Today our President acted to freeze pay across the board for federal workers. The analysts estimate the savings will be $60B over 10 years…..The daily deficit is $4B…..So in 15 days the govt. will borrow what they save by freezing wages for 10 years…..15 days of borrowing equals 10 years of saving. In addition, there were a couple of other gems…..The Obama panel on deficit reduction decided to delay their report. They want to make sure they have their airline tickets and bullet proof vests purchased first. And lastly, drum roll please………………………………Our President and the Congress agreed to negotiate on taxes…..They actually released news to this effect. That is like me saying, “I will go to work today”.
In order to get out of the mess we have made there are ONLY 2 choices – Declare default on national debt or Print and Pay. Neither course of action is good, but inevitable. And you know what? Under either course of action we must pave the road of the future to make sure we do not end up here again. Like a company going through bankruptcy. So here are my recommendations: 1. This year - 10% across the board spending cuts. No exceptions for any programs – applied to every single budgetary department. 2. Next year – same thing. 3. The year after that – same thing…..This continues until the budget is in balance. 4. Thereafter, in order to spend more money than we take in, a vote of the people in the form of a constitutional amendment is required.
-Michael
No comments:
Post a Comment