Spending, Debt, and the Fiscal Cliff

 

How Congress Broke the Budget—and Why Future Generations Will Pay the Price

“I place economy among the first and most important republican virtues, and public debt as the greatest of the dangers to be feared.”
— Thomas Jefferson

For all the noise in Washington, few issues pose a greater long-term threat to the republic than the one almost no one wants to touch: spending and debt. Year after year, Congress runs massive deficits, adds trillions to the national debt, and promises programs we cannot afford—while avoiding any serious conversation about cost, trade-offs, or consequences.

At some point, the math wins. But by then, the damage may already be done.

This post explains how federal spending is supposed to work, why the budget process is broken, and what the fiscal cliff really means—not in political rhetoric, but in practical terms for the next generation of Americans.

How It’s Supposed to Work

The Constitution gives Congress the power of the purse:

• Only Congress can authorize federal spending.
  

• The president proposes a budget, but Congress decides where the money goes.
  

• Spending must be approved through appropriations bills—ideally passed individually by subcommittee, with public debate.
  

This process is supposed to:

• Encourage accountability
  

• Limit unnecessary growth
  

• Tie spending to real revenue
  

• Ensure fiscal responsibility
  

But that’s not how it works anymore.

What’s Actually Happening

1. Congress Rarely Passes a Budget on Time

In recent years, Congress has failed to pass a full federal budget by the legal deadline. Instead, it relies on:

• Continuing resolutions (temporary funding to avoid shutdowns)
  

• Omnibus spending bills (giant packages jammed with unrelated spending)
  

• Backroom deals that bypass committee review
  

2. Mandatory Spending Is Out of Control

Roughly two-thirds of federal spending is on autopilot, including:

• Social Security
  

• Medicare and Medicaid
  

• Interest on the debt
  

These programs are not reauthorized annually. They grow automatically, regardless of fiscal condition, demographics, or performance.

3. The Deficit Keeps Growing

The deficit is the amount the government spends beyond what it collects in taxes each year. In 2023, it was over $1.5 trillion. That means the U.S. borrows $1.5 trillion annually just to meet its obligations.

4. The National Debt Is Exploding

The U.S. national debt now exceeds $34 trillion. That’s more than $100,000 per American. And it’s rising—fast.

Eventually, just the interest payments on the debt could surpass military spending.

Why It’s a Problem (Even If You Don’t Feel It Yet)

Unchecked spending and debt have real consequences:

Higher interest rates – As the government borrows more, it competes with private borrowers, driving up rates for mortgages, credit cards, and small business loans.

Weakened dollar – Confidence in U.S. financial stability declines, weakening the global value of the dollar and raising inflation risks.

Less flexibility in crisis – High debt limits the government’s ability to respond to war, recession, or disaster.

Burden on future taxpayers – Every deficit is a tax increase on your children—money they’ll owe for services they didn’t vote for and may never receive.

This isn’t about economics—it’s about stewardship. A republic that lives beyond its means cannot remain free for long.

The Fiscal Cliff: What It Really Means

The term “fiscal cliff” describes a moment when debt and interest spiral out of control—forcing:

• Tax hikes
  

• Benefit cuts
  

• Inflation
  

• A full-blown financial crisis
  

This is not a hypothetical. It has happened in other nations—Greece, Argentina, Venezuela. The difference is that the U.S. has been able to delay it longer—because of our size, our global currency, and the illusion of stability.

But reality always catches up.

Why Nobody Fixes It

• It’s politically painful. Cutting spending or reforming entitlements risks reelection.
  
  

• Voters reward short-term handouts. “Free” money is popular, even when it’s borrowed.
  
  

• The blame is spread out. Both parties have grown the debt. Neither wants to be the adult in the room.
  
  

• The crisis hasn’t hit—yet. So leaders kick the can, assuming someone else will deal with it.
  
  

What Can Be Done

1. Restore the real budget process – Pass spending bills individually, in public, and on time.
   
   

2. Reform entitlements – Preserve core programs by making them sustainable: adjust eligibility, reduce fraud, encourage private options.
   
   

3. Impose fiscal rules – Tie future spending to revenue, limit deficits, and require sunset clauses for new programs.
   
   

4. Elect serious stewards – Stop voting for slogans. Start demanding responsibility.
   
   

Why It Still Matters

A nation that cannot control its spending cannot preserve its sovereignty, defend its interests, or guarantee liberty. Debt is more than a balance sheet. It’s a test of whether a free people can govern themselves with discipline.

If we fail that test, we may find out too late that our freedoms were mortgaged along with our dollars.

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Next: Your Rights Aren’t Unlimited (and That’s a Good Thing)

In the next post, we’ll turn to the Bill of Rights—and confront the modern misconception that liberty means doing whatever you want. We’ll explore how true rights come with boundaries, duties, and the responsibility to protect the rights of others.