Ron Paul to Congress: Refuse to Raise the Debt Ceiling!

Ron Paul has two proposals for the new Congress:

1) Refuse to raise the debt limit! Find a way, month by month, for Congress to spend only what the Treasury raises in revenue.

2) Start over from scratch with the 13 appropriations bills that fund the federal government. Reject any talk of baseline budgets or discretionary spending. It is all discretionary!

Don’t Raise the Debt Ceiling!

by Ron Paul

As of November 7th, the total U.S. public debt outstanding reached an astonishing $13.7 trillion. This means that although Congress just raised the debt ceiling to $14.3 trillion back in February, the new Congress will face another debt ceiling vote almost immediately next year. Otherwise, the Treasury will not be able to continue issuing debt to fund government operations.

The upcoming vote will provide an interesting litmus test for the new Republican congressional majority, especially those new members closely identified with Tea Party voters. The debt ceiling law, passed in 1917, enables Congress to place a statutory cap on the total amount of government debt rather than having to approve each individual Treasury bond offering. It also, however, forces Congress into an open and presumably somewhat shameful vote to approve more borrowing.

If the new Congress gives in to establishment pressure and media alarmism about “shutting down the government” by voting to increase the debt ceiling once again, you will know that the status quo has prevailed. You will know that Congress, despite the rhetoric of the midterm elections, is doing business as usual. You will know that the simple notion of balancing the budget, by limiting federal spending to federal revenue, remains a shallow and laughable campaign platitude.

Of course congressional leaders – now Republicans – will tell America that they plan on balancing the budget soon, but they just need some time. After all, we have to keep the government open, right? We can’t have an “emergency” shutdown of vital government services. But somehow Congress always finds money for emergency spending, in the form of supplemental appropriations bills for TARP bailouts, troop surges, and the like. Why is there never an emergency that justifies less spending?

Surely we are facing an emergency debt spiral, as evidenced by the Federal Reserve’s recent commitment to buy another round of Treasury debt. It’s now quite obvious that the U.S. government plans to inflate its way out of debt, and the world is fleeing our dollar in response. Just 7 years ago Congress raised the debt ceiling to $6.4 trillion, which means the federal government had doubled its indebtedness in less than a decade. Annual deficits for 2011 and beyond are projected to be at least $1 trillion. By contrast, the entire federal debt amassed from the founding of our nation until President Reagan took office in 1981 – a period of roughly 200 years – was $1 trillion. So it’s no exaggeration to state that federal debt is growing exponentially.

I have two simple proposals when the new Congress convenes in January. First, refuse to raise the debt ceiling. Find a way, month by month, for Congress to spend only what the Treasury raises in revenue. Second, start over from scratch with the 13 appropriations bills that fund the federal government. Reject any talk of baseline budgets or discretionary spending. It is all discretionary, and members of both parties should vote against any 2012 appropriation bill that is not at least 10% smaller – in nominal dollars – than its 2011 counterpart.

A motivated Congress could begin to slow the tide of debt by taking the simple step of cutting federal spending by 10% across the board for the next few years. Let’s hope it does not take the complete collapse of the U.S. dollar to provide this motivation.

  • http://www.youtube.com/profile?user=serrtucheserrtuche serrtucheserrtuche

    your only used to getting the portion of your fraudulent income-tax back.. theyve gotten us dependent on its arrival.. but if you play the game you lose. we all lose. no matter how big of a $lice of pie they decide to pass off to you..
    we could be getting something better back, like the entire pie making machine.. all of us
    learn and help spread the w0rd!
    please please watch
    COMPREHENSIVE ANNUAL FINANCIAL REPORTS EXPOSED!
    search
    COMPREHENSIVE ANNUAL FINANCIAL REPORTS EXPOSED!
    see!

    Like or Dislike: Thumb up 0 Thumb down 0

  • http://www.youtube.com/profile?user=serrtucheserrtuche serrtucheserrtuche

    your only used to getting the portion of your fraudulent income-tax back.. theyve gotten us dependent on its arrival.. but if you play the game you lose. we all lose. no matter how big of a $lice of pie they decide to pass off to you..
    we could be getting something better back, like the entire pie making machine.. all of us
    learn and help spread the w0rd!
    please please watch
    COMPREHENSIVE ANNUAL FINANCIAL REPORTS EXPOSED!
    search
    COMPREHENSIVE ANNUAL FINANCIAL REPORTS EXPOSED!
    see!

    Like or Dislike: Thumb up 0 Thumb down 0

  • 337noname

    hehe. Let ’em eat cake. Way to go Ron.

    Like or Dislike: Thumb up 0 Thumb down 0

  • MrGb1965

    Lower the debt ceiling.

    Like or Dislike: Thumb up 0 Thumb down 0

  • hcwcars1

    we love you ron

    Like or Dislike: Thumb up 0 Thumb down 0

  • ed2point0

    When Republicans vote to raise the debt ceiling, they have basically admitted that they support our fraudulent system of central banking and fractional reserve banking. They support fraud over sound money and free markets. Ron Paul is right on this one as always. When Republicans take power in 2011, they will add to our debt, perpetuate the statist quo and enrich their friends.

