Debt Ceiling Could Be Hit This Month

Only 8 times since 1929 which marked the beginning of the Great Depression, has the National Debt actually decreased from the previous Year's Amount, the last time occurring in 1960.

The Percentage of the National Debt to GDP (Gross Domestic Product) has exceeded 100% in 3 years - 1945, 46 and 47.

The percentage of the National Debt to GDP in 2003 was 61.6%

 

The Federal Debt Ceiling of 8 Trillion Dollars is roughly 4 times the Annual Federal Tax Revenue.

 

The ratio will probably go higher, as part of the "mandate" undoubtedly includes more tax cuts.

 

Who cares? Let the next generation pay for it. WFTH-I

 

I wonder how many on this board have a debt load that is 4 times their annual income?

Count your Home Mortgage, Your Car Loan(s), student loans, consumer debt. All of it together.

 

The principal on my home loan is just over my annual income. Principal on my car loan is less than $10,000. My kids paid off their student loans, those who needed them. (scholarships took care of the others) I have two credit cards, one with no balance (never used) and one with less than $1000.

Everybody is trying to lend me money.

 

Nowhere close.

And, just because many citizens are irresponsible does not excuse the government. Although you would be correct to point out that we can hardly expect the people to elect better stewards than themselves.

All that aside, if I am going to be involved in influencing my government offcials, I want to influence them to be good stewards, not bad.

 

Whoa, Johnv, don't be calling citizens irresponsible because they may have more debt than you.

I have a friend who told me the low point of his life was when he was in the hospital with a heart attack and no health insurance and had an outstanding debt load of 7 million dollars. The man is now solvent and a volunteer worker in a State Baptist Convention. I would hesitate to call him irresponsible.

If a normal family buys a home these days they're going to have a debt load much larger than their annual income.

 

Well, don't blame Johnv.

You are correct that deb t doesn't necessarily indicate irresponsibility. I am aware that there are those who have been unfortunate, and am humbly glad that debt is not among my problems.

BUT...MOST people who are deep in debt are there because they do not wish to live within their means. Yes, housing is expensive, but many live in huge houses for which they borrowed irresponsibly. And, many drive fancy cars for which they borrowed, when they could have paid cash, or at least kept their debt down, by driving something less.

And, more to the point, the government spends money like water on all sorts on unnecessary and/or unConstitutional programs, borrowing to do so.