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Want to Reduce Deficit Spending? Prove it.

The tea bag crowd is outraged at our out of control spending.  It is THE positioning issue for the GOP - which is smart given the deficit is a massive issue facing our nation.  We absolutely have to get it under control over time.   But, if you want to fix it, you only have a few options.  You have to hurt one of 3 groups:

1.  The old (entitlements)
2.  The military (defense)
3.  The rich (tax increases)

Fact is all the other options don't add up to much.  For details here is a pie chart.

So if you are someone sick of all this spending you have to prove it. What do you want to cut?

Republicans number one attack on the health care bill was that it would CUT Medicare (this is not your Mother's Republican Party).  They want to perpetually cut taxes and they would never consider hitting the military. So what is the plan?  I want to hear it.  Until then, it is just marketing.  As for the Dems, well, Obama is going to put them to the test on it in the coming years (post recession when deficits actually do make sense).  My hunch is the special interests will win again.  Raise retirement age?  Good luck. Streamline the military?  The terrorists win.  Increase taxes?  We live in a socialist state.    

At some point, we will have to make some hard calls.  Who will have the guts to actually do it?

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Comments (4)

Jan 23, 2010
Nathan Schmidt said...
Our nation has become a flock of seagulls from Finding Nemo. They're not thinking beyond themselves. For example, I was watching Stossel on Fox Business the other day and they were discussing how to validate selfishness. While it really made me think about what's best for me, it solidified the fact that we're all in this together, and in order to make a system work, the pieces have to be more than the sum of their parts. Right now, when we need to be most united, when the need for people to really stand up and be a part of the solution, they're saying "I didn't know *I* would have to sacrifice for this!" Then going into the streets yelling "Mine! Mine! Mine!" Our instant, internet, microwave, gotta-have-it-now mindset we're in , as a nation, doesn't work for an economy and problems made over time. To repairs things takes time and sacrifice -- neither of which too many people seem willing to offer these days.
Jan 24, 2010
Lew Moorman said...
Very well said Nathan. This is exactly how this debate will go: end deficits! but don't take MY stuff! I have generally felt that when things get bad enough, there is a self correction and we, as Americans, get after it. That said, no one seems to realize the extreme structural challenges we have. We are running out of time. And continuing to hide them is yielding political benefit. Politics always wins over policy. How do you win the mid terms is more important than how do we get our country on track.
Feb 15, 2010
Mike said...
The 2 problems with tax increases: (1) it never goes toward reducing the budget, just increasing spending; (2) higher tax rates = lower tax revenues. We need to cut ALL government, including government headcount and their precious benefits. We need to reduce the military budget, we need to phase in later age requirements for social security, reduce welfare, we need to everything the government does. If someone suggested 10% across the board reductions in government budgets per year, that would be a start, and I believe people would vote for that.
Feb 15, 2010
Lew Moorman said...
Sorry Mike, I think you are just wrong. Look what the Bush the 1st and Clinton tax increases did. Lowered the deficit. All while there was record growth. Why? Low interest rates. That is the ultimate engine of growth and you cannot have them with massive debt in the long run. Yes, we need some real discipline to cut government. Again, the only person who has done that in the last 50 years is Clinton (look it up).

Given you are clearly loyal to the GOP, I suggest you read Bruce Bartlett. The original supply sider argues vehemently that we have reached the other side of the curve.

http://capitalgainsandgames.com/blog/bruce-bartlett

You say cut 10%. You include military and entitlements?? No one would vote for that. We have seen it. You would get called an granny hating death panel terrorist sympathizer. If you don't include them they are irrelevant.

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