U.S. Tax-Cut Plan Is A Colossal Mistake

This is incredible, almost impossible to believe. Despite the U.S. being by far the world's biggest debtor nation, owing nearly $14 trillion, and running annual deficits of $1.4 trillion, President Obama and Congress negotiated TAX CUTS that could add a stunning $350 billion more in deficits each year.

None of these tax cuts are funded meaning the money will have to be borrowed or printed, further straining the capacity of the U.S. government to pay its debts.

This is like a guy who maxes out his credit cards, and gets new credit cards. The day will come when he runs out of credit and can't pay his debts.

When that day comes for the U.S. government, how will it pay Medicare/Medicaid? Social Security? It's Military? Its Federal Pensions? Or the interest payments on its debt, which are now $200 billion a year and rising fast. To learn how fast, please see http://www.usdebtclock.org/

To make matters worse, what happens when interest rates rise beyond the near nothing they are now. Could the annual interest on the debt jump quickly to a half trillion dollars? To a trillion? Of course, particularly if investors get nervous.

What can you do about this out of control spending? If you are an American, raise your voice loudly, for it is your money the President and Congress are spending, not their own. And as they postpone tough financial decisions, they are jeopardizing your financial future and that of your family and of your fellow Americans.

If you are a foreign national and your nation or its major banks loaned the U.S. large sums of money you too are at risk because as the U.S. sinks deeper in debt, it may default or pay back its debts in inflated dollars. If you don't think the U.S. would sink this low, please note the Fed's latest $600 billion stimulus is all printed money.

These tax cuts from a nation swimming in red ink are just the latest irresponsible acts. Together we must commit ourselves to stopping the U.S. government from squandering what is left of our financial resources before the situation gets worse. We can help restore it to being a financially responsible nation if each of us cares enough to get involved.

Dick