Green Aesthetic Ripped Paper Thesis Defense Presentation_20240311_111012_0000...
The Congress App and Our Looming Federal Debt Crunch by Neal Dikeman, Libertarian Nominee for US Senate from Texas
1. Our Looming Debt Crisis
and the Congress App
Thank you to the Private Enterprise Research Center, Texas
A&M University and Congressional Budget Office for data and
charts
Cause and Effect
3. Newsflash
• Our Total Federal Debt is now
$341K for every American
• That’s >6 years salary for the average
American family and 2x their mortgage
• It’s 12 years of all government revenues
• And we’ve hidden half of it in Medicare
and Social Security promises
• The recent tax cut and spending bills
mean $12 Trillion more in 10 years
says Congress’ own accountants
• That’s another $100K per family by the
time my 5 year old gets to high school
5. Back to
WWII levels,
except it’s
not wartime.
CBO
Where we were was somewhat manageable
Where we are is ultra high Wartime only levels
Where we will be is OMG WTH Land,
even if this were all the Debt
6. Not living within our means is
getting worse, not better.
No matter who was in control.
Private Enterprise Research Center, Texas A&M University
8. 2017 2028
Social Security 939$ 1,750$
Medicare 591$ 1,260$
Medicaid 375$ 655$
Other 614$ 860$
Defense Spending 610$ 769$
Non-Defense Spending 590$ 839$
Interest 263$ 915$
Total Spending 3,982$ 7,048$
Breakdown of Federal Spending and Income
Every category growing rapidly, deficits more than
doubling, and more deficit growth than GDP growth
CBO
2017 2028
Payroll Taxes 1,162$ 1,780$
Other 270$ 368$
Corporate Income Taxes 297$ 448$
Income Taxes 1,587$ 2,924$
Total Income 3,316$ 5,520$
9. Why is this only an
Issue Now?
• We’re only able to finance our
current debts with historically low
interest rates and hiding it off
balance sheet
• We can’t handle the next $12
Trillion deficit from tax cuts/
spending increases
• This isn’t all the debt, Medicare
and Social Security are just as big as
the Debt
11. 2017 May be Ugly
But increases in the
Next 10 Yrs will be
Horrendous
No silver bullet
alone will fix it
12. And no Republicans, we can’t grow our way out
when Federal Debt is outgrowing the entire GDP
13. We need that
chart to look
something like
this:
$(743) $(614) $(610) $(590)
$(263)
$(666)
$743
$66
$(26) $(69)
$(190)
$1,444
$(1,000)
$(500)
$-
$500
$1,000
$1,500
$2,000
ENTITLEMENT
DEFICIT
MANDATORY
OTHER
DEFENSE
SPENDING
NON-DEFENSE
SPENDING INTEREST TOTAL DEFICIT
FEDERAL ANNUAL $BILLIONS IN SPENDING
2017 NEW INCREASES IN 10 YRS
14. It’s Not Too Late,
Yet . . .
• Start living within our means
• Within 1 Senator’s term
• Shore up entitlement deficits
• Across the board spending freeze
• Find a mere 1% less each year in
government spending
• Even without new taxes
• THEN let economic growth be our rising tide
• Or kick the can again, and deal with the
inflation, higher taxes, weaker dollar and
lower social security and medicare benefits
in 10 years
15. So why haven’t we?
A. Our elected officials are lazy, incompetent,
or worse?
B. Nobody in Washington can do math?
C. It’s the other party’s fault?
D. Neither party has the political will or wants
to be seen to compromise
E. Kicking the can down the road to my
preschool daughters is easier
17. Ugh, nominal
Federal Debt
isn’t the only
thing that
Ballooned
Private Enterprise Research Center, Texas A&M University
Social Security
and Medicare
Liabilities Have
Also Doubled
to $20 Trillion
So No
Democrats,
Single payer
Healthcare
isn’t the Fix
Since we’ve
not even paid
for the last
generation’s
healthcare yet
18. $43 Trillion in
Total Federal
Liabilities
12x Total
Revenues Private Enterprise Research Center, Texas A&M University
19. From 145%
of GDP to
229% in 10
Years
Private Enterprise Research Center, Texas A&M University
This is before
that next
$12 Trillion
we just
signed up for
20. Best time to plant a tree?
20 years ago. 2nd best
time? Today.
1st rule of holes, when in
one, stop digging.