The problem with a balanced budget is that it can be balanced by raising revenue. Politicians of all colors have seldom turned away a voter who needs something. Our rising debt loads at every level of government, local, state and federal, are proof that trying to halt the slide into fiscal oblivion will take real concrete limits. Leaving spending controls in the hands of the very people who are doing the spending is folly. Every previous attempt in my lifetime (Congressional Budget Act ‘74, Gramm-Rudman-Hollings, and “Sequester”) has failed to put a curb on federal spending. There are a myriad of ideas to rein in spending. Here is mine.
A constitutional amendment saying total federal government expenditures (includes entitlements) are limited to revenues equal to 18% of GDP as calculated on the day the amendment passes into law. The amount can only be exceeded by a declared war and with 3/4 of both houses approving the additional, specific excessive amount that must be deducted from the number of future annual budgets equal to those impacted once the declared war has ended. A 5 year war means you have 5 years to recoup the money.
Eighteen percent is nearly 2.5 points above average of spending over the past 78 years and recognizes that more demands have been put on the federal government over that time. (https://www.whitehouse.gov/omb/historical-tables/ Table 1.2 – SUMMARY OF RECEIPTS, OUTLAYS, AND SURPLUSES OR DEFICITS ( – ) AS PERCENTAGES OF GDP: 1930 – 2024). The allowance for a single reason to exceed this amount is to put serious curbs on getting around the law. Lawyers will need to put in language that cements the expenditure intent and recuperation process. Knowing politicians don’t like perpetual wars hopefully acts as a deterrent to thwarting the law.
What do you think?
Current Day Publius 