Debt Ceiling

     Everyone can agree that the United States’ national debt is completely out of control. The U.S. is about to hit the debt ceiling which now stands at $14.29 trillion. This is a huge opportunity for Republicans in the House to make massive spending cuts. Republicans have a huge bargaining chip with the debt ceiling. I recommend that House Republicans threaten to not raise the debt ceiling unless federal spending is cut back to 2008 levels. This is a very realistic goal. For example, Governor Bob McDonnell in Virginia has cut spending back to near 2006 levels. Governor Chris Christie has cut spending significantly in New Jersey, which is a notoriously blue state. Governor Christie has also had to battle with unions in New Jersey but he has still managed to cut spending. Governors Christie and McDonnell have managed to cut spending without the benefit of a bargaining chip such as the debt ceiling.

(Photo courtesy of Jake Johnson)

Republicans need to inform Democrats that they will not raise the debt ceiling unless spending is taken back to 2008 levels. Also, Republicans should insist that entitlement reforms that would ensure further spending cuts in the future be implemented. If the Democrats do not agree to this then Republicans should stand firm and not raise the debt ceiling. Democrats will argue that if the ceiling is not raised then the U.S. will default on its loans but this is not true. The Heritage Foundation has stated that “keeping the debt ceiling at its current level would not, in and of itself, risk default on the debt.” Also, is it not ironic that our President a couple years ago said “the fact that we are here today to debate raising America’s debt limit is a sign of leadership failure”? That was back in 2006 and President Obama backed up his rhetoric by voting against raising the debt ceiling in 2006.

This is the first true test for the Republican majority in the House; to uphold the promises made in this past election cycle. This is a huge opportunity for the Republicans to set themselves up for sweeping victories in 2012. Republicans may never have another opportunity as good as this to begin reigning in our debt and informing Democrats everywhere that this new breed of politicians mean what they say.

Michael Lesko
SUR Contributor