But is it really? While Republicans seemingly lost their grandstanding effort to stop Obamacare, the Tea Party effort to slash spending at the fastest rate since World War II continues. The shutdown deal only kicks the can down the road. We’re going to be in this same boat in mid January and by mid March, if no deal is reached, again, the federal government will run out of money to pay its bills.
The economy is struggling and that’s putting it lightly. Economists think the shutdown will cut almost half of one percent from the economic growth of this fourth quarter. Normally, that wouldn’t be a huge deal because next quarter would see a rebound. However, next quarter, we could be in the exact same boat we’re in now which would further hurt the economy. See how this can snowball?
I’ll be the first to admit that one party cannot be held solely responsible. But the Tea Party wants this country to essentially live on food stamps. I have to give them some credit, however, because they do realize that we cannot default. Even though it was an eleventh hour deal, the right seems to understand that a default is in no one’s best interest. For that, I am thankful.
Many people get confused when discussing the debt ceiling and mistakenly believe raising the debt ceiling means increasing spending. That’s actually not accurate. Raising the debt ceiling means allowing the government to pay for bills already incurred. That’s something we have to do. Period.
Is it fair the government can do this but we, as individuals, cannot? Of course not but the alternative is unacceptable. Do we need to do something about government spending? Yes but we cannot default. Picking up on my theme? We cannot default! No, the world would not end tomorrow. But, give it time and our world as we know it would begin looking more like Detroit… everywhere.
We live in a highly centralized world and, partly why foreign aid is so important, when one piece falls, it places greater strain on the other pieces and, eventually, creates a domino effect. I fear that we are in a vicious cycle and every few months we’ll be back at this place. Something has to give.