Neil Patel: The Truth About the Debt Limit Fight

The truth about the current debate over the debt limit is, as with many other national issues, not only different from what the corporate media portrays; it’s actually the opposite. Recall that the debt limit can and should always be increased. Any deviation from the automatic debt limit rise, according to the story, is simply irresponsible. This narrative is not only being promoted in the media but also by Wall Street, corporate America and some Republicans. It’s not surprising that these groups have become more closely allied. This narrative is dangerous, as it is too important.

Wall Street and corporate America are most concerned with the quarter’s profit. This obsession is so intense that any action that might endanger next quarter’s profits (e.g. fighting over America’s debt crisis) must be avoided. People who should know better are often critical of this kind of financial thinking. It is possible to have disastrous outcomes if you only think about the next quarter. However, there has been so much cooperation between corporate America and the corporate media and the Democratic Party that there is practically no room for disagreement. Nearly everyone agrees that there must be a debt limit increase and that those who stand in their way are irresponsible endangering the country’s financial security. 

America is heading straight into a debt crisis. Strangely, Americans are running straight into a debt crisis. This is despite having a national debt of $10 trillion. It seems as though the problem has become so large that even the most experienced people have lost sight of it. It’s almost unnerving to listen to the silence. It’s almost as if America has entered a national suicide agreement. It’s becoming a national crisis, and nobody is able to even talk about it. It has become so serious that people who raise this very real issue are called debt alarmists.? 

America needs a debt alarm. The country’s total debt is greater than its annual production. Social Security and Medicare obligations are rising. Other priorities are being overshadowed by the interest payments on the loan. This isn’t the same situation we used to have, when the debt was owed only to the U.S. Treasury. Large amounts of the debt are now owned by foreigners. America’s bills are due. It will be difficult to fix this. The more we delay in fixing it, the more severe the pain will be. 

This reality makes it impossible for leaders to use the debt limit raise as leverage to draw attention to the issue and possibly begin to address it. It is something Congress members should know.

What is the overwhelming majority of Democrats’ opinion? The majority of Democrats prefer to ignore the nation’s debt crisis. Some even have wild explanations. Although most Republicans know this, they are confused. First, Washington’s corporate world isn’t focused on the issue. They are instead focused on the immediate economic harm that a debt limit fight could cause. Second, many Republicans consider the urgent need for defense spending and, at the moment, Ukraine’s military aid, to be dwarfing long-term debt concerns. Finally, Republicans are so hypocritical regarding the debt issue it’s difficult politically to take a position on principle.

Many Republicans remained silent when the federal debt rose under George W. Bush. Republicans shouted about the debt, as it exploded more under Barack Obama. They then fell silent as the debt exploded to new heights under Donald Trump. It’s now politically difficult for Republicans, who continue to follow the reckless fiscal policies of their predecessors, to preach fiscal restraint while not looking like hypocrites. It’s not an easy position to be in. But, none of that changes the fact the debt must be addressed. 

It is not always easy to do the right thing in politics. A political reward for those who push hard for debt reform is not always guaranteed. It is vital that the few Republicans who push the issue most hard be realistic and smart about their goals. 

Principled leadership is what the debt problem needs today more than any other issue. This means that you don’t do what is popular but instead lead the Americans to the right direction for their country. This type of leadership is rare in America. This is your chance to do it. This is what many Americans long for. It is un-American to burden our children and grandchildren with debt-ridden, weaker countries. It is something that everyone knows deep down. All they need is to be reminded. It would be a great accomplishment to pull that off. This is an opportunity that anyone can seize.  

Neil Patel is the co-founder of The Daily Caller. This online news site, which has over 15 million monthly subscribers, is one of America’s fastest-growing. Patel co-founded The Daily Caller News Foundation. This non-profit news organization trains journalists, conducts investigative reporting, and produces fact-checks. The Daily Caller News Foundation grants its content to more than 300 news outlets at no cost, potentially reaching hundreds of millions per month. Visit the Creators website to learn more about Neil Patel, and see features by other Creators writers or cartoonists. www.creators.com

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