Our op-ed in the Daily Caller today – there is a secret entitlement program that the Obama Administration does not want to talk about:
This entitlement program does not help those on Medicare or Medicaid, and it is not part of the Social Security system. This entitlement program has one function: paying interest to foreign governments that bankroll our ever-growing $14 trillion national debt.
When the federal government spends more money than it takes in during a fiscal year, there is a deficit. The deficit turns into the debt when the Treasury Department issues interest bearing Treasury securities so the government can continue to spend. If the federal government were ever to default on these securities, or not make an interest payment, America’s credit rating would suffer. In this scenario, the economic consequences would be dire for the United States.
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In Citizens United Productions’ film Generation Zero, Fox Business analyst Tobin Smith warns, “We wouldn’t be paying down the debt. We would just simply be like the consumer at home who only pays a minimum on their credit card. That’s what we’re talking about, and that begins what I’m calling the financial death spiral.” The start of the financial “death spiral” can be seen in President Obama’s 2012 budget.
Read the full op-ed here