt, but doing this only exacerbates the problem.

    If the time comes when nobody will lend us any more money, and so we must print money to pay all debt coming due, then it will be the end of our stable financial system. We would experience hyperinflation with our currency in overall numbers the likes of which have never been seen before in world history, including the Weimar Republic.

    Instead of responsibly solving the debt problem and tightening our belts, we are irresponsibly borrowing and spending more and more money. Similar to a heroin junkie who knows the addiction must stop, tries to get off the drug, and has withdrawal symptoms. Rather than persevere and follow thru with recovery, the junkie decides to shoot another dose, the addiction continues and the junkie's health gets worse.

    We all know the growing national debt must stop. Politicians have attempted to do something about it such as budget sequestration. However, the budget sequestration always seems to windup being circumvented in some way or practically ignored altogether, while the debt continues to rise, and our nation's financial health gets worse.

    Most middle class taxpayers have the attitude of why care about the national debt? You may think that you are not going to be the one who pays it back, so why worry about it? You figure it's not costing you anything, right? You in the middle class could not be more wrong thinking like that.

    There are many politicians out there claiming that they are not raising your middle class taxes to pay for the debt, when in reality they already have been raising your taxes big time. The government borrowing and spending money has basically the same effect as a tax increase to a middle class taxpayer.

    Let's use a premise that you are a middle class taxpayer, who over the years, paid taxes on your income. You had 50 thousand dollars lifetime savings in the bank back in 2009, and you still have the 50k in the bank today. That 50k back in 2009 would of course buy you 50k worth of goods and services at that time. But now in 2016, this 50k may only buy you around 25k worth of goods and services from that time. Using this premise, in terms of buying power which is the purpose of money, the government has taxed you around 25 thousand dollars on your savings in the bank.

    Any assets such as a house owned from 2009 thru 2016 which has not appreciated, the value of your money is also negatively affected. Your house and other assets represent savings. So your house, paid in full worth 100k, represents 100k in money that could be put in the bank if you sold it. If your house was worth 100k in 2009, and is still worth 100k today, with a rising national debt the government taxed you in the same way as if your money was in the bank.

    Hence to you, a middle class taxpayer, under our premise example, the government thru borrowing and spending money, has effectively taken away half of the value of your savings these past eight years. Essentially the same thing to you as confiscating your money with a tax.

    The premise of the correlation between the numbers 50k and 25k were used to make a point, considering that the national debt has doubled. The exact percentage devaluation of your money using various economic models, may not be half of your savings. However the amount of money value you have lost is substantial, without a doubt.

    Those federal government stimulus programs add to the debt. Stimulus is government speak for printing more money. The stimulus also acts as a middle class tax increase on your savings.

    The more money that is printed, the less value it has. Money in itself only has value as far as what it can buy. We all know that a dollar bill has much less value than it did in the past, and becomes less valuable as time goes on. A penny by itself is now worthless, it realistically cannot buy anything. A nickel, dime, or quarter by itself is near worthless. This will eventually happen with a dollar bill, then progress to the larger denomination bills, as the debt keeps rising and hyperinflation eventually takes off.

    Most people don't fully understand why their saved money doesn't buy nearly as many goods and services as it did before. For example “sticker shock” when shopping for a new car. Well now you know the reason. Irresponsible government borrowing and spending, and printing money.

    That's not the only major problem regarding irresponsible government directly affecting you. There is no social security money saved up in the social security trust fund. It is all federal government IOU's. Not only did the government increase your taxes in a sneaky manner, they also grabbed your social security savings without your permission. When you are ready to collect social security, your money will be paid back to you in the form of new money worth a lot less in actual value than when you paid into it. Could this be considered a government pyramid scheme, a political con artist game of sorts? It probably does meet those definitions.

    Some of you may think that you were clever enough to beat this government con game, using the premise that you doubled your money in the stock market during 2009 thru 2016. Then you pay taxes on the stock market profits. Despite doubling the amount of your money, and after taxes, in actual value you likely gained little or nothing.

    Thinking that your house or gold and silver coins will keep up with the rate of inflation? Sorry, but nothing you own will keep up with the output from government printing presses. They don't even need paper and ink, just a mouse click from them and the debt is raised higher. Everything you own will continue to deteriorate in actual value.

    Whatever is the percentage lost from your savings over the past eight years because of the national debt, it was a significant loss, that is a fact. In the future if hyperinflation takes over, this would be precipitously worse than the premise of losing half the value of your savings in eight years. During the hyperinflation era of the Weimar Republic, the value of people's entire lifetime savings in the bank was often wiped out overnight.

    The worst problem of all to you as a middle class taxpayer, is the totality of unfunded federal government liabilities, which is estimated to exceed 127 trillion dollars. Previously mentioned social security is one of them. Medicare is another. There are government employee pensions, and other obligations which are promised to be paid by the federal government in the future.

