Taming Leviathan

via Ace, here’s a very important point to keep in mind

President Obama has taken to the nation’s airwaves raising the specter of a default on U.S. Treasury obligations, as if the only source of funds for paying interest and debt is further borrowing. This is as believable as his promise that Americans could keep their health care plans if they like them, following the implementation of Obamacare.

According to U.S. Treasury data, the federal government has averaged $238 billion in monthly tax receipts in 2013 through July. In the same time period, it has averaged $283 billion in expenditures for a delta of $45 billion/month. Hitting the debt ceiling does not mean that the government literally runs out of money. It is a hold on allowing continued deficit spending. It is similar to hitting the credit limit on your credit card. The difference between the U.S. government’s finances and real life pocket book issues for American citizens is that many consumers tap out their credit cards and, even then, still need more money every month to pay for basic necessities than the cash they have coming in. That is not the case with our federal government. The $238 billion dollars/month in tax revenues which the federal government is taking in more than cover its “basic necessities.”

…There is no real risk to the “full faith and credit” of the United States except by hysteria-instigating Democrats who want you to believe that the U.S. is on the verge of default.

Therefore, if President Obama chooses to violate the 14th Amendment’s commandment that the validity of public debt shall not be questioned, then that is his choice and his alone because the Treasury, and therefore the President, literally has the money in the bank to uphold this requirement regardless of whether the government’s credit card has been maxed out.

This is such a key and important point that of course the morons running the GOP invariably fail to mention it.

There is no danger to the full faith and credit of the US from the people who want to halt government’s expansion. The clear and present danger of a default comes not from the people who want to limit federal spending but rather from those who have added more one trillion dollars per year to it for the past 5 years and show no inclination to “taper” their profligate ways.

It comes from those who seek to continually shackle the economy with an ever-growing snare of regulations and bureaucratic costs to wade through the maze they create.

It comes from those who believe that an all-seeing, all encompassing government should and must be the focal point of American society and thus those who can neither understand nor by definition tolerate the notion that perhaps a free people in a society founded on principles of individual liberty could perhaps be “allowed” to exercise said rights when a minor percentage of government “services” are shut down.

If the House Leaders truly wish to lead, this is where they must make their stand.

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