Making Sense Of The National Debt

To the Editor:

 Every day we read about the government’s multi-trillion-dollar debt. Can anyone comprehend these numbers? I’ve scaled down the numbers to show just how much our government has and continues to overspend. Let’s assume the US government is the local Daniel (my name) family earning $100,000 annually. As of today the Daniels would have $645,000 in credit card debt. This debt has accumulated because the Daniels (US government) refuse to adjust their spending habits. For example in 2010 the Daniels earned $100,000 but spent $148,000 (the US spent $1.48 for every $1 received). Talk about a family (I mean government) living beyond its means. With these current debts, interest on these debts and no change in spending habits, how can the Daniel family (aka US government) possibly repay this debt? It’s impossible!

Fortunately the head of this family understands changes need to be made. Mr Daniel (President of Daniel family) has a plan to balance the family’s budget. His first change is to increase the family’s 2011 spending to $172,000. Is this insane? Hang on it gets worse. In 2012 he plans to cut spending for the next 10 years. Unfortunately the cut will decrease the family’s annual spending from $172,000 in 2011 to $165,000 in 2012 and so on. How can anyone call this a spending cut?

On Monday February 14 President Obama addressed the nation with a plan of action. President Obama’s speech wasn’t just misleading, it was an outright lie! First off, for these minuscule changes to occur the US economy needs to grow at 3.9 percent (two times more than current growth), unemployment at four percent (more than one half of today), and interest rates unchanged (interest rates are on the rise). Everything Obama proposed is 100 percent impossible. This man and his administration continue to deceive the American public, put personal interests above the public’s, and push America to the brink of destruction. In 2008 Senator Obama promised “Change.” I say: Change it Back!

Daniel M. Patti, CFP

84 South Main Street, Building C, Newtown      February 16, 2011