National Debt Ceiling Debate has raised the ire of everyone, who is to blame?
An inconvenient truth of many of the Nation's perpetual debt woes is this: America is made up of Americans. It is a plurality. If politicians are accountable for anything, it is making bad decisions with taxpayer money. Amidst the finger pointing on Capitol Hill, the President and congressmen are avoiding the not so insignificant reality that the national debt ceiling crisis is the result of fiscal irresponsibility by the many, not just a few elites.
Private and publicly held debt comparable
A quick comparison of privately and publicly held debt is alarming. Private citizens hold 13.4 trillion in debt€"that's revolving debt, mortgages, loans, etc. The US Government owes 13.8 trillion. What is more, the American electorate was of the mindset €let creditors worry about you€ before the financial crisis, nearly doubling its overall debt from 7 trillion dollars to 14 trillion, 100%, in the half decade leading up to financial collapse.
Government debt climbed from 6 billion dollars 9 billion dollars. This is 44% less than consumer debt over the same time period.
Government debt to cover deep, systemic slew of private crises
Let it not be forgotten the US Government had to take on substantial new debt with TARP, the Troubled Asset Relief Program, and continues to underwrite a floundering mortgage market. It is simply the case that private institutions, like Bear Stearns, once a bastion of American financial strength, took huge bets with large sums of money and lost. Private individuals, especially those who jumped on subprime mortgage opportunities, took the same gamble with their futures and the futures of their families.
Few pundits or politicians, let alone the average taxpayer, are so keen to point out that the federal government has done a decent job managing the national debt in recent years. Consider the sophisticated demands of its citizenry: no new taxes, the maintenance of America's strategic position in the world, better schools, better pay, nationalized health insurance. This is just to name a few.
Private and public interests separated rhetorically
It has been a political convenience to blame President Obama's Healthcare, €Obamacare,€ for the spike in government spending in the last half decade. Policy wonks and independent think tanks have concluded nationalized healthcare will drive health care costs down over the coming decades. This is exactly the kind of long-term financial planning that will keep America out of the ditch in the years to come.
Borrowers and banks have sobered up in the last couple years. They haven't had a choice. It is no small accomplishment that the American government has managed to pay for two theaters of war, subsidize debt-ridden banks and individuals, and prop up social welfare programs. More than that, the US government has loaned its deep talent pool to the private sector. There it has worked to improve loan modification and pressure banks during credit car negotiations. It is something of a novel idea, but the US government is a composite of its people.
Private and publicly held debt comparable
A quick comparison of privately and publicly held debt is alarming. Private citizens hold 13.4 trillion in debt€"that's revolving debt, mortgages, loans, etc. The US Government owes 13.8 trillion. What is more, the American electorate was of the mindset €let creditors worry about you€ before the financial crisis, nearly doubling its overall debt from 7 trillion dollars to 14 trillion, 100%, in the half decade leading up to financial collapse.
Government debt climbed from 6 billion dollars 9 billion dollars. This is 44% less than consumer debt over the same time period.
Government debt to cover deep, systemic slew of private crises
Let it not be forgotten the US Government had to take on substantial new debt with TARP, the Troubled Asset Relief Program, and continues to underwrite a floundering mortgage market. It is simply the case that private institutions, like Bear Stearns, once a bastion of American financial strength, took huge bets with large sums of money and lost. Private individuals, especially those who jumped on subprime mortgage opportunities, took the same gamble with their futures and the futures of their families.
Few pundits or politicians, let alone the average taxpayer, are so keen to point out that the federal government has done a decent job managing the national debt in recent years. Consider the sophisticated demands of its citizenry: no new taxes, the maintenance of America's strategic position in the world, better schools, better pay, nationalized health insurance. This is just to name a few.
Private and public interests separated rhetorically
It has been a political convenience to blame President Obama's Healthcare, €Obamacare,€ for the spike in government spending in the last half decade. Policy wonks and independent think tanks have concluded nationalized healthcare will drive health care costs down over the coming decades. This is exactly the kind of long-term financial planning that will keep America out of the ditch in the years to come.
Borrowers and banks have sobered up in the last couple years. They haven't had a choice. It is no small accomplishment that the American government has managed to pay for two theaters of war, subsidize debt-ridden banks and individuals, and prop up social welfare programs. More than that, the US government has loaned its deep talent pool to the private sector. There it has worked to improve loan modification and pressure banks during credit car negotiations. It is something of a novel idea, but the US government is a composite of its people.