More Broken Promises?
From the minute he announced his candidacy for president, Donald Trump said he would eliminate the 19 trillion dollar national debt, cut taxes and renegotiate trade deals that are killing our country.
Yet, as we are into the second quarter of the 2019 Federal Government’s Budget year, things aren’t looking so rosy for that prediction. We quickly take a look at how those three items have come along during the first two years of this administration.
The National Debt
First quarter debt rose a whopping 41% compared to the same quarter of fiscal 2018. That time frame, from October 1st through December 31st, 2018, saw the debt increase by 92 Billion dollars over the previous year.
Detractors will point to many things that are ballooning the debt, and most of them go back to the Obama administration. Fiscal policies enacted to save the country from failing during his early time in office, stiff regulation protecting a lot of people, a lot of institutions and then of course, the all time favorite, Obama Care.
According to the Treasury Department, the National Debt went over 22 Trillion dollars on Monday, February 11th. When this president began his term, it was 19.9 trillion.
When George W. Bush entered the presidency, the countries debt was at 5.77 trillion, yet as he headed out the door, it stood at 11.1 trillion after 8 years in office. President Obama picked up that 11.1 figure and it moved to a figure of 19.8 after his term, 8 years, in office.
We also have an ‘aging’ mini crisis in our country, with the ‘baby boomers’. Folks born between 1946 and 1964 fall into that category and many are now in need of additional health care, the Social Security checks they receive each month and more and more are needing help with housing and general bills to keep their homes going.
Current folks on the right, as always, point to the ‘welfare state’ in this country as the biggest burden on the growing debt. Social Security, Medicare/Medicaid, Food Stamps, anything that would cut into the under taxed, very wealthy contributors they have to keep them in office.
This is the other part of the equation that leads to the growing national debt, and that is our countries leaders not balancing the books from year to year. More spending going out than money coming in. How does that work in your household?
No one family can sustain spending more than what they take in, and if they do, it’s called credit. Either in the form of a loan or the use of a credit card. That’s what we do every year as a country, at least since we had a fairly balanced budget after the Clinton terms. We spend more than we take in.
The 2017 Republican passed Tax Cuts and Jobs Act gave enormous breaks to most of the richest people living in the US. It promised to reduce everyone’s taxes across the board, but as we can see in early returns filed and back in taxpayers hands, that just wasn’t the case. Another fib from the GOP led House of Representatives, republican controlled Senate and the richest GOP President ever to hold office.
For the years 1998, ’99, 2000 and ’01, the last four years of the Clinton administration, we ran a 559 Billion to the good, no deficit, that left the next president a nice surplus. That surplus handed over to George W. Bush was an 537 Billion. That was the first years this country had a surplus since 1969, when we had a 3 Billion dollar surplus.
Getting a handle on the annual deficit is and should be the most pressing issue facing the American Public today. You can see the ever climbing National Debt, the different ways that money flows in and out of the Government and what your share as a US citizen is costing you. It’s quite an awakening when you use that link to the National Debt clock!