July 30, 2011
NEW YORK POST: So Who’s Playing Politics With The Debt?
The president went to great pains yesterday to stress that raising the $14.3 trillion debt limit “is not a vote that allows Congress to spend more money. . . . [It] simply gives our country the ability to pay the bills that Congress has already racked up.”
Washington spends more than it takes in — and that can’t continue.
Indeed, it was reported yesterday that the US Treasury now has an operating cash balance of $73.8 billion — $2.4 billion less than the cash that Apple, the computer giant, has on its books.
The reason is simple: Apple collects more cash than it spends. With Washington, it’s the other way around. And increasing Washington’s revenues via higher taxes does nothing to rein in spending.
Something that can’t go on forever, won’t. Debt that can’t be repaid, won’t.