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=InTheSticks0001 InTheSticks0001

    If allowed to hyper inflate, there may not be a country left to save.

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  • InTheSticks0001

    Please listen to this man.

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  • http://www.youtube.com/profile?user=KellyWesKirkconnell Kelly Wes Kirkconnell

    Ron Should not run in 2012- too late, meaning the economy has already been destroyed- to fix it, it needs to get worse first– the Media might want Ron Paul in office in 2012 then he would be the target as the “WHY” when the Mobs are running loose trying to get the entitlments, SS-medicare-medicade going again. He could run if it has already collapsed – but if BREAD is under $5.00 a loaf he should not run. If Bread reaches $75.00 a loaf by 2012 THEN RUN .

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  • captkirkconnell

    Ron Should not run in 2012- too late, meaning the economy has already been destroyed- to fix it, it needs to get worse first– the Media might want Ron Paul in office in 2012 then he would be the target as the “WHY” when the Mobs are running loose trying to get the entitlments, SS-medicare-medicade going again. He could run if it has already collapsed – but if BREAD is under $5.00 a loaf he should not run. If Bread reaches $75.00 a loaf by 2012 THEN RUN .

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  • http://realcolorwheel.com DonJ

    Ron Paul would have been president years ago, but the newspapers played him down. What’s going to stop them from doing the same thing again? Don’t we have any control over the mainstream rags? Maybe start him off as a write-in? Start Obama’s impeachment and nullify what he has done. End the Fed. He will stop this insane power grab. Get rid of Hawaii’s one-arm bandit Sen. Inouye.

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  • RonandRand2012

    We need to stop sending all this money overseas and instead keep our tax dollars in the pockets of every individual. As the forefathers stated, we need to stop fighting for liberty and keep our own liberty. That means we can do whatever we want unless it hurts someone and we should stop having these wars that only free other people, geez.

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  • holidaygolight

    The only way to reduce spending is to slash the Pentagon’s budget. We spend more on military than the whole world combined. Politicians cannot call themselves conservatives while supporting the empire that is going to bankrupt America like Rome.

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  • hiyukenmusic

    Ron Paul…why not have the money printed by the Treasury and backed by nothing, thereby turning money=debt to money=means of exchange. Money Masters Cutting services will do nothing to help people, which whether you like it or not, is the role of government. So your solution is to let people starve instead of having a debt free currency issued by the government. Awesome!

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    • whatrevolution?

      @hiyukenmusic,

      Please clarify your comment. Presently the US Dollar is “backed by nothing”. Also, removing the “debt” element from the currency will not eliminate the problem of an exponentially expanding supply of currency – such a currency will have no value in the long run. Merchants and traders will seek a medium of exchange that is a real store of value, abandon the dollar, and leave the rest of with a worthless currency – this is not my opinion, history bears this out. Also, the “debt” element of any paper currency is eventually forgiven. Like many of its citizens, the US gov’t will never be able to pay off its debt, so it will default and reorganize at some point in the future. Given that so many other developed nations are in the same predicament, they will probably all reorganize at the same time in a common effort, thereby erasing most of their debt in a single cooperative stroke. What we need is a stable money supply – historically precious metals have offered the best solution.

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  • Lindsey Brutus

    Lock Congress in a room, give them blankets and pillows, turn off the A/C ( or heat) and tell them they can’t come out until the budget is balanced. Then we can start to look at how we are going to re-pay the deficit.

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  • neonshoji

    Wow, there are people who out-conspiracy theorize Alex Jones. That can only mean one thing; you’re a government plant!!!

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  • http://www.youtube.com/profile?user=FortyKal Forty Kal

    Hey Ron Paul, i know you won’t see this but for most people you realize that the US government is trying to destroy the US dollar therefore if the dollar falls we don’t owe any other country money. HENCE they will remake a new currency, just like in the past not speaking of our country similar to something like China did.

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  • kalvin6996

    Hey Ron Paul, i know you won’t see this but for most people you realize that the US government is trying to destroy the US dollar therefore if the dollar falls we don’t owe any other country money. HENCE they will remake a new currency, just like in the past not speaking of our country similar to something like China did.

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  • VisionsOfTheNobody

    If you vote down this…
    you don’t understand what is really going on in the US!

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

    Alex Jones is talking about being censured then why did he censure my brother from posting on his channelthet he feels Alex works for the government putting info out, gaging our reactions? Alex got a Rothschild on, nobody is able to just do that. Alex is making a drama about censurship yet he is censuring live now when I posted this his channel I was immediately banned.

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  • satchiakita

    Alex Jones is talking about being censured then why did he censure my brother from posting on his channelthet he feels Alex works for the government putting info out, gaging our reactions? Alex got a Rothschild on, nobody is able to just do that. Alex is making a drama about censurship yet he is censuring live now when I posted this his channel I was immediately banned.

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  • William Birkhead

    Exactly, Ron! Liberals and Progressives on both sides of the “Aisle” will squeal, but this will rightly put their nose in it! Sometimes the way to solve a problem is to make it worse, so that it DEMANDS attention. What you propose should do it! And keep those in Congress from Tea-Party success on track! A 5-10% cut each year in all departments for 5 years as an opener should be very possible. Award success.

    Only problem is: I worked in gov’t for awhile in a big Dept of Agriculture service (agency). The politically appointed Administrator (nice tho’ he was) and his Deputies (equally nice and generally competent people) have no idea what is really in their budgets or how to start from scratch. Guess they will learn–a needed life changing experience!

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

    would you like guns or butter? …BOTH and then some omg

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  • uturniaphobic

    would you like guns or butter? …BOTH and then some omg

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  • 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!

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  • 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