The media and the Democratics1 will have you believe that the balanced budget amendment that failed the House today was the only, if not last, hope for fiscal sanity. When the opposite is true.
Fiscal sanity prevailed by not passing this bill.
The government does not have an income problem. It has a spending problem. And the only problem with income is that it just can’t keep up with the $15 trillion in debt that Washington continues to pile on. Enter the bogus ‘balanced budget’ amendment.
This amendment has no limit on spending. It is a Liberal’s wet dream. Under this amendment, when spending increases beyond the income, then tax increases would ‘by law’ have to happen to cover (if only on paper) the deficit. That’s because the constitution says the budget has to balance. This amendment is an economy killer. Period.
A balanced budget amendment has to be one that limits spending in some way. For example, spend all you want up to 18% of GDP. If you spend more than that, you’ve spent too much and need to cut back THE SPENDING, not increase THE TAXES. A bill that would pass the House must be spending-priority instead of tax-priority.
Revenue surpluses (remember them) and operating under a balanced budget that pays down the debt will not kill the economy. Taxing too much and ballooning the debt will, and is.
Link: Balanced Budget Amendment Fails in House
1Democratics is synonymous with the old word Democrats. Democrats seem to be annoyed when their party is called the Democrat Party. 🙄 It just follows that members of the Democratic Party are democratics and democrats are members of the Democrat Party.