The United States Will Be Duly In Debt If Biden’s Build Back Better Passes
President Biden’s false claim that his eruption of âBuild Back Betterâ (more precisely called âBuild Back Brokeâ) spending costs âzero dollarsâ has just been exposed even more for the farce that it is.
Thanks to the non-partisan Congressional Budget Office, we know more about how the growing US debt bomb will progress further towards explosion if Congress does not stop BBB socialism in its tracks.
The CBO is supposed to be the neutral arbiter that calculates the prices of congressional bills, and CBO boss Phillip Swagel said Monday that BBB Democrats’ proposal to strengthen Internal Revenue Service enforcement against Tax fraud would only pay a fraction of what Biden’s team claimed. would have.
Instead of the $ 400 billion over 10 years claimed by Biden, the CBO said it would only raise $ 120 billion. We are still waiting for the full CBO price for the entire BBB package.
This is not the only sleight of hand. Biden says the cost is only $ 1.75 trillion, but he’s relying on gimmicks like phasing in programs and imposing costs on states after the initial federal support. Against the Biden team deception, analysis by the Penn Wharton Budget Model, a non-partisan group at the Wharton Business School at the University of Pennsylvania, found that Biden’s plan could actually cost more than $ 3.9 billion dollars over 10 years if expenses and income become permanent.
It’s a very real scenario, as President Ronald Reagan knew: government bureaucracy is “the closest thing to eternal life.”
Last month, Americans suffered record inflation of 6.2%, the highest measured in three decades. Low-income families spend more of their budget than richer families on daily needs such as food, shelter and health care. The Biden administration’s BBB government’s massive spending plan will only accelerate inflation in our country and harm our most vulnerable populations.
An inflationary bubble is the worst time to exceed trillions in government spending like BBB, because it will put us deeper into debt and inflate prices further. This will hit poor, minority and elderly households the hardest (especially retirees on fixed incomes).
The US debt problem is already failing – not much remains to be done.
As the useful website USDebtClock.org reports, we are rapidly approaching $ 29 trillion in national debt, or roughly $ 87,000 per citizen. Our debt-to-GDP ratio is nearly 126%, much higher than the 52% of 1960 (just before the massive welfare spending of LBJ’s âBig Societyâ which decimated African-American families), 35 % in 1980 and 56% in 2000.
If we added even more national debt – just like an individual buying too much with a credit card – we would end up with a downgrade on US bonds. The Democrats’ new BBB debt explosion will further increase inflation by raising borrowing costs, should America suffer a downgrade in bond ratings.
If we don’t stop BBB in its tracks, America will not be prepared for the next real emergency (and no, Pete Buttigieg, âracist roadsâ are not one of them). We will no longer have much margin before being downgraded and everything will become more expensive because our interest rate on US sovereign bonds would skyrocket. This is exactly the opposite of what we need during this inflationary craze.
The good news is that leaders like Sense. Joe Manchin (DW.Va.) and Kyrsten Sinema (D-Ariz.) Use common sense. They are leading the charge – against their own party – to torpedo the bill. They need all the support they can get.
Carrie Sheffield is Senior Policy Analyst at Independent Women’s Voice.