The Covid-19 pandemic set off a historic government spending spree, justified by the potential economic destruction that would have resulted as a result of the government’s lockdown policies. Government spent trillions, but most assumed the spigots would be closed once the country got over the worst of Covid-19.
But many were wrong.
The New York Postnoted in September that:
“Last year, lawmakers enacted $3 trillion in (mostly) justified deficit spending for a once-in-a-lifetime pandemic. Yet the 2021 spending blowout is set to dwarf those costs. Lawmakers have already enacted a$1.9 trillion “stimulus” billfilled with unnecessary items like unemployment benefits that exceed the wages for many available jobs, and bailouts to states already running budget surpluses. The Senate has passed a $550 billion infrastructure bill that is financed mostly with gimmicks. Biden’s 8.4 percent discretionary spending increase would permanently raise the baseline by $1 trillion over the decade.“
Next in line in the government spending free-for-all is a reconciliation bill, President Biden’sBuild Back Betteragenda, that was originally slated to be over 3 trillion dollars.
“Add it all up, and congressional Democrats are set to commit $8 trillion in new spending over the decade, of which $6 trillion would be borrowed. That is quadruple the net cost of the 2017 tax cuts.“
So, what will be the ramifications of such gluttonous spending? Well, it would likely be debt-Armageddon for future generations of American citizens.
The Postalso opines that:
“The long-term danger is that today’s irresponsible government borrowing is set to collide with 74 million baby boomers retiring into Social Security and Medicare systems that are projected by the Congressional Budget Office to run a $112 trillion cash shortfall over the next three decades, including the resulting budget interest costs.“
And despite Joe Biden’sproclamationsthat his entire agenda is paid for, the reality is that billions are not accounted for in a Congressional Budget Office’sanalysisof a pared-down Build Back Better bill, costing roughly half of the original proposal.
The long and the short of President Biden & Congressional Democrat’s proposed spending sprees is that it will add hundreds of billions to the deficit, and possibly trillions over a decade, if they are able to have their way at some point in the roughly 3 years remaining in Biden’s term.
TheNew York Post’sop-ed, cited above, argues that the debt implications of the Democrat’s spending ambitions would hang like a millstone around the necks of Americans in decades to come:
“All this debt is projected to make interest the largest item in the federal budget, consuming nearly half of all annual tax revenues within three decades. And these figures assume that interest rates still remain comparatively low. If rates exceed the CBO projections by even just one percentage point, it would add $30 trillion in interest costs over 30 years.“
Ironically, Democrats in power have enough collaborators in the GOP to make these wild socialistic fantasies a reality but have run into resistance from moderate Democrats in the Senate, most notably Senator Joe Manchin of West Virginia.
But should they succeed in getting their agenda passed over Joe Biden’s Presidency, it is clear that their spending will irrevocably alter the foundations of this country and will burden generations of Americans with insurmountable debt that will never be paid for, no matter how dishonestly they rally around the all-too-familiar “tax the rich” gambit.