and pay down the National Debt
We must STOP the CHARGE and SPEND policies in Washington NOW! Here is how to do it.
Establish the objective to bring our general fund expenses and revenues into balance by 2008.
Begin generating a budget surplus of $200 billion annually starting with fiscal year 2009. This annual surplus would be directly applied each year to reduce the overall federal deficit.
Below is a process that should be considered to achieve the fiscal discipline outlined above namely to balance revenues and expenditures by 2008 and generate a fiscal surplus of $200 billion starting in 2009:
Cut the Pork and evaluate other spending that is not needed. That does not mean eliminating all the social help for needy Americans.
Evaluate tax incentives and or expenditures that would increase the growth rate (GDP) in an effort to generate more jobs and create additional federal revenue. Areas to consider should include tax incentives to stimulate such things as alternate energy sources and higher auto, SUV and truck gas mileage. Invest federal tax dollars to begin rebuilding the infrastructure of our country. These expenditures would be paid to private companies to complete the necessary reconstruction projects in order to create jobs and corporate profits.
If the added revenue from the increased GDP growth together with expenditure reductions does not achieve the overall objectives of balancing the budget and then creating a fiscal surplus, the tax structure needs to be examined for additional revenue sources. In no event, other than national emergency or declared war, should the United States spend more than it collects in revenue after 2008. In addition, we need to generate and apply the $200 Billion annual surplus to the repayment of the national debt until it is repaid, (approximately 30 years).
Failure to achieve this objective will have a devastating impact on our needs in the future. Issues such as additional funding for Social Security and Medicare, national defense, education and the rebuilding of our infrastructure make it essential that we end the practice of charging to the future the things that we need for our society.