A View on the $4 Trillion Deficit

By William J. Dell – February 1993

The Editor sent the following letter to the President, Vice-President, Speaker of the House, and the Utah Congressional Delegation concerning the Clinton proposed economic plan.

The Honorable Tom Foley,
Speaker of the House
United States House of Representatives
Washington, D.C. 20515

The Honorable ____________________
United States House of Representatives
Washington, D.C. 20515
 
 

19 February 1993

It would seem to me that the Administration and the majority of Congress still don’t get it. Economics 101 still teaches that if you want to reduce a deficit you have to spend less than you take in. We out here in middle America understand this and it is puzzling to us why the Federal Government doesn’t. After all if the President’s proposal gets passed, we will all still have to balance OUR personal and family budgets. We will ALL end up with less in our budgets because of our “contributions” to an irresponsible Federal Government. A government unwilling to do what it was elected to do:

 STOP THE SPENDING AND BALANCE THE BUDGET!!

 In the President’s current proposal: Best estimates state that there is $1.00 in spending cuts for each $1.00 in tax hikes for new or enhanced programs. Worst estimates state the ratio is $1.00 in spending cuts for $14.00 in tax hikes. It is my view that the ratio needs to be more like $2.00 or $3.00 in spending cuts to $1.00 in tax hikes if we are to make any real headway in deficit reduction. Ideally, we should have spending cuts without tax hikes! With the tax hikes going for new or enhanced programs, NOT ONE DOLLAR WILL BE APPLIED TO THE DEFICIT.

Candidate Bill Clinton offered himself as a “new Democrat”. It has not taken him very long to show that he was a “wolf in sheep’s clothing”. It has not taken him long at all to show his true “tax and spend” mentality.

I would like to know which part of the 4 Trillion Dollar debt he wasn’t aware of during last falls debates when he spoke about it? In my arithmetic, $4,000,000,000,000.00 = $4,000,000,000,000.00 whether you talk about it in September 1992 or February 1993. The only problem is that it is now $100 Billion more today. I am curious as to what the difference is in February’s $4 Trillion that makes a man break his promise to middle Americans that he would only raise taxes on those making over $200,000 per year to cut the deficit to $2 Trillion in four years? I am reminded also that his worthy opponents, George Bush and Ross Perot, both said that it would take taxing those with incomes over $30,000 per year to fund the Clinton economic plan. I GUESS THEY WERE RIGHT! 

President Clinton indicated in his Monday evening address that he was removing the “smoke and mirrors” and using the Congressional Budget Office figures so everyone would be comparing apples to apples. I believe that the “smoke and mirrors” will continue to exist as long as the Administration and the Congress continue to state their figures in terms of projections “over the next four or five years”.

What I want to know before the propaganda blitz is:

1. How much of the 4.1 Trillion Dollar deficit is going to be reduced this year specifically? And each of the out years specifically, by year? We cannot as a nation wait four more years to find out that President Clinton’s plan is not performing as expected.2. What are the President’s proposed 150 specific spending cuts?3. Why we cannot have spending cuts before we have tax hikes?4. Why spending cuts have to be phased in when taxes get slammed to the middle class tax payers immediately? If the proposed 150 specific spending cuts are the right thing to do. Do it! Do it NOW, this budget year, and make sure it is permanent.5. I would like to know how a $2 Trillion deficit reduction plan in September 1992 turned into a $435 Billion deficit reduction plan in February 1993?6. Why the President and the Congress thinks that middle America has any more money to give an irresponsible Federal government which continues to live beyond its means, when we don’t have:

a. Money to send our children to college,
b. Money to save or invest for our retirement,
c. Money to obtain any thing beyond the necessities of life.

All because every time we find a little extra money the Federal Government finds a way to steal it with taxes.

It is only appropriate that I include specific corrective actions also in this letter. To that end, I believe that:

1. The citizens of this nation need a Balanced Budget Amendment requiring the Congress to maintain a balanced budget except in time of declared war. This amendment is necessary because of Congress’ unwillingness to make the hard decisions necessary to balance the federal budget. Congress is responsible for allocating and spending the taxes collected in this nation. The only power the President has to prevent frivolous spending is the VETO. Every taxpayer has to run a balanced budget in his home and the Congress should set the national home in order as an example. It is time for each member of Congress to be a STATESMAN and do what is right for our country rather than being a POLITICIAN only worried about his/her reelection.

2. The President should be given the Line Item Veto. This is necessary to prevent “pork barrel” items which cost billions of dollars and do nothing for us nationally except to continue to drive up the deficit because of the irresponsible, budget busting, fiscal policy of the Congress. This would also allow otherwise good legislation to pass which the President has to veto because a particular line item goes against his policies and is local in nature. Again it is time to stop worrying about getting reelected and do what is right for the nation.

3. All unnecessary federal employees should be given “pink slips” immediately. These include elevator operator, the Boundary Commissioner and all other such persons, and 25% of the White House and Congressional Staffs. Corporate America is down-sizing. The Federal Government needs to do the same.

4. Immediately do away with ALL outmoded and outdated programs. Examples of these would be the Rural Electrification Administration, the live steam theme park in North Eastern Pennsylvania and paying for offices for retired Speakers of the House, etc. Concerning the latter, let them pay for the cost of their own offices and staffs out of their ample retirement pay. They are no longer in the employ of the Federal Government and should not be entitled to this support any more than I am as a private citizen.

5. Lastly, before Congress comes after middle America’s hard earned money AGAIN let them CUT their own salaries for once instead of raising them against the wishes of their employers, WE, THE PEOPLE.

The Editor

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If you agree or disagree with this letter is not important. What is important is that you let our elected officials in Washington know your views. Here are the addresses. Letter are better than phone calls and easier on the budget.

The President
The White House
Washington, D.C. 20500

The Vice-President
United States Senate
Washington, D. C. 20510

The Honorable ________________
United States Senate
Washington, D.C. 20510