Friday, March 11, 2011

National Debt Ceiling

Congress is now engaged in a great debate over whether or not to increase the ceiling for the national debt. That ceiling is currently set at $14 trillion, and federal government spending will soon push the national debt up to the limit. Congress can either increase the ceiling or have the horror of a government shutdown.

But wait, there is one other option: Congress could cut federal spending such that the debt ceiling isn't reached.

Here's my question. What is the point of having a "ceiling" on the national debt if the response every time the ceiling is hit is to raise the ceiling?

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