October 9, 2021
What We’re Standing Against
Democrats’ debt disaster
Quick summary: The Democrats’ debt disaster is pushing America toward an economic catastrophe. The worst part is, this crisis is entirely avoidable—if only the Democrats would do the right thing and take responsibility for their spending addiction.
What’s happening? This week, as America inched closer to an October 18 deadline for a U.S. debt default, Democrats refused to raise the debt ceiling on their own. Here’s the kicker: Democrats have known for months that this problem was coming. Their refusal to act is all part of a political charade to make Republicans bear the blame.
What causes a debt default? In order to pay for the programs Congress has already agreed to fund (like Social Security and our military), the U.S. Treasury borrows cash from investors. In return, our government promises to pay these investors back, with interest. If we hit our debt ceiling and Congress doesn’t raise it, the Treasury must stop borrowing money and instead rely on cash it’s saved up to pay for the programs it’s promised. The real problem begins when the Treasury runs out of its savings. Then, Washington simply can’t keep paying for the programs on which Americans depend.
And remember those investors Washington relies on to help pay its bills? They’d hike interest rates on their government loans—driving us deeper into debt than we already are.
What are Democrats doing? Driving up spending to historic levels and refusing to deal with the looming debt default disaster.
Let’s break it down:
- Once Democrats took total control of Washington, their top priority was to spend as much money as possible, as quickly as possible. And they’ve been happy to do it all on their own, without a single vote of GOP support.
- First, Democrats and President Joe Biden teamed up to enact a $1.9 trillion “stimulus” bill—after Congress had already passed more than $3 trillion for the pandemic. Their binge didn’t stop there. The White House and liberals in Congress then set their sights on an even bigger target: more than $1 trillion in “infrastructure” spending (much of it subsidies to push their green agenda) and an even bigger $3.5 trillion socialist spending nightmare.
- Democrats are relying on what’s known as “reconciliation” to jam their agenda through Congress. Reconciliation is the process that allows lawmakers to pass budget-related legislation on a party-line vote. Translation: without a SINGLE Republican vote.
- To put into perspective how massive the bill they’re racking up is: This year alone, team Biden-Schumer-Pelosi is set to add up to $8 trillion to America’s tab—$6 trillion of it borrowed. That’s enough to “blow up [the] U.S. budget for generations,” according to Brian Riedl of the Manhattan Institute. As the chart below from the Daily Signal shows, the $3.5 trillion portion alone would be more than the United States has spent on benefits for our veterans over the past 60 years. It’s the equivalent of spending $1,000 per second for 111 years straight.
- Since July, the GOP has warned Majority Leader Chuck Schumer (D-NY) and the Democrats that not “a single Republican [would] vot[e] to raise the debt ceiling.” Republicans have been clear that if liberals want to waste so much money all on their own, they need to raise the debt limit on their own, too.
- A short-term agreement reached this week does nothing to solve the debt limit problem. It only kicks the can down the road, and the ball is still in the Democrats’ court. If they don’t suspend the limit by the first week of December, our country could default.
- How do Democrats in Congress plan to spend their time between now and then? You guessed it: by cramming as much government expansion as possible into their $3.5 trillion boondoggle.
What is President Joe Biden doing? Blaming Republicans, spreading falsehoods, and keeping his foot on the spending gas pedal.Fifteen years ago, then-Senator Joe Biden (D-DE) voted “NO” on a Republican-led debt limit increase, saying, “I refuse to be associated with the policies that brought us to this point.” This is exactly the same reasoning the GOP is using today.
What are Republicans doing? Telling the truth and calling out the problem for what it is. Senator Pat Toomey (R-PA) said:
“Democrats don’t want to raise the debt limit on their own because it will require them to specify a new debt limit. Rather than taking responsibility for their unprecedented and reckless spending, they’re trying to force Republicans to provide cover.” – Sen. Pat Toomey
Our take: Biden said on Monday that “a meteor is headed to crash into our economy.” He’s right. The meteor is a giant ball of debt that Congress is saddling the American people with on his watch. Make no mistake: If America suffers an economic meltdown come December, the Democrats are 100% to blame.
→ Read more: Republicans have no obligation to raise the debt limit (Washington Examiner)
→ Read more: The Democrats’ debt-ceiling debacle (National Review)
Believing in America 🗽
Does America have the will to win?
Nikki Haley is confident we do—if and only if Americans start believing in America again. On Tuesday, in a speech at the Ronald Reagan Presidential Library, she reaffirmed that America’s founding principles of liberty, equality, and justice for all have the power to set our country back on the right course.
First, she called out President Joe Biden for his feeble foreign policy that has encouraged our enemies to attack freedom and ramp up violence all over the world.
She laid out the worst challenges freedom-loving people are facing today: Terrorists have taken charge in Afghanistan and are gaining strength in Iran. Russia is trying to swallow democratic Ukraine and take advantage of Biden’s folding on Nord Stream II. Communist China is committing genocide and increasing threats against Taiwan. Venezuela’s socialist dictator is torturing innocent civilians and crushing freedom.
As Nikki says: “They all want to harm America….[and] drive freedom from the earth….We’re in a clash of civilizations and the bad guys think the good guys lack the will to win. That perception is very dangerous for America and the free world.” And the more license Biden gives to tyrants, the less our friends and allies trust us to have their backs.
Unfortunately, the self-hatred and lack of confidence pervading America is holding us back at home and abroad. That’s why Nikki called out the far left for the false picture it’s painting of our country.From corporate boardrooms, to school classrooms, to the halls of government, the left is telling Americans to despise America and hate the values that have made our country the best on Earth.
So what American story should we be telling? The true one—which recognizes America’s faults while cherishing the incredible progress we’ve made toward freedom and justice since 1776. And the unifying one—which declares that all men are created equal and have great capacity to live freely and do good.
If anyone understands the American story, it’s Nikki Haley. As the proud daughter of Indian immigrants, she was raised in a small South Carolina town of 2,500 people. Nikki’s neighbors looked nothing like her. And at first, they were skeptical of Nikki’s family. But, as she puts it:
“Then something very American happened. The community looked beyond skin color. They got to know my family as hard-working people who shared their values. Slowly, those stares turned into smiles. Those whispers turned into words of friendship. We went from being left out to welcomed in. Not every day was great. But nearly every day was better than the one before.” – Nikki Haley
Yes, America is facing massive threats from freedom’s enemies and America’s haters. But we have the power—and the American duty—to respond with strength and leadership. Once Americans reclaim pride and confidence in our nation’s perfect principles, the world’s tyrants won’t stand a chance. And freedom will win the day.
If you’d like to hear more of Nikki’s Reagan Library speech, click here.
→ Watch more: Nikki Haley delivers speech at Ronald Reagan Presidential Library: “The will to win” (Stand For America)
→ Read more: Nikki Haley, in Reagan Library speech, to say Democrats ‘don’t even believe in America’ (Fox News)