The False Economics of the Cromnibus Billby Former Representative Steve Stockman
Posted on 2014-12-12
in the house of representatives
Friday, December 12, 2014
Mr. STOCKMAN. Mr. Speaker, in the 11th Century, King Canute proved
his humility by ordering the tides from not coming in, yet the tides
came in without respect to his royal majesty. Last night I thought we
were experiencing another King Canute moment. The
House passed a bill that was to rational economics what King Canute's
order was to the rising tides.
Perpetuating the overspending and compounding the debt burden on future generations is not only immoral, it is plain dumb policy.
One would have thought that a lesson was learned when in August of 2011, the United States' credit rating was downgraded. But massive deficits have continued and the bill adopted last night will continue those deficits. Today's projections say that in the future the annual deficit will continue to rise--topping the trillion dollar mark in under ten years.
Now we know that these deficits are ultimately unsustainable and a crunch will come. One scenario is that much of the federal debt will be wiped away by inflating the dollar. Meaning that a dollar of debt today could be paid off with a penny of real money. This would have some rather serious side effects such as the destruction of much of the wealth of the U.S. and every other nation. It would mean economic collapse and the destruction of world trade.
Other side effects that the Congress risks by passing legislation like the bill we considered last night are the collapse of the social safety net on which our elderly and disabled population depends. I have a one-hundred trillion dollar bill--and it can't buy a loaf of bread. It is a Zimbabwe bill and that nation's economic policies are what we seem to be trying to emulate.
But my listing of the effects of fiscal (and monetary) incontinence is not the first in this Chamber. And that is the great tragedy. It is like the captain of the Titanic knew about the iceberg the previous day and continued his course which he knew would end in catastrophe.
I hope and pray that the members of the next Congress will change course. I have done my work to change that course, and I will continue to work to change U.S. economic policy from outside these walls. God bless America, and God help us.