Category Archives: Debt and deficits

We should have listened to George

By Steve Brawner, © 2019 by Steve Brawner Communications, Inc.

With Presidents’ Day occurring last Monday, this is a good time to recall perhaps the greatest presidential address in American history: George Washington’s farewell address.

Printed in Philadelphia’s American Daily Advertiser on Sept. 19, 1796, it started by explaining why he was not running for re-election – a decision that may have been his most important act. His willingness to give up power set a precedent that has largely guided American presidents and American politics ever since.

He expressed gratitude to his country and then offered what he called “the disinterested warnings of a parting friend.”

He urged the United States to remain united. North and South, East and West, we’re better off knitted together. Americans, he wrote, should be “indignantly frowning upon the first dawning of every attempt to alienate any portion of our country from the rest.” Continue reading →

What’s different about this $1 trillion?

By Steve Brawner, © 2018 by Steve Brawner Communications, Inc.

Winter has arrived, and squirrels everywhere have enough to eat because they stored up food when it was more available in the warmer months.

We could learn a lot from those little rodent-sized brains. Instead of squirreling away our savings, we pig out on today’s and tomorrow’s resources.

This year, the federal government will run a deficit of about $970 billion, or 4.6 percent of the gross domestic product, despite a warm-weather economy that has been expanding for almost a decade. As a recent headline by the nonpartisan Committee for a Responsible Federal Budget told us, “The deficit has never been this high when the economy was this strong.” Continue reading →

Instead of gaining five yards, Congress takes a knee

Steve Womack

Steve Womack was co-chair of the Joint Select Committee on Budget and Appropriations Process Reform.

By Steve Brawner, © 2018 by Steve Brawner Communications, Inc.

No, adopting a two-year budget cycle wasn’t going to restore fiscal sanity in Washington, much less make a dent in the $21.85 trillion national debt (your equal share as of 9:24 a.m. Tuesday: $66,389.76).

But as Rep. Steve Womack, R-Ark., told me, when you can’t score a touchdown, at least try to gain five yards.

That comment came four days after a committee he co-chaired failed to advance the two-year budgeting idea.

Why two years? Because Congress can’t get the job done every year. As Womack told me, Congress is so bitterly divided and spends so little time in Washington (about 120 days a year) that it can’t complete the budget soon enough. And that’s if it completes it at all.  Continue reading →

Fort Smith college students Fix the Debt

By Steve Brawner, © 2018 by Steve Brawner Communications, Inc.

At the University of Arkansas at Fort Smith Friday, more than 220 college students, including sophomore Garrett Spain from Greenwood, tried to do what Congress is unwilling to do – get the government’s debt under control.

The students gathered at two dozen tables, each with a laptop, and worked together using the Committee for a Responsible Federal Budget’s (CRFB) Debt Fixer tool. That’s an online resource that lets users see how the federal budget would be affected by selecting various spending cuts and tax increases.

The goal of Friday’s exercise was not to pay down the $21.6 trillion national debt. Instead, it was to get the red ink under control. The $15.8 trillion public debt (what the government owes everyone but itself) is 77 percent of the gross domestic product and growing rapidly. By 2028, it is projected to be 97 percent, meaning it will be the same size as the economy. The goal for the students was to stabilize it at 70 percent by 2028, and 40 percent by 2050. Continue reading →

#BetterOffNow, but what about #Later?

tax, taxes, debt, deficits, spending, trillion, State of the Union, deficit hawks, balanced budget amendment, Jonathan Bydlak, immigration, $98.8 triillion, #BetterOffNowBy Steve Brawner, © 2018 by Steve Brawner Communications, Inc.

There’s been good news and bad news lately when it comes to the way Congress spends your money (and your children’s and grandchildren’s). Which do you want first?

Let’s start with the good news.

On Tuesday, the Senate sent to the House an $854 billion bill to fund the Department of Defense, the Department of Health and Human Services, and other agencies. The House is expected to approve the bill next week.

How is spending $854 billion good news? Because Congress is actually doing its job in a somewhat orderly fashion by passing budget bills before the fiscal year begins. It’s also doing it in time to avert a government shutdown that would occur next month.

That counts as an improvement. In recent years, Congress has lurched from one manufactured crisis to another, often passing enormous up-or-down “omnibus” packages after the new fiscal year has already begun.  Continue reading →