What if we decide to do the following. #1 Discontinue social security for people born after 2012 #2 Discontinue medicare/medicaid. #3 Discontinue the welfare system #4 Discontinue all forms of funding for education. #5 Discontinue all forms of corporate welfare (ie ethanol subsedies,green energy subsidies,oil company etc..) #6 Discontinue unemployment insurance #7 Discontinue the war on drugs (DEA etc..) let states choose to enforce this #8 Discontinue all special programs (ie those porkbills) #9 Add an amendment that makes it illegal to bail out any private industry no matter what risk a collapse poses. #10 remove all mortgage backstops, it should be 100% private industry #11 Remove all college loans/backstops. Shrink the government to the basics of basics to the following only. #1 Military, We need our military to protect from foreign enemies. and thats it and let states fund any programs they wish with their own money. Wont this pretty much wipe out our federal deficit and create a true capitalist market? Make our dollar stronger and remove incentives from companies offshoring jobs because now they will no longer have a government backstop of Unemployment insurance etc.. to keep people spending money even if they have no job.
I hate to brake it to you but your debt interest is so high that no matter what you cut it is practically impossible to reduce you debt by that much. I mean the real debt not the made up figure.
We can reduce it by going back to a isolationist stance, close down global bases, stop being the worlds police force and only focus on protecting the homeland. Like everyone else does.
Why not issue a new electronic dollar and give everyone 3 months to deposit and convert their old dollars after which all of the old currency and coin expire. Audit the deposits against the tax returns and spank the tax evaders. This will flush out all of the counterfeit currency and wipe out the drug dealers. Then monitor the e-curreency flow and assess a single monetary exchange tax. ie 1%.
Nice ideas, but it won't work. It won't work because those that control the jobs will always send them offshore for the cheap labor. Take away all those government programs, and they would have to pay the American worker even more than they do now. No SSN, No Medial for seniors, no unemployment benefits, no nothing means the worker needs a much larger paycheck to save and invest for the future. Those in charge only care about one future, their own. Saving America ain't part of the plan. In fact, it is exactly opposite of that. We're much more profitable for them when we are broken up. Like the swarm of locust that they are, when the fields have been stripped clean, they'll move on.
So go to a completely fascist state where individual liberty is non-existent? That sounds great. 3 months? That's WAY too short, typically it's several years. People who are sick, in a coma, overseas, in military service. Etc. The problem is not tax evaders, or that the income coming in is not enough; the problem is that too much is wastefully spent!
I'm just a fan of implementing a simple monetary exchange tax and doing away with all other forms of taxes or the need to file any type of return. I understand privacy issues but any transaction that is not a barter or in cash is already tracked. The infrastructure is tried and true and the system has existed for at least 40 years generating huge returns for the private enterprises that clear and control the transactions: Visa, Mastercard, Amex, Paypal and others operating multi billion dollar companies on 1% of each exchange. An all electronic currency is just an account ties to a Tax ID and can be loaded on Smart Cards, iPhones, used online and this same identity should be used by the states for all licensing and as your passport. One centrally managed system with an API that allows states, and private companies to develop applications to expand the use of just one global clearing system.