Why is a large national debt dangerous?
Do you know?
George Washington warned against national debt in his Farewell Address and instructed Americans to "cherish public credit" and to avoid "throwing upon posterity the burden which we ourselves ought to bear."
But that was 1796. What risks do we run today by failing to decrease the deficit and debt?
The Heartland Institute's Justin Haskins published an op-ed on Fox News that helps answer that question. Haskins predicts that if Republicans and Democrats can't begin to reduce spending, our nation's economy will begin to slow and we may eventually fall into another depression:
In the 2018-19 fiscal year, the federal government spent $984 billion more than it received in revenues, the highest deficit since 2012 when the economy was still in the midst of recovering from the 2008 economic crash. And there are no signs that the national government will soon come to its senses. Projections for 2020 show the national deficit will likely swell beyond $1 trillion.
These figures should terrify you. A growing national debt means that an ever-greater proportion of the budget will need to be spent making debt interest payments instead of paying for essential services.
It also puts the U.S. economy at great risk, because higher debt-to-GDP ratios are often associated with slower long-term economic growth — take a look at Japan, for example.
Further, an out-of-control national debt could eventually cause high levels of inflation and even push foreign nations to create a new international reserve currency. Today, much of the world’s international business is conducted using U.S. dollars, because they have long been considered the world’s most stable currency. But if that changes — and a growing national debt will likely do just that — then it’s entirely possible the world will find or create a new currency to use, pushing trillions of dollars back into the United States, causing inflation and sending the economy into a Depression-like collapse.
As Haskins goes on to explain, neither political party (including the President) appears willing or able to save our children and grandchildren from this future economic collapse.
That's why millions of Americans are taking matters into their own hands. The same Constitution that George Washington helped write and ratify holds the key to forcing Congress to get our nation's finances under control.
Article V of the Constitution allows the states to come together to call a Convention of States. At this convention, states can propose amendments to the U.S. Constitution that (among other things) mandate a balanced budget and cap spending and taxation.
Congress will never reduce spending of their own accord. There's too much power in the federal purse strings, and they won't give it up without a fight. Fortunately, the Framers knew this might happen, which is why they gave the people -- acting through the states -- the power to do what Congress won't: make the tough financial decisions for the long-term health of our country.
Join the over 4 million Americans who have voiced support by signing the Convention of States Petition below.
