Not European Socialists Yet...

From: Gary L. Bauer-American Values
Solving Debt With More Debt?

Over the weekend, the European Union cobbled together a $1 trillion bailout fund for its weakest partners after world markets fell last week due to growing fears of an imminent debt crisis. The bold action calmed the markets Monday, but many analysts are warning that this is a band aid, not a cure. As one economist commented, “It does seem like you’re just giving the addict another fix.”

Closer to home, the credit rating company Moody’s recently warned that the United States is facing a potential debt shock within a few years, perhaps as early as 2013. The Congressional Budget Office projects that by 2020, interest payments on the national debt will reach 20% of tax revenues – a level that puts the credit rating of the United States at risk.

But, experts warn we could hit could that mark well before 2020 if economic conditions deteriorate. Meanwhile, The Hill reports that congressional Democrats are gearing up to push several “big-ticket items” totaling hundreds of billions of dollars in more spending. And Obama has done nothing to encourage economic growth. In fact, his budgets have produced record deficits and his proposals call for massive tax increases, creating a lot of uncertainty for small businesses.

There is a common theme to the great challenge confronting major nations today: The expansion of government, which led to more and more debt, as politicians made promises to voters that they could not possibly keep. This problem can’t be solved by higher taxation because higher taxes kill economic growth. The only way it can be solved is by reeling in the size and growth of government.

The future of Western Civilization may well rest with the ability of conservative politicians to articulate the wisdom of Ronald Reagan, who reminded us nearly 30 years ago, “In this present crisis, government is not the solution to our problem; government is the problem.”

Here’s a hopeful thought to consider. Streets of Greece are filled with thousands of people demanding that government not be cut back. Here the streets are filled with tens of thousands of people demanding that government be scaled back. We are not European socialists yet.