Ron Paul: August 2nd Debt Default “Deadline” Is Just For Show; Members of Congress Want to Take Their Vacations!


Megan Hughes: Joining me now is Congressman Ron Paul, Republican from Texas, also a presidential candidate. Thank you so much for being with us here. You are a “no” vote tonight, talk to me a little bit about your vote and what’s at stake.

Ron Paul: Well, I’ve been worried about the spending and the deficit for about 30 years, believing we’d get to this crisis. I’ve never voted for an appropriation bill because of that, other than some minor ones, believing that if we keep spending, the debt’s going to be too big and we’re going that to have a crisis. So we’re there. So the last thing in the world I would ever consider, is raising the debt limit so they can keep spending more money. Because the expenditures are what the problems are, and the debt is secondary to that. But when governments spend the money, the people don’t have the money.

So what we should be doing is not be talking about whether we’re going to get a temporary reprieve and raise the debt limit and continue to do what we’ve being doing. We got to ask, what should our government be doing. Should our government be the policeman of the world, should the government be running an entitlement system which they can’t afford, or should we obey the Constitution and just live up to our promises? So I want people to start talking about that, rather than the technical arrangement of adjusting for paying our bills which is not the main issue, because the bills are going to get paid for. The big thing is, we’re going to pay with bad money.

Megan Hughes: We did hear a lot of concern from the business community, we had a letter sent to the members of Congress and the President today from CEOs of all the major banks, we had another letter sent specifically to the House of Representatives, supporting Speaker John Boehner’s bill from the Chamber of Commerce, from a number of industry groups. Are they wrong to be worried about August 2nd?

Ron Paul: No, they should be worried, but they’re afraid we might cut spending, and they’re all on the dole, so often so many of them getting contracts from the government. We should be cutting back on that. They could be calling from the military-industrial complex. What if we changed our foreign policy and we didn’t just spend on weapons, what if we took care of sick people instead? You know, they would feel like they might be losing out, so they do have an interest in perpetuating the status quo, but we need to change the status quo because this deficit financing, big government spending cannot be maintained.

Megan Hughes: And getting back to this vote tonight, and sort of the divide that we’re seeing within the Republican Party, do you think that it’s going to pass, do you think that ultimately House Speaker John Boehner is going to win enough Republicans over to get this thing through?

Ron Paul: I think there’s no doubt that they will raise the debt limit and we will go back to spending again. Whether it’s going to be a vote tonight, if he calls a vote tonight – we’re not absolutely sure yet – if he calls a vote tonight, he’ll pass it. He won’t call that up and it goes down, that doesn’t happen. So he’s working on a few more votes to make sure it does pass. But whether it’s tonight or tomorrow or the next day, before August 2nd, because they have a lot of trips to make. I mean, August 2nd is more related to the month of August being off because there’s nothing magic about August 2nd. It is a bunch of fear mongering going on that the checks won’t come to the Social Security beneficiaries. But what they ought to worry about is all of us getting checks in money that has less value; that is the default this country ought to be worried about.

Megan Hughes: Treasury Security Tim Geithner has issued a lot of calls of concern about that August 2nd deadline, but you’re not buying it?

Ron Paul: No, I think it’s artificial. He’s already 200 billion dollars over the limits right now, and he’ll get the increase. But they have to put pressure on people, they would like the technicality of the laws changed. But just think of what they did for bailing out foreign governments. They came up with 5 trillion dollars from the Federal Reserve to bail out other countries and other banks, so they’re not going to let anybody fail. We’re not going to fail to pay our interest and take care of the bond market, but we’re going to fail to protect the value of our currency.

Megan Hughes: And there has certainly been a lot of talk though about this August 2nd deadline. Do you see there being some kind of compromise bill, even if this vote doesn’t happen tonight, even if House Speaker John Boehner’s bill does not pass? What do you see happening in the next week?

Ron Paul: Oh, it might be short one, but they’ll do something, I mean, something will happen before August 2nd. They built up too much anticipation for this. So whether it’s Obama who would have to compromise and say well, he wants to go through the election and people can see through that pretty easily. But he might have to say, “Well, get me something for 5 months” or something like that and settle some of these arguments some other day.

Megan Hughes: Do you think that Republicans have already taken a lot off the table, especially in terms of the tax overhaul that the White House was originally pushing for?

