The Solution to Our Spending Crisis is the Penny Plan

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A new poll, commissioned by Club for Growth, found support for the penny plan runs wide as 76 percent of Republicans, 68 percent of Independents, and 63 percent of Democrats surveyed said they back it. Why not? The penny plan is not some radical policy. It simply requires a spending cut of 1 percent in the next year. The penny plan is not new. Neither is its strong level of support across party lines.

 

Why does the penny plan have such strong support? Because Americans have come to realize that the deficit problem in Washington is caused by spending too much rather than taxing too little. Numbers from the Treasury Department show that, despite the predictions made by leftists who opposed the tax cuts, they have resulted in increased inflows to the federal government. The latest monthly statement from the Treasury Department showed record total tax revenues of more than $252 billion, up more than $11 billion from this time last year. It represents the most money ever collected by the Treasury Department in the month of October. Yet the federal deficit ballooned to more than $100 billion last month because we ended up spending more than $353 billion.

 

Clearly, the deficit comes from the spending problem. We do not run a deficit because we tax too little. We run a deficit because we spend too much. It is going to get worse if we fail to change the track we are on. The data projections by the Congressional Budget Office for the next 10 years show that the federal spending is estimated to grow at an average annual rate of 5.5 percent and is expected to reach $7 trillion by 2028.

 

The bottom line is that the federal government has a spending addiction problem. They are like a drug addict who cannot have enough of their drug to be content. They always want and need more.

Comments

Stone-Eater Added Dec 8, 2018 - 8:48am
No wonder if you can print money as you like without having it backed by REAL value. If you're not able to put a halt on it due to a) people not having a say about it and b) people in general not knowing about it there's something really fucked up in your society.
 
Ask the FED and Goldman-Sachs for advice....
Dino Manalis Added Dec 8, 2018 - 8:56am
 It's a start, but some parts of the budget deserve a deeper cut, it must be done carefully without hurting the economy or the poor.  President Clinton credited deficit reduction for prosperity in the Nineties.  We can do so again!
Ryan Messano Added Dec 8, 2018 - 9:50am
Yes.  Also, it's impossible for a nation with out of control sexuality to be fiscally responsible. 
Steel Breeze Added Dec 8, 2018 - 11:26am
any plan that reduces those on the political welfare roles from pissin away my money is a good one...
Stone-Eater Added Dec 8, 2018 - 12:07pm
out of control sexuality 
 
.....as if that would have to do anything with debt. Sexually frustrated people don't extend their problem to politics. They have other valves for relief. School shootings, raping and mobbing, preaching on the net.
FacePalm Added Dec 8, 2018 - 5:35pm
Eventually, Marty, this will have to happen:
 
"The issue which has swept down the centuries and which will have to be fought sooner or later is the people versus the banks."
-- Lord Acton[John Emerich Edward Dalberg Acton] (1834-1902), First Baron Acton of Aldenham
 
Trump is a nationalist; the Fed owners are globalists.  The only noble thing the Jackson presidency did was get rid of the banking problem for about 70 years - and Trump has prominently displayed Jackson's portrait, a subtle declaration of war, if you ask me.  They're fighting back by raising the interest rates, now x7 in 2 years, when they were never raised at all during the D'OhBama years...because he was an obedient little globalist puppet.
 
i mention this because with the upping of the interest rates, the value of the "dollars" collected goes down, as does the "purchasing power"(technically, ability to acquire goods and services; you can never truly "buy" anything with debt notes which, by law, never have to be made good).
 
If you've never heard of the Tobin tax plan, that might be one to look into, as well; it would hurt those who traffic the most in stocks, bonds, and futures, and potentially could eliminate ALL OTHER TAXES while steadily reducing the deficit; it's complete elimination simply isn't possible with the current debt-money system, and here's why:
 
"The whole profit of the issuance of money has provided the capital of the great banking business as it exists today. Starting with nothing whatever of their own, they have got the whole world into their debt irredeemably, by a trick.  This money comes into existence every time the banks 'lend' and disappears every time the debt is repaid to them, so that if industry tries to repay, the money of the nation disappears. This is what makes prosperity so 'dangerous' as it destroys money just when it is most needed and precipitates a slump.  There is nothing left now for us but to get ever deeper and deeper into debt to the banking system in order to provide the increasing amounts of money the nation requires for its expansion and growth.  An honest money system is the only alternative."
-- Frederick Soddy(1877-1956) British author, professor, Nobel Prize for Chemistry, 1921
 
This is the essence of the Beast system, the Beast which Deceived the Whole World.
 
