After the War for our Independence, which would have never happened without the aid of the French military, The United States had a debt that grew to 75 million in 1789, Our Forefathers could not accept this debt that would be left for following generations and worked to reduce the debt to almost zero by the 1830's.
The Civil War almost bankrupt America, but again the Presidents worked hard to bring that debt in order.
1913 and the Income tax implemented by President Wilson was to build our Infrastructure needed for the operation, services, and facilities necessary for an economy to function. Also aided our involvement in WW1.
The Great depression of 1929 was another blow to our economy, But by the time WW2 erupted, Americans bought WAR Bonds by the billions as a responsible way to pay that debt off. Not today people.
In 1945 almost 100% of our debt was American owned.
Vietnam another mess, added to our debt, But we were still a manufacturing Nation of great exports. Tough times ahead with the Arab oil embargo yes, But we were working on controlling the debt.
Now for the TRUTH about our modern debt!
1980 The Nations debt before Reaganomic's was 909 billion dollars, By the time he left office, America was addicted to spending with a debt of 2.6 TRILLION dollars. You might say he ended the cold war, Big deal Russia was more scared of us then we were of them. That spending at the time and big tax cuts for the wealthy were called by Bush I Voodoo economics, and was the beginning of our out of control fiscal irresponsibility.
Funny when Bush 1 was elected he wasn't much better at controlling the debt than Reagan,the debt would rise to approx. 4 Trillion. You think someone got to him like they are now doing with Obama?
In 1992 Ross Perot along with most American's called for fiscal responsibility and Clinton won the Presidency, pretty much knowing that the American people, like myself had had enough, and wanted a Balanced budget.
Clinton knew he had to make tough decisions and cutting spending or raising taxes were about the only two ways he would achieve a balanced budget.
Certainly not giving Big Tax breaks to the top 5%.
Now some would say that stealing from trust funds such as SS helped him achieve this, This has been going on well before Clinton and every President has done this since, Sad but true. should not be allowed, but you know how it is in Washington.
But he did balance the budget and came up with a plan to pay down our debt, for the next 20 years, That is if Bush II would have continued it.
Bush II admitted he was only B student in economics, But an A student in his own words at giving tax cuts to the American people. (The Wealthiest did the best) TAX CUT'S during a WAR! when Bush II left office he never looked back at the almost 11 TRILLION dollar debt, NO REGRETS!
Does anyone remember after Clinton balanced the budget the Debt Clock was shut off for a few years because it couldn't go backwards, that didn't last long after Bush got in office, It was started again.
When Bush II took office we had a debt of approx. 5 Trillion dollars. Bush got it running again faster than all Presidents that came before him. And he didn't care about the future debt left for the next generations. No regrets Remember!
By 2004 The debt climbed to 7.4 Trillion dollars, and unlike the debt from WW2, owned and financed by American's buying WAR Bond's, Bush II just added it to the National debt. Many of you here accepted that and elected him then.
Paul O'neil argued with the President that we can't keep spending at this pace without looking at raising taxes, Soon after Cheney asked Paul to report to the White house with his resignation, and wanted him to say he was looking forward to going back to the private sector.
NO! Paul wasn't going to lie! He just left and went home, Getting fired wasn't something a man of his fiscal knowledge was used to. so he just went home without a word. Bush wanted him to lie, But he was fired. Ahh the Bush lying again!
By 2008 our debt had climbed to over 10 Trillion! can you believe this? The debt clock was flying along at unheard of speed.
Rumsfeld even held a press conference admitting that Military "WAR" money, approx. 2.3 TRILLION dollars was now lost, not accountable, and you the tax payer will shoulder the burden. Where was the outrage?
Let's take a good look at out budget in 1945, Almost all of it was American bond owned, Today over 50% is owned by Countries like China, Japan, India, and oil producing Nations.
A fiscal call in for their money from these Nations would cripple if not destroy the American economy.
President Eisenhower used this tactic the year I was born 1956, when the British and the French wanted war with Egypt, He knew a huge sum of British debt was owned by the United States and declared no involvement and threatened the British with calling in our money. Many Historians say this was the official end of the British Empire.
You can only Imagine the tremendous power China today has over the U.S. (Luckily they need us to import their goods) and Oil producing Nations that provide us with their products.
And when will the Petrodollar end? Soon Countries won't be using U.S. dollars to purchase oil. Those very Countries that want to discontinue using the U.S. dollar are those we presently call the Axis of EVIL. Another reason we use are military against them. Other Countries will follow.
And what do you think of Greenspan in 2007 lowering interest rates in order to please the Stock Market only to leave you with savings that won't grow? barely 1% on your savings? Even when I was a kid in the 60's it was 5%?
American's NEED to save But the incentives are all in the Stock Markets, and that alone can be scary.
China is the number one exporter of goods in the World, America is just about dead last, this can't go on, well it can for awhile, but we are on borrowed time.
Do you know the three largest exports of the United states are to China?
1. Electrical Machinery.
2. Nuclear Machinery.
3. Scrap metal
We have lost our place in the Worlds Manufacturing, and that is the flaw in Clinton's projected 20 years of a balanced budget. We tried to inform him of Fair Trade, Not just FREE TRADE! But like all modern Presidents The Big Boys prevail again.
But give credit where credit is due, he did balance a budget.
Printing more money will only add to other nations owning more of the US. The levy around us is soon to break.
Obama probably went in to office with all the right intentions, But as we can see in modern History corruption is like cancer, and the President comes down with it pretty quickly.
The Baby Boomer's will be using SS very quickly and at an amazing rate.
This raided trust fund will leave the future generations broke, when it should have been the sacred cow.
If you count all our debt's and the hidden agenda cost's, We owe about 60 Trillion dollars, We must fix it. sadly the economic truth will not be accepted by America until we witness it on our own soil. Then it will be too late.
If not fixed today, in a decade or so we will need a tax rate double what we are paying today. That's just to pay a small amount to SS and bare bones if any Government services.
The way to correct what we can now, is: End the Bush tax cuts to the top three wealthiest groups, we need the money badly.
No more earmarks to be funded. Sorry lobbyist's
Time to get out of Iraq, Libya, and stop policing the World. We can't afford this.
Admit we can no longer fund other Nations with bribes just to be our friends.
We can be the best looking horse in the glue factory, but what good will it do us?
Rome fell for three reasons,
Over extending it's military
I hope I'm not in the minority of those that see what's coming our way if we don't act quickly.