We Need A Balanced Budget Amendment Today!

With the National Debt skyrocketing up over $15 Trillion, with Obama’s 2011 proposed budget threatening to balloon that number to over $25 Trillion by 2025.  My newborn child’s fair share of today’s National Debt is already $45,000.  The average family of four in this country has a $180,000 share of the National Debt.  China is our #1 Debt Holder, and is growing increasingly powerful in dealings between the two countries.  If China were to stop buying our debt and funding our untapped thirst for new spending, the United States economy would be sent into a tailspin.  Do we really want China to have that much power over our economy, our jobs, and our country?

There are three possible solutions to our rising National Debt:

1)       Demand that every American pay $45,000 to the Federal Government today, or raise taxes dramatically in order to accomplish this over the next few years.

2)      Reduce spending to zero for each of the next 6 years.  The Federal Government takes in approx. $2.5 Trillion each year in taxes, so if it spent nothing over the next 6 years, it could come close to eliminating the debt.

3)      Pass a Balanced Budget Amendment and get spending under control immediately.

Obviously, only one of these three “options” is really something that can be implemented.  All 50 states and thousands of cities across the country are forced to balance their budgets every single year.  People and businesses must consistently balance their budgets or face bankruptcy.  Yet, the government routinely spends $1 Trillion more than they take in from taxes each year.

Today, Congress has no incentive to passing any real, meaningful spending reform.  Anything that they vote against is going to be used against them during the next election cycle, and their unlimited checkbook is routinely used to try to drive as much benefit to their district regardless of whether it is good for the country or not.

Passing a Balanced Budget Amendment would force the Federal Government to either increase taxes, or reduce spending – Which are the only two options for balancing the budget.  Your congressperson would have to more than double your income taxes in order to balance the budget without reducing spending…Do you really think they would do that?  Of course not, which is why the Balanced Budget Amendment would force Congress to finally tackle spending reform in a real, meaningful way.

The only good argument against the Balanced Budget Amendment is the perceived need for a blank check in times of emergencies, such as war or a terrorist attack.  Because this argument is valid, I am in favor of a Balanced Budget Amendment with emergency measures that can be implemented in a completely transparent way, so that the American people can determine whether the Congress used the emergency measures properly.

Other than that, there are no good arguments for why the Federal Government should not balance their budget just like every state and city in the country.

If you know of some good arguments against this amendment, I would love to hear from you.  If not, please forward and share this article with your family and friends, and work hard to convince your congressperson that they need to pass the Balanced Budget Amendment today!


About Todd Hagopian (@ToddHagopian)

Todd Hagopian received his BA from Eastern Michigan University with a major in Political Science. After graduation, he worked as a Financial Advisor and a Bank Manager before returning to school. He attended Michigan State University, where he completed an MBA with a double-major in Finance and Marketing. Todd is now a Senior Product Development Manager for a Fortune 500 company. He frequently writes about business issues, social media strategy, and political issues that he finds important. Enjoy the blog!

Posted on September 3, 2012, in Politics and tagged , , , , , , , . Bookmark the permalink. Leave a comment.

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