Posted on 08/25/2026 11:09:33 AM PDT by MtnClimber
It has been amusing to watch mainstream journalists (who’ve largely ignored the national debt crisis until it hit a nice round number of $40 trillion) try to explain how it’s all the fault of Middle East wars and tax cuts.
Somehow, the fact that federal spending has increased by nearly 300% over the past 25 years never enters the picture.
Instead, we get endless accounts about how President Donald Trump’s One Big Beautiful Bill Act will add $4 trillion to the national debt, and how previous tax cuts by Trump and George W. Bush are supposedly responsible for more than a third of the current debt.
The Wall Street Journal puts it this way: “Wars, the bursting of the dot-com bubble, and tax cuts sent budgets off course in the early 2000s.”
False. False. And False.
Wars: In 2001, the Defense Department accounted for 15.6% of federal spending. In 2015, it was 15.2%. This year, it will account for just 12.1%.
Dot-com bubble: Federal revenues did fall 11% after the bubble burst in 2000 and the economy went into a mild recession. But revenues reached a new peak in 2005.
Tax cuts: Federal revenues today are 159% higher than they were in 2000. They are on track to climb another 38% in the next five years.
So, no. None of those explain why national debt has gone from $5.67 trillion to $40 trillion since 2000, or why it’s doubled since 2017.
What does?
Well, take a look at the chart below. What do you see?
You will perhaps notice that over the past quarter century, tax revenues as a share of GDP have hovered right around 17.4% – which was the average from 1946 to 2000. All the Bush and Trump tax cuts did was keep revenues in that narrow range.
But look at spending. From 1946 to 2000, it averaged 19% of GDP. The last time there was a budget surplus, spending was below that long-term trend. Since then, it’s never been close.
And there were two massive increases in spending, thanks to Barack Obama’s failed “stimulus” and Joe Biden’s failed “rescue plan,” neither of which was needed and both of which were followed by sluggish growth.
In addition, both Obama and Biden expanded the entitlement state, which set the federal government on a permanently higher spending path. There were plenty of bipartisan spending splurges as well.
The result is that while revenues went up 159%, spending has gone up almost twice as fast.
To Democrats, this is just evidence that taxes are too low. But it would be impossible to raise taxes enough to pay for all this additional spending without crashing the economy, which would, in turn, suppress tax revenues and increase federal entitlement spending.
We got into this hole because politicians have been spending like there’s no tomorrow. The only way out of this hole is to cut spending. Or at least moderate its growth so spending as a share of GDP can return to its historic average.
That should be simple enough even for brain-dead corporate journalists to understand.
Congratulations. SS is now. Considered an entitlement even though we paid into it vs welfare.
How much of this debt comes from debt caused by 50 million illegals brought to our country the last few decades be enemies trying to destabilize our country while giving democrats more voters?
Well, let’s see - - 3% of illegals pick crops - and almost 80% of them sign up for some type of welfare program...
The size of the economy also tripled, the debt ratio remained flat as a %.
The 80%+, $3+ trillion unconstitutional portion of r the federal gov't IS the reason for our national debt and an whole host of other problems.
Nuke the unconstitutioal portion of gov't!!!
The chart below clearly illustrates the insidious addictive quality of the government printing press.
We Americans have built this huge wall of debt and the addiction has been completely out of control for decades. Why is the price of gold approaching $5,000 an ounce when it was $35 an ounce back in 1971. Something has busted loose somewhere.
As stated in another thread: " We have built a huge wall that will soon topple over on us, creating much pain.
But what is to be done since paper, ink and faith have always been in great supply."
Just imagine without debt feds would have 1.2 Trillion dollars extra for tax cuts EVERY YEAR.
It’s disingenuous to blame tax cuts, when the recent audits show both fraud and grift (trillions for NGOs and non-profits benefiting mainly the globalist or Democrat objectives) and outlay for illegal border crossers together comprise so much of the debt. I haven’t added it up, but my butt sense is around half of the national debt or more is due to those three items. Then there’s the cost of crime due to liberal policies—don’t get me started.
Trump has also attacked the trade imbalances and the currency manipulation, plus the US having spent more than any other nation for NATO and UN dues. Did the authors think all this would be cleaned up in less that two years, with the appellate judiciary stacked against him?
Just think: one of our biggest offenders, California, just passed a bill making it illegal for citizen journalists to uncover fraud!
The dirty little secret is that it is false to think that reigning in spending is the answer to the national debt. All that might be is to slow down the accumulation of debt, so instead of a financial crash tomorrow, it’d be the day after that.
The system itself, as designed in 1913 and modified at Bretton woods meetings, and shocked as in 1971 with gold, is faulty, and designed to enrich banksters.
The answer lies in changing the financial system to be backed in precious metals and perhaps other commodities. That removes recessions and inflation theft. And, that means ending the FED and the IRS.
Federal spending has increased by nearly 300% over the past 25 years.
See Congress they control spending.
Democrats, commies and ‘elites’ allowed over 40 million illegals into the country in the last few decades.
Three percent of illegals pick crops. OVER 60% start collecting ‘benefits’ designed for American citizens. A fairly high percentage become scammers and common criminals .. and we pay for it all.
By implementing tariffs, President imposed by EO the largest tax increase in modern times
Congress controls spending, but spending is only a symptom. The real problem is money created out of thin air.
You’re not the only one on FR who does this, but you hit my grammar police nerve with “reigning in spending...”
The correct usage is “reining in...” like pulling up the reins on a horse to slow its forward motion.
“Reigning” is for kings. We have No Kings in America.
The fiat currency has survived since 1971. My guess it will survive another 100 years, because of the power of federal government to tax any economic activity in country.
Amazing when the feds have money printing machine, the only legal one in country.
Connected and they know how to do it.
Yes
Raking back the stolen $Trillions from the communist Democrats should be the FIRST ORDER OF BUSINESS.
re: “reigning” and “reining”
Thanks! I will add to my learning grammar list, with their/there/etc and two/too/to.
Appreciate your correction. I remember always writing “vacume”, until corrected to “vacuum”, and have behaved ever since.
You are aware of DOGE findings and subsequent statements by Elon Musk?
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.