Ron Paul: Oh, I think so, but they haven’t touched the issue, because nobody is talking about any spending cuts. This is not real spending cuts, they’re just talking about the CBO increases. All these cuts are fictitious, so if they’re going to give up some spending cuts, they’re not giving up anything.

Megan Hughes: Now, House Speaker John Boehner has 915 billion dollars, I know it is discretionary spending, why do you say that’s not real?

Ron Paul: Because they’re cuts from proposed increases according to CBO. There are no cuts in the next 10 years, it’s all cuts in the proposal. If they were serious, what they should do if they said this is a serious matter, just freeze the budget from last year and you’d cut about a trillion dollars out.

Megan Hughes: Congressman Ron Paul, thank you so much for being here. One of the dissenters tonight. House Speaker John Boehner needs 216 Republicans to get his plan passed, and again, we’re still waiting on that vote.

  • Eels88ya

    Keep Ron Paul 2012 alive in this election. The media is not giving Dr. Paul his fair share of exposure like the other hopeful candidates. So let’s write “Ron Paul 2012” on every bill in your purse or wallet and spread the word of freedom.

  • goldcurrent1

    Ron Paul is what a real leader looks like. Are your ready yet, America?


  • no doubt the goal of libertarians is to get health costs back down so that everyone can get off of ss but his plan IS to leave ss alone except allow people to opt out so youre barking up the wrong tree

  • w6p7a

    We have GOT TO put this man in the Whitehouse!!!

  • russianamerican1

    i think they will make the american money worthless and pay every body.
    i feel sorry for those minimum wage people.

  • russianamerican1

    i hope he is ok with weed
    other than that he is ok

  • kt10585

    We’re in debt because thats what bankers do. Force a country into borrowing then kill em on the interest and maneuver them to keep em in debt. Ron Paul is calls it like it is – posturing and fear mongering. Its the bankers, not reds and blues. All the bankers are jews — aint they? Their loyalty is — Israel?

  • Higgs666

    I had a 30 minute conversation with my manager today over why I am not voting for Obama. I brought up that he is raising the debt ceiling, invading countries while loopholing congress, and he is still funneling troops into Iraq and Afghanistan after receiving a Nobel peace prize for promising to stop the war. The response I kept getting was, “It’s all George Bush’s fault. Obama has to work with what he was given.” In my opinion, Obama picked up right where Bush left off.

  • vierge99

    My first ever presidential vote will go to Ron Paul in 2012!

  • phantomcharger

    Ron Paul 2012!

  • waltermatthewberg


  • chronofusion

    Ok just a reminder people Obama’s “closest-to-REAL-name is ( Barry Seotoro) look it up. I dont call him obama. I call him by his real name. He’s just another lying scumbag pon of the NWO and federal reserve ran in silence by the rothchilds and bildebergs.

    RP for 2012 ftr

  • tstruss912

    The Tea Party is the joke of the whole world–they act like small children who don’t understand what their parents are saying but are too arrogant to listen. Unbelievable…

  • bushpigification

    August 2nd my bday 😀

  • instacat

    When Ron Paul speaks about this issue, he makes so much sense!
    Truly, he understands what is needed here; I just hope the American people will realize we need Ron Paul more now than EVER!

  • rumpelstillskin65

    Restore America make us a great nation agian Vote For Ron Paul 2012

  • BeantownJim

    Expect higher prices to subsidize the size of govt’

  • Epicnerdgasm

    Im going to vote for Ron Paul, and if hes not on the ballet, Im going to write him in. Fuck everyone that votes for politicians with empty promises.

  • cookiesonsteve

    Senate kills latest House debt measure 7/29/11

    The Senate has killed the latest effort by the House to raise the government’s borrowing cap.

    Democrats and several Republicans killed the GOP measure by a 59-41 vote Friday night, just minutes after it arrived from the House. Democrats opposed the measure because it would require another painful debt-limit debate early next year.

  • CazyDayz

    I’m not a republican i voted for Obama, and i will Vote For Ron Paul ! im sick of people lying to me. Obama has lied about everything the progressives wanted from health care to …. Obama is even going after the sick people in states that have medical marijuana when you go after the sick thats were i draw the line too.