+ Washington, D.C., chatter about the debt is just a scare tactic
As a seasonal resident of Sarasota, I have welcomed the escape from Connecticut politics, snow etc., but I never substituted Florida politics into this gap. But your Buchanan headline (in the Jan. 9 issues of the Pelican Press and Sarasota Observer) caught my eye.
First point: I thought it a bit harsh that you referred to my receiving Social Security and Medicare B benefits as being on the public dole. I seem to recall paying into Social Security for more than 45 years, and more recently into Medicare B, all as required by law. Hardly the dole! If the law needs to be changed to reflect current reality, let’s hope courage from more than just Buchanan springs forth.
Second point: Failure to raise the debt limit is not tantamount to the government defaulting on the public debt. A Jan. 13 article in the Wall Street Journal notes that the government pulls in around $200 million per month from normal tax inflows to the treasury. A recent article, also in the WSJ, noted that current tax revenue inflows will fund about 60% of the federal budget. Debt service consumes 8% to 10% of the budget. Hence, current tax revenue to the treasury is more than enough to service the debt.
All the chatter about default on the debt and the end of the world is just Washington scare tactics. What is scary is the 40% of our budget that we have to fund through bonds and other debt instruments.
I’ll now revert to enjoying my hiatus from Connecticut politics and leave Florida politics to the natives.