Few people have ever heard of this next citation, either - it's certainly not taught in the Public Fool system, most likely, imo, because if young, intelligent, inquisitive minds were exposed to this info, they might wonder aloud what kind of monetary system WE have, and the PtB can't allow THAT:
 
“The refusal of King George III to allow the colonies operate an honest money system, which freed the ordinary man from the clutches of the money-manipulators, was probably the prime cause of the Revolution.”                                                                              
~Benjamin Franklin
 
Upon understanding the foregoing, it may be beginning to dawn on some that the whole "taxation without representation" reason for the Revolution given in textbooks is, at best, a smoke-screen.
FacePalm Added Dec 8, 2018 - 6:52pm
Stone-
as if that would have to do anything with debt. Sexually frustrated people don't extend their problem to politics.
Yeah.
 
Besides that, a "nation" is a fictional entity; can fictional entities even HAVE sex?
Can you arrest a nation?  Imprison it?  Put it on the witness stand?  Cross-examine it?  Can it punch you in the nose?
Same with all fictional entities.  They only have a tentative existence as long as anyone believes they exist, and thereby gives them a form of life, a pretense, a sham, a mirage, not a reality.
ChetDude Added Dec 8, 2018 - 8:30pm
"Club for Growth" is an astroturf suicide pact...Promoting their definition of "growth" is species suicide.
 
No thanks...
 
The Club for Growth opposes action to curb greenhouse gas emissions...
 
DOUBLE-No Thanks!
 
As far as that deficit/debt myth, Dick Cheney was right about ONE thing when he said, "deficits don't matter."  
 
Since the U.S. can print all the money it needs, he's pretty much right. 
 
Check out MMT!  It'll help you get rid of that mythical boogieman of debt and deficits...
Jeff Michka Added Dec 8, 2018 - 8:38pm
Mogg Turd wants WB rightists getting all pissy by mentioning the most evil person on the face of the earth, Hillary.  Not enough to have stupidly lost the election in 2016, she's the right's punching bag for "Uranium1" scam, selling Russia uranium, and controlling "our" supply, but rightist, like DOJ just have no evidemce.  They "know" she's guilty.  "Lock her up, Lock her up!!!"  Of course, any criminal activity by Orange F**k is all a "Marxist/Leninist,' or is it "Stalnist/Maoist" plot by Ds...which is it, wannbe nazi pigs?
Marty Koval Added Dec 8, 2018 - 8:41pm
FacePalm
 
The Tobin tax is an interesting concept. Reading over the analysis and comments on this tax, it is obvious there is much disagreement on the pros and cons.  I can see where the  high frequency speculators would hate this tax, thereby it might be effective in reducing the volatility in rates and raising incremental tax revenue.
ChetDude Added Dec 8, 2018 - 10:54pm
One penny from every dollar in the economy is just enough to cover the bloated war machine that can't "win" a war + corporate welfare...
 
But not enough to cover the latest $4.5 Trillion tax giveaway to the billionaires and millionaires.  Our main "problem" is an economy that burns fossil fuels to create billionaires and their lackeys...
ChetDude Added Dec 8, 2018 - 11:00pm
Not when they're stealing from and polluting the Commons and future generations to generate their "wealth"...
Flying Junior Added Dec 9, 2018 - 2:01am
Nice job Marty.  It's a beautiful idea, one that Ronald Reagan himself would support whole-heartedly.
 
Are you sure that we can get congress and the Pentagon to go along with such a radical idea?
 
Just yesterday I was just thinking about why everything costs twenty times its intrinsic worth or at the least, why do people have to pay $25,000 a year just as a type of base price for staying alive and thriving in society?  There are so many built-in costs that most people really cannot reasonably hope to support  It seems hopeless sometimes.  If I was a kid graduating with a PhD or Master's Degree walking into a $100,000 per annum position.  Would that be enough?  Would I simply fall by the wayside if I lost that job?  If I did work forty years earning a lifetime income of $4 Million in 2018 dollars, where would that leave me?  Could I still afford to eat out at a nice restaurant when I retire?  Would I be able to take care of my own children and put them through college?
 
No wonder so many idiots play the Lottery.
 
That said, reducing the spending of the federal government, the military and our institutions of higher learning could play a great part in trimming the fat.  I would even be willing to go so far as abolishing the DEA.
 
Let's start by limiting travel and hotels on the taxpayer dime.  Can I get an A-men?



FacePalm Added Dec 9, 2018 - 6:48am
Marty-
FacePalm
 
The Tobin tax is an interesting concept. Reading over the analysis and comments on this tax, it is obvious there is much disagreement on the pros and cons.  I can see where the  high frequency speculators would hate this tax, thereby it might be effective in reducing the volatility in rates and raising incremental tax revenue.  

