Opinion: Egregiously obese nationally debt charges onward

Not you? You are going to tell me your credit rating is a stellar 800, your monthly bills were all paid online in nanoseconds, and you may retire early because you have so much cash sacked away.

Well, you still owe $28,002, and by the time you finish reading this column the total will probably be $28,003.

You, your children, your grandchildren, your dentist, your youth pastor, your travel agent and every homeless person whose cardboard signs you have peeked at through your guilt … each owes $28,000.00.

If you have not figured out the source of your delinquency, look at the national debt.

Who cares, right? It is just a bunch of numbers that clatter on but do not mean anything. You may want to take a second look at the digits that are picking up speed.

Back on June 25, the national debt was $8,402,269,439,814.56. That is $8 TRILLION. With a population on that date of 298,891,306, every person in the United States is in hock to the government to the tune of $28,002.

Try this: Since Sept. 30, the federal government has been adding $1.74 billion to the national debt EVERY DAY.

We are back to the assumption that these numbers are just that, numbers. These digits do not have any impact on the government’s ability to function or our ability to enjoy the blessings of the greatest nation on the face of the earth.

When I talk with people about this mushrooming megadebt, there kicks in what I call the Tinker Bell Syndrome. It seems to be part of our national psyche that Tinker Bell, the Tooth Fairy or some other celestial being will wish upon a star, click their heels and – phoof – the debt is gone!

There are three things we need to know about the national debt.

First, debt is not bad. It is not the way I run my personal finances, but it works for Wal-Mart, Dell Computer and any aspiring entrepreneur. You need debt to move your product from between your ears to the marketplace so it gets maximum exposure and, you hope, a rich return.

Supply-side economics, which are not always evil, promise jobs, low inflation and a higher standard of living for everyone in this Republic. The rationale is that it takes money to make money. As someone who owns his own business, I am a believer in that principle – up to a point.

That last statement leads me to my second point. You only wrap your arms around additional debt if you are convinced you are making smart investments.

Apple Computer took a risk on a smart investment: the IPod. Starbucks took a smart investment serving premium coffee combinations in a building that looks like your living room. And, Jiffy Lube banked its financial future on convenience – the convenience of handing your car over to five people who will swarm all over it changing oil, lubing your joints, vacuuming the interior and washing your windows, all in 10 minutes.

How smart is our national risk to be fighting a world war on terrorism, reducing income taxes, approving loopholes for the energy industry, borrowing $2 trillion from the Social Security Trust Fund and continuing to pump out blatantly pork legislation?

My third point about our egregiously obese national debt is the smoke-and-mirrors methodology of how the economic behemoth of the United States of America stays financially afloat. My bank does not have the same patience, understanding and creativity as our national government.

We remain solvent because people around the world buy our debt in U.S. Treasury Bonds. With a return on investment of 4 percent to 5 percent, Japan, China, Britain and a host of other countries have underwritten our red ink.

We presently owe Great Britain $171 billion.

The United States has always been a good credit risk. At the same time, with the proliferation of nuclear weapons and insidious terrorism, I am concerned about owing money to our enemies.

It appears my legacy to my grandchildren will include a well-used fly rod, 29 photo albums and probably a national debt of well more than $50,000 if there is no accountability for spendthrift politics.

I think it is time to elect national leaders who will not scoff at the outrageous national debt with Tinker Bell aplomb.

Cal LeMon of Executive Enrichment Inc. solves organizational problems with customized training and consulting. He can be reached at execenrichment@aol.com.[[In-content Ad]]