I’m of the opinion that most voters do not know the difference between “the debt and the deficit” and a good majority do not know who creates and who is in charge of the budget and the meaning of a surplus and what brings about a surplus nor what a surplus relates to.
I’ve found that those most willing to give their views of what is good for the economy seem to be unaware of the elements and the characteristics of our national economy. Some of the arguments that I’ve heard have got rather heated, especially when those on each side were not much aware of the comprehensive field of national economics and the manner in which we finance our national government.
Most recite certain points that they’ve learned as though economics was a religion. Each politician talking about economics, we might think was a leading national economist. Whether one is really able to pass the simplest economic test seems to make no difference. Once elected to an official position, it would appear that one becomes an instant economist.
The knowledge of the economy and to some extent the way we might be able to manage elements of it are important in our governance. Yet our congress is usually either made up of ignorant zealots reciting from their economic prayer books or influenced by religiously political radicals. Economics is not a religion.
Incidentally, the deficit is what we’ve overspent and therefore must borrow. Debt is the total of what’ve borrowed and need to pay back. In order to begin paying down our debt we need to take in sufficient revenue to produce what is referred to as surplus.
Most of the nation’s revenue is the result of income taxes. No taxes, no revenue. No revenue surplus no paying down the debt. There is no substitution for revenue surplus no matter how frantic the political shouting becomes. We need revenue surplus just as much as we need “jobs growth.”
That’s what we need. Who can figure our how to bring about both? Who are the smart politicians in government who know the answer? ‘Haven’t heard one from the Congress yet. Are they really worth their paychecks?