Ten days ago I proposed a plan for the Republicans to solve the deficit problem by refusing to raise the debt ceiling and dump the deficit problem in Obama’s lap. I thought it was a pretty good plan. I did get some support from my readers but you would have to describe it as less than overwhelming.
Not to worry my friends. The crazy old man on the shore of the Sea of Happiness has not run out of ideas just yet. I’ve given the subject more thought and I came to the conclusion that I should have focused on the debt and not on the deficits. And sure enough, the crazy old man has come up with another plan to save America and maybe even the world.
Like most of my plans to solve the world’s most complex problems, this plan is very simple. Under this plan our children in Washington will never again have to worry themselves over the debt limit. Also, they can put to bed this insane idea of a balanced budget amendment, which is a foolish game they are playing and according to Plubius Huldah it is unconstitutional.
I am proposing that this plan be put forward by one of our Tea party conservatives in the House as the National Debt Act of 2011. Here is an outline of the plan:
National Debt Act of 2011
The current debate is centered around reducing expenditures (if you believe in fairy tales) over ten or twelve years. Obviously these children have some growing up to do and we are going to have to give them a little time to do that. So, for now we will raise the debt ceiling by $2 trillion (the Republicans can try to get what ever spending cuts they can negotiate). This new debt ceiling is fixed for all of fiscal year 2012. In fiscal year 2013, the debt ceiling will be raised again by $1 trillion. Every year there after the National Debt must be reduced by $500 billion until such time as the debt is reduced to 50% (the experts could come with a better target) of the GDP.
In cases of extreme national emergency or war, The debt ceiling can be raised by approval 75% of the duly elected members of the House and the Senate. In the case of war, it must be a war declared by Congress and not police actions or kinetic actions or any other kind of military action. Once the national emergency was over, the government would have reduce the by $500 billion each year there after until the target percentage of GDP was reached again.
This Act can only be revoked by approval of 75% of the duly elected members of the House and the Senate.
If this Act could be passed in the next couple weeks, Timmy Geithner could relax, President Obama could look forward to spending another $2 trillion in his last year as President, there would be no more threats of lowering America’s credit rating and, our boys and girls in Washington would have two years to mature into adults. Because come fiscal 2014, there will be no more laying awake at night thinking of new ways to spend our money. It will be all about reducing spending and increasing revenues (there are ways to increase revenues that don’t involve raising taxes).
Okay. Even this crazy old man knows that no one in Congress is going to take this idea seriously (a deal has probably already been agreed to by the powers that be). But think about it. Wouldn’t it be better to focus on the DEBT instead of the DEFICITS?
Well, that’s what I’m thinking. What are your thoughts?