Could
things get any more bizarre in Washington D.C.?
Congress
and the President cannot agree on a continuing resolution to fund the
government to keep it running, so some of the government is in
shutdown. And then there is the debt ceiling, which is going to have
to be raised in a week or two and there is going to be a battle over
the debt.
I
recently went to a conference and an economist was giving us an
update on the economy. He said it was sluggish. Not sure you have
to have a PhD. to have that insight. But what struck me was that
this economist had a political ideology and he was very forceful in
stating his beliefs as facts. He was great at telling half-truths,
leaving out other possible explanations.
I
sat there looking at all the other people in the room and realized
they trusted him to be telling them the absolute truth, and they were
getting anything but the truth. I wondered how people that have no
economic training have any understanding about what is really going
on with the economy.
So
for what it’s worth here is my opinion about what is
going on in D.C.
Republicans
are rightly focused on what we, as a country, have promised in future
payouts compared to future revenues. However, catastrophe and ruin
are not right around the corner. There is definitely some room to
increase our debt and not cause a collapse of the economy.
Long-term
there has to be reform, but over the next year it is not imperative.
Congress needs to fund the laws they have passed.
I
was listening to a popular conservative talk show host and he was
convinced that if the U.S. defaulted on its debt it would not make
any difference. Um…..right.
Republicans
hate Obamacare. Anyone that reads this column knows that I think it
will lead to a reduced level of care for the poor and middle class
and so I am not a fan of the legislation. However, it is the law of
the land and with the Republicans only controlling one house of
Congress there is really little they can do to prevent its initial
implementation.
Instead
of trying to defund Obamacare and shutting down the government over
two small issues, the Republicans should have been introducing
legislation to improve the law and then when these improvements were
rejected by the Senate and President, they should have funded the
government on time. The Republicans look reasonable, can state they
tried to make it better, and can blame all of the consequences of
Obamacare on the Democrats.
Democrats
love to spend money. The economists that spoke at that conference
really don’t think the trillion dollars debt per year we have
been running is nearly enough. Not even close. Um…..right.
However,
in this showdown, the Democrats are on the right side. Fund the
government and Obamacare.
If
Republicans do not like the laws, win some elections. If you as a
citizen do not like Obamacare, donate more to candidates that have
your views and focus on making enough money so you do not have to use
government run healthcare.
You
just have to laugh at the Democrats. They love to defund the
National Parks. They know that it is the only touch point for most
Americans with the federal government and if the parks stayed open
everyone would start to wonder what all those people were doing in
D.C. You could eliminate huge portions of the federal government and
almost all the citizens would not notice (Department of Education,
EPA, and others), so they defund the National Parks. Politicians can
be small, small people.
The
way congressional districts are gerrymandered has led us to having
extremes in Congress. The people in the congressional districts want
congressmen that will fight for their point of view. So the
craziness we see in D.C. is just what we elected.
And
each side has economists or talking heads telling the citizens what
they should think about the economy. Half-truths and distortions.
And the politicians, doing whatever is necessary to keep a hold on
power, fiddling while…
Adam Smith is obviously not the actual name of the author of this column. The real author has
worked for two Fortune 500 companies, one privately held company, and a public accounting
firm. His undergraduate degree was in accounting, and he earned an MBA for his graduate
degree. He also has completed coursework for a PhD. in finance. He continues to be employed
by one of the Fortune 500 companies.
The author grew up in the Washington D.C. area but also lived for several years in Arizona. He
currently resides with his family on the East Coast.
The author has held various callings in The Church of Jesus Christ of Latter-day Saints.