As Congress battles over Rep. Ryan's proposed budget and the Democrats (right on cue) start up their tired demogaoguery of how the Republicans are trying to starve your grandma, rob from the poor, etc., a ticking fiscal time bomb is set to explode this summer.
As Ryan and the Democratic Demagogus are fighting over a budget that won't take affect for close to a year, and Medicare cuts that won't take affect for 10 years,a more serious budget issue is ready to slap us across the face this summer. US interest payments on our debt are set to spike from 200 billion a year to 1 trillion a year this summer. As this article explains,"such a super-charged ramp up in spending will more than offset even the most ambitious ideas now being discussed to reduce the Federal budget deficit over the next 10 years."
As usual, the main stream media has missed the mark by failing to point this fact out. Only the "crazy" Ron Paul has been sounding the alarm and who cares what that nut has to say right? The Media would rather cover the sniping going on between our two clueless parties and the possibility of a government shutdown.
What is even more maddening, is that it appears that both parties are unwilling to confront the looming debt crises seriously. The Democrats and the Administration wouldn't even agree to a 60 billion cut out of this year's budget and it appears as though the Republicans don't have the fortitude to stand their ground on a proposd cut that was too small to begin with. Instead, they shifted American's focus on a budget that only addresses cuts and spending years down the road.
If the United States credit rating is lowered due to the ratio of debt payments as a percentage of GDP becoming to high, the recent housing market crash will seem like a walk in the park. Then maybe our elected officials will finally take notice.