As the end of the year fast approaches politicians in our nation’s capital are occupied by a single issue: the so-called fiscal cliff. Under current law, a combination of tax increases and spending cuts totaling about $500 billion will take effect and the Democrats and Republicans are trying to find a way to prevent that from happening. Never mind that even with these changes the federal budget will still be $600 - $700 billion in the red. Simple kitchen table economics escapes our nation’s leadership.
Here are a few things to consider: if Mr. Obama’s desired tax increases on the “rich” manage to pass both chambers of Congress and become law they would raise less than $100 billion a year. With the federal budget currently over $1 trillion in deficit spending annually, such an increase would hardly make a dent. Whether or not one believes the “rich” pay their “fair share” or not, such an increase does little to help the current fiscal situation the country faces. If the assets of the 500 wealthiest in the nation were confiscated, that would take care of the bloated federal deficit spending in Washington D.C. for about a year. Then what? Warren Buffet may be in favor of having his taxes raised but I doubt he is prepared to have everything he owns confiscated by Uncle Sam.
The unfunded entitlement liability issue is finally beginning to draw the attention it deserves. The fact is the federal government has over $80 trillion in unfunded entitlement liabilities that are not on the books. That represents promises that have been made to the American people that simply cannot and will not ever be paid to them in full. Rather than being honest with the American people, especially seniors about Social Security, Medicare, etc., politicians of all stripes kick the can down the road all while doing everything in their power to continue to be re-elected. Sooner or later economics catches up with politics and when that harsh reality comes to bear all income classes in the United States will be impacted and it will be a hardship on the entire nation.
Deuteronomy 28:43-44 warns Christians about the dangers of borrowing money. The lender will rise above the borrower becoming the head while the debtor becomes the tail. The Apostle Paul tells us in Romans 13:8 that we are to owe nothing to anyone except love for one another. Sadly, as Christmas approaches, far too many Christians will be focused on spending money instead of celebrating the real reason for the season forgetting or ignoring Matthew 6:24 and the warning about our inability to serve two masters. The wisdom of 1 Corinthians 7:23 is as powerful today as it was when Paul included those words in his epistle to the Romans. The debt problem in America is not limited to the federal government. Christians, too, have their own issues to address.
Christopher is a recent graduate of Liberty Baptist Theological Seminary of Liberty University where he earned the Master of Religious Education. He also holds MBA Finance and BS Management degrees. A former resident of Powder Springs, Christopher and his family now reside in Woodstock. Having enthusiastically embraced social media in 2007, he blogs regularly at www.chris-sanchez.com and is very active on both Facebook and Twitter.