    Barack Obama as usual won't take responsibility for this fiasco. However, Republicans should take their share of the blame as well. Republicans currently control both houses of congress. They had ample opportunity to stifle Obama, and stop the borrowing and spending madness. Republicans could have shut down non-essential government if necessary to cap spending, but they didn't do it. Republican politicians feared that they wouldn't get re-elected, so they chose their political careers over the long term financial stability of the United States. But in all fairness to Republicans, whatever inaction shown by them, the Democrats in congress are pathetically worse.

    Each time the national debt rises, you as a middle class taxpayer now know that represents an ongoing tax increase to your savings, whether you care to believe it or not. Believe it, because unfortunately it's true.

    The growing national debt affects the poor and the rich as well. But the poor have little or no savings, and will be taken care of with increased assistance from government, which further adds to the debt. The rich have numerous ways to become richer. While the middle class taxpayer with a regular job or small business gets stuck between a rock and a hard place.

    Under a Hillary Clinton presidency, the national debt would continue spiraling out of control. The cost of new socialist programs from Hillary would escalate the debt infinitely worse. Under a Donald Trump presidency, at least the national debt would be addressed, and Trump has interesting new ideas to bring back jobs and manufacturing to our country, in which the increased revenue would benefit us all, and hopefully take care of the national debt problem at the same time.

    Hillary Clinton is an incorrigible tax and spend Democrat. Trump will spend as well, but there will be increased revenue created by the private sector to offset his spending, and pay down the debt. The choice of Donald Trump for president should be obvious to every middle class taxpayer in America. We must kick this national debt “heroin addiction” or our country will financially die, only a question of when.

    Ultimately it is the American middle class people who need to rise up and take a stand to solve this national debt “heroin addiction” problem before it's too late. The poor aren't going to do it, and the rich aren't going to do it. The middle class is who must do it.

    If we keep electing feckless presidents and congress people, then we will continue to get feckless results. This will lead to the disintegration and collapse of the America that we know and love. We don't wish for that to happen so let's do something about it. Elect leaders who want responsible government and promote prosperity for all people. Avoid politicians who act like heroin dealers, offering more government borrowing and spending “heroin” to continue our national debt addiction.

    Thinking that your house or gold and silver coins will keep up with the rate of inflation? Sorry, but nothing you own will keep up with the output from government printing presses. They don't even need paper and ink, just a mouse click from them and the debt is raised higher. Everything you own will continue to deteriorate in actual value.

    Whatever is the percentage lost from your savings over the past eight years because of the national debt, it was a significant loss, that is a fact. In the future if hyperinflation takes over, this would be precipitously worse than the premise of losing half the value of your savings in eight years. During the hyperinflation era of the Weimar Republic, the value of people's entire lifetime savings in the bank was often wiped out overnight.

    The worst problem of all to you as a middle class taxpayer, is the totality of unfunded federal government liabilities, which is estimated to exceed 127 trillion dollars. Previously mentioned social security is one of them. Medicare is another. There are government employee pensions, and other obligations which are promised to be paid by the federal government in the future.

    Barack Obama as usual won't take responsibility for this fiasco. However, Republicans should take their share of the blame as well. Republicans currently control both houses of congress. They had ample opportunity to stifle Obama, and stop the borrowing and spending madness. Republicans could have shut down non-essential government if necessary to cap spending, but they didn't do it. Republican politicians feared that they wouldn't get re-elected, so they chose their political careers over the long term financial stability of the United States. But in all fairness to Republicans, whatever inaction shown by them, the Democrats in congress are pathetically worse.

    Each time the national debt rises, you as a middle class taxpayer now know that represents an ongoing tax increase to your savings, whether you care to believe it or not. Believe it, because unfortunately it's true.

    The growing national debt affects the poor and the rich as well. But the poor have little or no savings, and will be taken care of with increased assistance from government, which further adds to the debt. The rich have numerous ways to become richer. While the middle class taxpayer with a regular job or small business gets stuck between a rock and a hard place.

    Under a Hillary Clinton presidency, the national debt would continue spiraling out of control. The cost of new socialist programs from Hillary would escalate the debt infinitely worse. Under a Donald Trump presidency, at least the national debt would be addressed, and Trump has interesting new ideas to bring back jobs and manufacturing to our country, in which the increased revenue would benefit us all, and hopefully take care of the national debt problem at the same time.

    Hillary Clinton is an incorrigible tax and spend Democrat. Trump will spend as well, but there will be increased revenue created by the private sector to offset his spending, and pay down the debt. The choice of Donald Trump for president should be obvious to every middle class taxpayer in America. We must kick this national debt “heroin addiction” or our country will financially die, only a question of when.

    Ultimately it is the American middle class people who need to rise up and take a stand to solve this national debt “heroin addiction” problem before it's too late. The poor aren't going to do it, and the rich aren't going to do it. The middle class is who must do it.

    If we keep electing feckless presidents and congress people, then we will continue to get feckless results. This will lead to the disintegration and collapse of the America that we know and love. We don't wish for that to happen so let's do something about it. Elect leaders who want responsible government and promote prosperity for all people. Avoid politicians who act like heroin dealers, offering more government borrowing and spending “heroin” to continue our national debt addiction.
     

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