 
Thanks for taking some of your valuable time to investigate. 
The way i understand that the Tobin tax would work is that every time there is a transfer of wealth into or out of any banking or financial institution, a 1% tax on the transfer would take place.
The implementation of such a plan could eliminate other taxes - sales taxes, gasoline taxes, utility taxes, permits, real estate taxes, property taxes, EVERYthing - so for the poor and middle class, this plan would be a TREMENDOUS benefit, and actually allow the People to prosper like no idea mankind has had before.
But, as you note, this tax would disproportionately affect the large traders, the international banksters, those who manipulate currencies and industries and countries worldwide, and remove from them their power, by slow degrees.  Their reasons for opposing it would therefore be self-evident, and they would, no doubt, use their various horns in MSM as well as their people in Foundations, as well as the suborned/corrupted political apparatchiks to voice strenuous opposition.
But this is where their constant promotion and support of "democracy" could work against them, like when Haman built the scaffold for Mordecai, only to later be hanged from it, himself(book of Esther).  If more Americans - shoot, more people in ALL countries, world-wide - were more aware of this plan, they'd VOTE for it, and the wealthy would have to obey or go rogue, at which point arrests and prosecutions could ensue. 
 
“Banking was conceived in iniquity and was born in sin. The Bankers own the earth. Take it away from them, but leave them the power to create deposits (issue "credit," my note), and with the flick of the pen they will create enough deposits to buy it back again. However, take it away from them, and all the great fortunes disappear, and they ought to disappear, for this would be a happier and better world to live in. But, if you wish to remain the slaves of Bankers and pay the cost of your own slavery, let them continue to create money and control credit."
― Sir Josiah Stamp - president of the Bank of England in the 1920’s and the second richest man in Britain
Marty Koval Added Dec 9, 2018 - 8:10am
FacePalm:
 
I like your example you used from The book of Ester, when Haman built the scaffold for Mordecai's demise, only to find himself hung from it a few days later. In our current environment, there are a lot of Haman's lurking around who are in business for their own selfish enrichment.
FacePalm Added Dec 9, 2018 - 10:17am
And it would not only be just, but suit God's sense of humor, to require those who have set up the conditions for our demise to meet their own via the very methods they planned for us.
 
Unless they repent, of course.  Unlikely, given their seared consciences, but still entirely possible.  Most stuck in the globalist-satanist paradigm believe that their sins are so heinous they can NEVER be forgiven, but this is not true in the eyes of Our Creator.
 
From my observation, the book of Esther is rarely referenced by most pastors/preachers/priests today, even though its applicability, especially in light of Christ's teaching about sowing and reaping, is very self-evident, in my opinion.  If my memory hasn't failed me, Israelites still celebrate the story in the Feast of Purim, but i could be mistaken.
Marty Koval Added Dec 9, 2018 - 10:58am
FacePalm:
 
The Jewish people still observe the Feast of Purim.  Over time, the Feast of Purim has become more of a national holiday than a religious one. In addition to prayers and the reading of Esther, Purim includes gifts, food, giving to the needy, and a large meal. It also a day of remembering the important deliverance the Lord has provided and continues to bestow upon the Jewish people.
Jeff Michka Added Dec 9, 2018 - 1:50pm
Oh, I'm sooooo offended by Mogg the Musical Turd's little comment.  Gee...*stomp* *stomp* *bang* *bang* I'm sooooo angry, I'm going to walk away from WB because Mogg the Turd is such a powerful writer.  LOL Mogg the Turd has an av needing replacement.  Get that Dogfish av pic, Turd.  It's so you.
Johnny Fever Added Dec 10, 2018 - 9:51am
That poll means nothing because the cuts were not identified.  The bottom line is that there is very little popular support to rein in spending.  For example, if Medicare was the identified location of the cuts, you can be sure that poll would have an entirely different result. 
 
Essentially each President has roughly doubled the National Debt and Trump looks poised to come pretty close as well.  What people don’t realize is that Establishment Republicans are the only group of politicians that have shown any desire to slow spending.  Scratch that, perhaps they do realize it, they don’t care and that’s why we ended up with Obama and Trump. 
FacePalm Added Jan 6, 2019 - 5:14pm
If Trump succeeds, Johnny, i expect to see a large reduction in the national debt, and a concomitant reduction in the amount of interest payments.  Maybe you're unaware of the following:
 
"100% of what is collected is absorbed solely by interest on the Federal Debt ... all individual income tax revenues are gone before one nickel is spent on the services taxpayers expect from government."
- Grace Commission Report, submitted to President Ronald Reagan on January 15, 1984
 
Note the date, THIRTY-FIVE years ago.  Think it's gotten any better, since?
 
But Nick Begich, son of the Alaskan Congressman who died in a mysterious plane crash, says that the natural resources available in Alaska MORE than suffice to completely eliminate the debt, so just wait awhile and you'll begin to see the results of opening up the ANWR to commercial interests.

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