The following summarizes several of the negative ramifications of our growing debt:
Reduced Public Investment. As the federal debt mounts, the government will spend more of its budget on interest costs, increasingly crowding out public investments. Over the next 10 years, the Congressional Budget Office (CBO) estimates that interest costs will total $5.8 trillion under current law. Currently, the U.S. spends more than $1 billion per day on interest payments.
If our long-term fiscal challenges remain unaddressed, our economic environment weakens as confidence suffers, access to capital is reduced, interest costs crowd out key investments in our future, the conditions for growth deteriorate, and our nation is put at greater risk of economic crisis. If our long-term fiscal imbalance is not addressed, our future economy will be diminished, with fewer economic opportunities for individuals and families, and less fiscal flexibility to respond to future crises. ——-
Upon enactment by Congress, the USA Plan will immediately eliminate $70 trillion of the $144 trillion in debt which are on the ledgers of America’s balance sheet. This reduction in debt will go to cover the first 20 year’s of transitional costs of Social Security and Medicare. The increased economic activity generated by the Plan’s monthly investment of $100 billion (annual payroll taxes of $1.2 trillion/12 months), will eventually reduce that debt it to insignificance
Economic growth comes from entrepreneurs risking their own money, not from politicians risking your money.