On the Letterman show, President Obama was asked if we should be scared that we owe over $16 trillion and the answer was alarming to say the least. Obama said, “We don’t have to worry about it short-term, but it is a problem long-term and even medium term.” Wow, just last year former chairman of the Joint Chiefs of Staff, Adm.Michael G. Mullen said, “Debt is the biggest threat to U.S. national security”, and now the president is telling the American people that, at least in the short-term, whatever that means, we needn’t worry.
Obama also took the opportunity to announce his plan to eliminate the deficit to the Late Night audience and it really is appropriate that he announced this on a comedy program. He said,
“We’ve got to pare down that deficit, get that debt under control. The only way we ever been able to do that is when you do it in a balanced way, so you cut out spending you don’t need, there are programs that don’t work, I tell my Democratic friends all the time, if you’re going to be in favor of helping the American people, you can’t just assume that every program is working the way it should it can work better, but what is also true is that we’re going to have to ask folks like you (Lettermen) and me to do a little bit more and if you and I are paying the same tax rates that we did under Bill Clinton that helps to close the deficit. And if we do those two things we can manage effectively and get our books in order.”
I have listened to the main stream media badger Romney and Ryan for two weeks for not giving specifics and this president says his plan is to cut funding to programs that do not work and to raise taxes on the most productive Americans and nobody challenges that? There are so many issues with the Obama Plan I don’t know where to start. As for his plan to cut spending by merely improving the efficiency of government programs or maybe even eliminating some of those that he deems as not working, it sounded very familiar. I googled it and low and behold that was part of the Hope and Change agenda from 2008. On September 22, 2008, Obama said,
“I am not a Democrat who believes that we can or should defend every government program just because it’s there… We will fire government managers who aren’t getting results, we will cut funding for programs that are wasting your money and we will use technology and lessons from the private sector to improve efficiency across every level of government… The only way we can do all this without leaving our children with an even larger debt is if Washington starts taking responsibility for every dime that it spends.”
I ask you, if this was his plan in 2008 and our debt increased $5 trillion, what will be different in the next four years?
As for his plan to close the deficit by raising taxes on those making over $200,000 a year to Bill Clinton era levels (35%), the Tax Policy Center has effectively shown that this alone will do little or nothing to impact our debt and without a meaningful plan to cut future spending on entitlement programs we are looking at massive tax increases on all taxpayers and the addition of a Value Added Tax (VAT) to extract money from those Americans not currently paying federal income taxes.