EDITORIAL: Debt Ceiling Talks

0 Flares Twitter 0 Facebook 0 Google+ 0 Pin It Share 0 Email -- 0 Flares ×

By Christina Fermin

Politics & Society Columnist


With all the buzz about debt ceiling talks going on, I decided to do a little research. For those of you who do not know, the debt ceiling is a cap set by Congress on the amount of money the federal government can legally borrow and spend. The cap refers to debt owed to the public, such as anyone who purchases U.S. bonds, along with debt owed to the federal government trust funds like Social Security and Medicare. The current limit is $14. 294 trillion and was reached on May 16. Basically the federal government spends more money than it brings in, by billions every month. So raising the debt ceiling is essentially an argument on whether or not we should pay our bills.


Under Republican leadership since Ronald Reagan the debt ceiling has doubled every time there has been a “conservative” in the White House. Which is ironic since Republican platform boasts “spending cuts” and “smaller government.” Anytime there is a spending hike or tax cut the debt ceiling inevitable gets raised to pay for these things. Congress has the authority to raise the debt ceiling anytime, but Republicans are refusing to raise the debt ceiling without some severe spending cuts and their aim is at Social Security, Medicare and other programs that the public relies on. Democrats are refusing to raise the debt ceiling without raising taxes for people making over $500,000 and getting rid of oil and gas subsidies, which are usually in the billions of dollars per year.


A subsidy is money granted by the federal government to assist in an industry or business. That’s funny because last I checked oil, coal, gas was doing fine and did not need any type of subsidy considering that when you look at this chart http://en.wikipedia.org/wiki/List_of_companies_by_revenue the top ten most profitable companies, 7 are oil and gas companies. These company profits are in the hundreds of billions, why are they getting federal grants?? Why are Republicans defending this practice? There are a few hundred people that make more money than the bottom 90% of this country, why are we not raising taxes on them?


Up until the current wars we are fighting, historically all wars have been paid for by raising taxes. The Iraq and Afghanistan wars are the first wars in history that have been funded by borrowing. During the 1950s the richest Americans were paying up to 92% in taxes. The current tax bracket for anyone who makes over $379,150 is 35%. While the capital gains tax is at an all time low at 15%, this is where many wealthy elite make their money. Corporate tax is one of the highest in the world topping at 35%, but with all types of subsidies and loopholes, many corporations end up paying nothing or even getting money back from the federal government.


While Republicans continue to chip away at programs the public heavily relies on and Democrats too weak to stand by the American people attempt to negotiate with Republicans it is us the people who are directly affected by their shenanigans. It seems clear, Congress needs to raise taxes on individuals making over $500,000 per year, raise the capital gains tax, eliminate corporate subsidies and loopholes, eliminate tax havens such as the Caymen Islands and heavily fine anyone or Corporation that tries to hide money, end all military occupations across the world, cut military spending which accounts for almost 60% of our budget and reinvest in America.


Tim Geitner and Federal Reserve chairmen Ben Bernanke argue that by not raising the debt ceiling, it would cause chaos here and abroad. These are the same people who took $700 billion American tax payer dollars and gave it away to the banksters here and abroad. I personally do not believe a word they say, if anything someone needs to throw both of them in jail for looting and lying to the American public. To hell with the debt ceiling, just doing what I mentioned above alone could probably steer us clear from having to raise the debt ceiling. Our GDP and our debt are about equal, how about we start lowering it? Raising taxes on the super wealthy, along with closing tax loopholes for Corporations and the elite would bring in enough money so that our GDP is not equal to our debt. Call your representative and tell them, to hell with the debt ceiling, raise taxes on the rich!!!


Peace & Love,

Christina


About the Columnist

With a bachelors degree in political science from Florida Atlantic University, Christina Fermin has always cultivated her love for history, politics, sociology, ancient knowledge and teachings, the outdoors, the ocean and the environment. Christina strives to make our world better by helping us all create a new reality and understanding of all taking place here and now.

If you appreciate this article show your appreciation with a donation.

One Response

  1. NoSocialism.com July 11, 2011

Leave a Reply