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.

  • shotsky94

    silly republitards h8 the poor

  • kristofferdub

    President Paul!

  • Archosz

    It’s time to stop pretending that any politician, including the well-intentioned Ron Paul, will change the shit we are in. Stop dreaming, nothing will change for the better there. It’s up to us.


  • Chewbacca1978

    Default…..That the only way out right now.

  • hitlerscow

    Ron Paul’s picture is next to the definition of Courage!

  • bkekss


  • vertigo001

    go ron paul! thnx for making us texans look smart and sophisticated again

  • If you look at his voting record, you would see that he doesn’t have any votes in favor of increasing government packages, and in fact pays his pension back to the government. Not all politicians are equivalent.

  • You are wrong on many accounts. Please do your research before you go libeling.

  • nah just one of the people who paid for your education…way to pay it forward bud.

  • Stephanjnj

    It’s reassuring to know that Ron Paul pays his taxes just like the rest of us. Now, once again, for a modest boost in credibility, here’s what he needs to forego: Cushy Congressional benefits to include premium free federal health care, outrageous retirement packages, 67 paid holidays, 3 weeks paid vacation, and unlimited paid sick days. In order for our Tea Party reps to be consistent with themselves, let’s all demand that they wean themselves off the federal teat, the sooner the better!

  • fudgedogbannana

    Is this guy the only honest man in politics or is there another?

  • banshee8989

    We will get another POS passed on Monday morning at 1AM so as to not disrupt the markets and at a time when most people are sleeping and not aware of whats going on. They will call it a compromise but in reality it will be more creative accounting… and if we are lucky…. they will create another committee to analyze the Debt. When a Committee is created you know its BS.

  • Maplesyrup41

    ron paul is actually starting to sound like an old broken record and is coming off like a loony saying that the deadline is bullshit

  • dwoods828

    I have begun using the Obama/Democrat plan with my creditors…I am in forming them that they need to raise my debt-ceiling or I will on my own…If they don’t it is they who will cause my default!

    Now give me what I want so I can keep spending!

  • wiggledytoes

    If Ron Paul does get in power and doesnt keep his promises then that should tell everyone there is no hope and that all politicians are puppets. I dont think that will happen, i believe he believes in what he talks about. But so many times in past weve been tricked into voting for some one and been dissappointed. Lets just hope if he inherits this mess its not to late.

  • TheRealArchAngel

    “He wants to end the war on drugs. He’s like one of the biggest proponents of doing so.”
    Making drugs wanted by people illegal creates a black market for them
    Even now with the raise price of Cigareetes there ar black market Cigarettes
    Quickest way to kill a drug cartel is to make the drug legal then pass a law saying it can’t be worth more then a penny a ton (make worthless)…not to outlaw it then waste money and time tryiong to control the black market for it

  • TheRealArchAngel

    “Problem with Obama is he speaks in such generalities all the time he just makes things sound like he wants all these great things but never has any plans for anything useful!”
    Bet you he do a great version of the govener in Best Little WHorehouse in Texas “Ohhh, I love to dance a little Side Step”…even got the frame for the dancing,just need a oversized hat to do the turn and leave.

  • ThePeacefulResistor

    Canada loves Ron Paul!

  • dicemanace

    Thank god someone wants to take the visa away from the kids go Ron go