Ron Paul: Debt Ceiling Deal a Victory for the Political Class and Special Interests

by Ron Paul

Washington, DC, Wall Street, and central bankers around the world rejoiced this week as Congress came to an agreement to end the government shutdown and lift the debt ceiling. The latest spending-and-debt deal was negotiated by Congressional leaders behind closed doors, and was rushed through Congress before most members had time to read it. Now that the bill is passed, we can see that it is a victory for the political class and special interests, but a defeat for the American people.

The debt ceiling deal increases spending above the levels set by the “sequester.” The sequester cuts were minuscule, and in many cases used the old DC trick of calling reductions in planned spending increases a cut. But even minuscule and phony cuts are unacceptable to the bipartisan welfare-warfare spending collation. The bill also does nothing to protect the American people from the Obamacare disaster.

As is common in bills drafted in secret and rushed into law, this bill contains special deals for certain powerful politicians. The bill even has a provision authorizing continued military aid to opponents of the Ugandan “Lord’s Resistance Army,” which was the subject of the widely-viewed “Kony 2012” YouTube videos. Most of these unrelated provisions did not come to public attention until after the bill was passed and signed into law.

Members of Congress and the public were told the debt ceiling increase was necessary to prevent a government default and an economic crisis. This manufactured fear supposedly justified voting on legislation without allowing members time to even read it, much less to remove the special deals or even debate the wisdom of intervening in overseas military conflicts because of a YouTube video.

Congress should have ignored the hysterics. A failure to increase government’s borrowing authority would not lead to a default any more that an individual’s failure to get a credit card limit increase in would mean they would have to declare bankruptcy. Instead, the failure of either an individual or a government to obtain new borrowing authority would force the individual or the government to live within their means, and may even force them to finally reduce their spending. Most people would say it is irresponsible to give a spendthrift, debit-ridden individual a credit increase. Why then is it responsible to give an irresponsible spendthrift government an increase in borrowing authority?

Congress surrendered more power to the president in this bill. Instead of setting a new debt ceiling, it simply “suspended” the debt ceiling until February. This gives the administration a blank check to run up as much debt as it pleases from now until February 7th. Congress can “disapprove” the debt ceiling suspension, but only if it passes a resolution of disapproval by a two-thirds majority. How long before Congress totally abdicates its constitutional authority over spending by allowing the Treasury permanent and unlimited authority to borrow money without seeking Congressional approval?

Instead of seriously addressing the spending crisis, most in Congress would rather engage in last-minute brinksmanship and backroom deals instead of taking the necessary action to reign in spending. Congress will only take serious steps to reduce spending when either a critical mass of Americans pressures it to cut spending, or when investors and foreign countries stop buying US government debt. Hopefully, those of us who understand sound economics can convince enough of our fellow citizens to pressure Congress to make serious spending cuts before Congress’s reckless actions cause a total economic collapse.

  • Surfisher

    Obamacare dissected:

    No-one can dictate that the American people MUST buy something against their will — That’s Unconstitutional, and subject to charges of treason by the Government Official (in this case the President) for trying to enforce it!
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    As a pessimist I’ll state the following (which may seem optimistic for the eventual repealing of ACA, better described as ‘ObamaCaresLess’ in it’s true meaning as: Dictatorial Health Enforcement by the Obama Gov on all American Citizens — to those that expect that patriotic Republicans will win in 2014, and not the Neocons supported by the GOP Establishment):

    1) The Young Healthy Bodies of 7,000,000 (7 Million) Americans that need to be thrown as sacrificial lambs to make this infamy work in the first year won’t even approach a fraction of that NEED — Barrack Hussein and Patsies tried going to Universities to get healthy young students to enroll, only to get mostly BOOED and laughed out of college auditoriums (he guessed wrong that college students have been dumb-ed up enough to accept his idiotic plan)!

    I’ll state that Hussein Obama will be lucky to get 1/10th of the needed young, healthy bodies — 700,000 at most! He may think the people are dumb, but the healthy young people are nowdays most aware of where this nation is heading — Dictatorship — and I’ll wager that the final number that fall for Obama’s trap are 70,000…a JOKE of a Number exposing the rejection of his dictatorial desires, that’s 1/100th of his Majesty’s Clairvoyance, which will make Obama an even bigger JOKE!

    Regardless how few young healthy bodies register — anything under 3 million will throw this socialist scheme into unsustainable turmoil. Barrack Hussein will then have to attack others to make it work. The less healthy sacrificial lambs subscribe, the more the “Health Care” Dictator will have to squeeze the rest!

    This will cause major problems for the Democrooks, come election time. Especially since by November 2014, expect the cancellations to individuals to become well over 17,000,000 Americans to have their insurances canceled because of Obamacare (to make a comparison, 17 million people is like the WHOLE Nation of Holland — men, women and children — getting Nixed)!
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    2) Come 2014, all employers will be subject to compliance with this infamy (or pay penalties)!!!

    The end result will be that even more Americans will lose their current plans — as many as another 35,000,000 (to make a comparison, 35 million people is like the WHOLE Nation of Canada — men, women and children — getting Nixed)!

    This will keep on coming month after month in 2014 — how many employers will decide to pay the penalty and not provide their employees with health insurance (in order to stay alive in business, and if their employees leave because of that, won’t most of them go out of business)?!

    And how many employers will risk increasing their employees premiums astronomically, in order to comply with Obama’s Dictates (hoping their employees won’t quit, thus put them out of business, because the workers’ final paycheck is so small that they can’t make ends meet)!

    The near destruction of ALL Self-employed and Small Business seems to be the end result of Obamacare. And I’ll state that that was HIS GOAL — the destruction of what America is all about: Private Proprietorship and Small Business — the BACK BONE OF AMERICA’S INDUSTRY!!!
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    The above shows CLEARLY that what Obama is doing is Unconstitutional — and since he swore to defend the US Constitution when taking Office, that makes him Perjurer of the oath he took!

    By breaking the Oath to Preserve and Defend the US Constitution, Barrack Hussein Obama is GUILTY of TREASON — as such he should not only be Impeached, but send to Jail for Life!

    Read more at http://www.uspresidentialelectionnews.com/2013/11/obama-meets-with-senate-dems-over-obamacare-fears/#iVCXUICEEdpWz4JA.99

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  • Surfisher

    How pathetic has our Nation become:

    1) We have a President that STILL refuses to show his ORIGINAL Birth Certificate (which we all must do to get a job). What valid credentials did Barrack Hussein Obama show to get his job, as president…NONE! What is he hiding — being born in Kenya, thus belonging behind bars as an impostor, and not in the White House?

    2) Hillery Clinton running for President 2016 — when she should be in jail for life in a Federal prison for allowing the deaths of Americans in Benghazi?

    3) The GOP Elite betraying the original Republican Principles in order to stay in power, regardless the damage they cause to our Nation?
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    What has become of our Free Republic? Have, We The People, become so complacent to allow Criminals to evade not only Justice, but to run our Nation…are we slowly but surely becoming a Banana Republic where “Justice For All” means punishing the people only, but not the rulers since they are above The Law?

    Your thoughts on these infamies would be appreciated.

    Read more at http://www.uspresidentialelectionnews.com/2013/11/election-2013-post-mortem/#0m7pBZ3pYKScGE5G.99

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

    Thank you very much. These posts are very much appreciated.

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  • http://www.youtube.com/profile?user=123mcgrawtim 123mcgrawtim

    Thanks Chris for posting these every week.

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