The U.S. Has Gone Over The Real Fiscal Cliff Years Ago
Nearly everyday after the U.S. presidential election we have heard about the U.S. fiscal cliff. This is a term used by the media and politicians to describe the effects that will automatically kick in at the end of 2012. Americans can expect automatic tax increases and spending cuts which is what the politicians are supposedly trying to do anyway. So why not just simply go off of the cliff and nature take its course? You see, the politicians all want to capitalize on the moment and seem like they won something in these ridiculous negotiations that are taking place right now. Politicians never fail to take advantage of the political theater in Washington. The District of Columbia should be called Hollywood or Broadway with all of this acting and drama that takes place.
The only way anything productive ever gets done by politicians is when there is a crisis of some sort. Currently, there is fifty percent of the country that does not pay taxes. There are wars that the United States are involved in all over the world. People on welfare, or government assistance in the U.S. is now around 47.0 million, please keep in mind that there are roughly 300 million people living in the United States. Social Security is broke, and the national debt is over 16.2 trillion dollars and growing. In my humble opinion, I can't even believe we are even discussing a fiscal cliff.
Can a household run on unlimited debt? The answer to this question is no. If an individual does not pay his bills he will go bust and have to file for bankruptcy. A family cannot simply live off of their credit cards forever. At some point, the credit issuing bank will simply cut the family off and no longer lend them any money, however, in government it is different. The government can continue to borrow and borrow more money from a host of different places. The best solution for us all might be to simply go over the so called fiscal cliff.
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.