    Like or Dislike: Thumb up 0 Thumb down 0

  • 3monkeysmomma

    DON’T RAISE THE DEBT CEILING!

    Ron Paul 2012!

    Like or Dislike: Thumb up 0 Thumb down 0

  • heymisterderp

    One rater wants to raise the debt ceiling!

    I have a pretty good rhetorical question about this: Why have a ceiling if all you do is keep raising it? Just avoid the formality and be honest with yourselves that there is no ceiling. There’s just pomp and ceremony. And a busload of irresponsibility.

    Like or Dislike: Thumb up 0 Thumb down 0

  • dmhappy2777

    If your car is broken you cant fix it while it is running. Shut the dang thing down and fix it then when you start it up again it will run properly
    Same thing applies to anything including the broke ass Government
    Shut it down. Fix it. prosecute the crooks get rid of the bad parts FED RESERVE
    allow free markets to do the rest

    Like or Dislike: Thumb up 0 Thumb down 0

  • coffeejunkie33

    Congress always raises the debt ceiling. If they reach that debt ceiling without raising it the government god forbid will have to pay their bills with actual cash on hand. Which they can’t do. Because if their only bringing in $100 but have to pay $1000 they have to create a line in order to pay the investors. It’s only a matter of time before more nations dump the dollar. Russia & China already have. Disaster for the American people and the buck in their wallet. Hyperinflation coming

    Like or Dislike: Thumb up 0 Thumb down 0

  • yabcoder

    CHECK THIS OUT. If you want to see where the debt is going it simple. Take the national debt vs year and plot if out in excel. Now add a exponential trendline to the plot. Look at how high the R^2 is. Before the monetary system was decided to be used they knew a situation like this was inevitable. The debt is going to rise at the same exponential rate until their is a crash. What the fed is doing is just prolonging the crash and in turn going to make the crash worse then it has too.

    Like or Dislike: Thumb up 0 Thumb down 0

  • marketingtube

    Maximum Respect!

    Like or Dislike: Thumb up 0 Thumb down 0

  • StepUPNJ

    The ONLY member of Congress willing to speak the truth. Thanks Ron! Unfortunately, just as you pointed out, while the Republicans like Eric Cantor talk a good game, they don’t hold true to the talk and will vote to up the celing.

    Ron Paul is the only person with real integrity in our Federal government.

    Like or Dislike: Thumb up 0 Thumb down 0

  • Andrew Costello

    I agree. All spending is discretionary. There is no such thing as money that people HAVE to spend.
    Sure, it’s wise to buy a house and pay a mortgage. But you are perfectly capable of living in a tent too. You choose to buy the house.
    The government chooses to waste money on foreign aid, CIA, Department of Education etc….so no base line budget.

    You guys might like:
    http://socyberty.com/advice/10-easy-ways-to-fix-your-life/

    http://bizcovering.com/business/the-road-to-america/

    http://socyberty.com/economics/how-corporations-are-screwing-the-economy/

    I thought they were great.

    Like or Dislike: Thumb up 0 Thumb down 0

  • nwofunclub

    “Dear government: as you keep telling us, if you’ve done nothing wrong, you’ve got nothing to fear” #wikileaks #cablegate

    Like or Dislike: Thumb up 0 Thumb down 0

  • Shaunt1

    I doubt things will make a 360 until the dollar collapses.

    Like or Dislike: Thumb up 0 Thumb down 0

  • whothehellgivesadamn

    THIS IS ALL NONSENSE, WE MAY NEED A FED BUDGET OF ABOUT 1 TRILLION, WHICH COULD THEN MAKE POSSIBLE NO IRS AND NO DEBT, WE COULD PAY OFF EVERYTHING AND EXPAND FREE MARKETS……ONE WAY TO INSURE THIS AS A LIKELY HOOD IS RON PAUL 2012………ONLY THIS TIME AROUND WE REALLY DO IT……..I VOTED FOR RON IN 1988, LIKE MOST LIBERTARIANS JUST AS A STATEMENT OF PRINCIPLE………THIS TIME AROUND WE HAD RAND PAUL 2010…………AND NEXT UP IS RON PAUL 2012

    Like or Dislike: Thumb up 0 Thumb down 0

    • whatRevolution?

      Are you calling Ron Paul a hood?

      Like or Dislike: Thumb up 0 Thumb down 0

  • truthislibertyus

    Austerity so Goldman Sachs can get bonuses? No thanks. Austerity for the banks! Not the little people!

    Like or Dislike: Thumb up 0 Thumb down 0

  • serrtucheserrtuche

    “spread the w0rd!
    through time the country has been taken over under a cloud of lies and deception
    a time will come for THE mass civil dis0bedience
    and it starts with the
    2011 inc0me-tax pr0test
    DONT FILE
    2011 inc0me-tax pr0test
    DONT FILE
    spread the w0rd!!
    t0gether we can send THE message”

    Like or Dislike: Thumb up 0 Thumb down 0

  • riosleon13

    I admire this man.

    Like or Dislike: Thumb up 0 Thumb down 0