Schiff: Obama's wrong when he says we have to raise the debt ceiling because we have to pay our bills

President Obama has often repeated that not raising the debt ceiling is an acknowledgement that the United States (Government) can't pay its bills.

What's the contrary position?

"When President Obama says that have to raise the debt ceiling, because America always pays its bills, he's wrong. The reason we have so much debt, is because we never pay our bills. And the reason that we have to raise the debt ceiling is because we can't pay the bills. So we want to borrow more money instead. If we leave the debt ceiling alone, then we finally actually have to deal with the bills. And the problem is, we borrowed so much money, it's impossible to pay it back. And that's what president Obama doesn't want our creditors figuring out." Peter Schiff on The Street (Video)

Things President Obama Has Done Better Than Bush

President Obama is a lot better at drone strikes:

The London-based TBIJ reports that under President Obama CIA drones strikes in tribal parts of Pakistan have occurred at a rate six times faster than his predecessor George W. Bush in parts of Pakistan, as of December 2012. That rate was about once every five days during his first term.

From 2004 to 2013, there were 365 drone strikes. Out of those, 313 were under the Obama administration.

Under President Obama, 2,152 people were reported killed, of whom 290 were civilians. By contrast, 438 people were killed under President Bush, of whom 182 were civilians.

Under Bush, more children were killed by drone strikes (112) than under Obama (64) in his first term.

The 300th drone strike occurred under President Obama in early December 2012. The first drone strike to occur under his watch was just three days into his presidency, which is reported to have killed 12 civilians.

 President Obama is a lot better at deportation:

-Although President Obama supports setting a path to citizenship for many illegal immigrants, his administration deported a record 1.5 million of them in his first term.

-In addition, the latest data released by the government in recent days show that an unprecedented 409,849 people were deported for the fiscal year that ended Sept. 30.
The increase from the previous year occurred despite policy changes ordered by Obama to reduce the deportations of otherwise law-abiding illegal immigrants.

-Roughly 55 percent, or more than 225,000 people, deported in the past year were convicted of crimes such as drug offenses and driving under the influence. Immigration officials note that they deported nearly twice as many convicted criminals as in the year before Obama took office. That year, in 2008, criminals made up about a third of all deportations.

 President Obama is a lot better at running up the national debt:

-According to the treasury department’s count, the debt has grown $5.3 trillion since Obama took office in 2009, compared to $4.9 trillion in Bush’s eight years. (Politifact, September 2012)

-“Less Than Two Months Into President Obama’s Second Term, New Numbers Show The National Debt Increased By More Than $6 Trillion Since He Took Office. It’s The Largest Increase To Date Under Any U.S. President.” (Mark Knoller, “National Debt Up $6 Trillion Since Obama Took Office,” CBS News, 3/1/13) 

-Under Obama, The National Debt Has Increased By $6.1 Trillion, From $10.6 Trillion To $16.7 Trillion – An Increase Of 57 Percent. (US Department Of The Treasury, TreasuryDirect.gov, Accessed 3/13/13)

President Obama is a lot better at running trillion-dollar deficits:

-“All The Trillion-Dollar Deficits Have Taken Place Under President Obama.” “The federal government ran up a $293 billion deficit in the first quarter of fiscal 2013, which ended Dec. 31, the nonpartisan Congressional Budget Office estimated Tuesday. The government’s fiscal year starts on Oct. 1st. At this pace, the deficit would be on pace to top $1 trillion for the fifth-straight year in 2013. All the trillion-dollar deficits have taken place under President Obama.” (Eric Wasson, “First-Quarter Deficit Was $293 Billion, CBO Says,” The Hill, 1/8/13) 

[Editor's Note: This list will be updated every once in a while until the end of President Obama's second term, and whenever some clever reporter reveals an interesting fact about the two presidents.]

Obama: There Is No Debt Crisis

Obama: There is No Debt Crisis || ABC News

GOP Response || Gop.com

I didn't know this: “All The Trillion-Dollar Deficits Have Taken Place Under President Obama.”

CBO: Interest Payments Cost Extra $1.033 Trillion Over Ten Years

The Congressional Budget Office estimates that, over the next ten years, that yearly one percentage point rise would cost us an additional $1.033 trillion in interest payments, on top of the $5.079 trillion we’re already paying.

Top Five Myths about Reducing Our $16 Trillion National Debt || Defeat the Debt

Ron Paul "We're In A Debt Crisis That's Worldwide"

Another old video that I had saved in the drafts from 2011.

Ron Paul Campaign Criticizes GOP Opponents on National Debt and Spending | CNSnews.com

Paul’s campaign notes that Gingrich, as a member of the House, voted to raise the debt ceiling in 1981, 1983, 1984, 1985, 1987, twice in 1989 and twice in 1990.

Santorum, as a member of the Senate, voted to raise the debt ceiling in 1997, 2002, 2003, 2004 and 2006.

Ron Paul Campaign Criticizes GOP Opponents on National Debt and Spending | CNSnews.com

Fed Now Largest Owner of U.S. Gov’t Debt—Surpassing China | CNSnews.com

In its latest monthly report, the Federal Reserve said that as of Sept. 28, it owned $1.665 trillion in U.S. Treasury securities. That was more than double the $812 billion in U.S. Treasury securities the Fed said it owned as of Sept. 28, 2010.

Meanwhile, as of the end of this September, entities in mainland China owned $1.1483 trillion in U.S. Treasury securities, according to data published today by the U.S. Treasury Department. That was down slightly from the $1.1519 trillion in U.S. Treasury securities the Chinese owned as of the end of September 2010.

At the end of September 2010, the Chinese owned about $707 billion more in U.S. Treasury securities than the Fed owned at that time. At the end of September 2011, the Fed owned about $516.7 billion more in U.S. Treasury securities than the Chinese owned.

Fed Now Largest Owner of U.S. Gov’t Debt—Surpassing China | CNSnews.com

U.S. Debt Held by Public Tops $10T for 1st Time—Up 59 Percent Under Obama | CNSnews.com

U.S. Debt Held by Public Tops $10T for 1st Time—Up 59 Percent Under Obama | CNSnews.com

Warren Buffet does not speak for the rich

Warren Buffet does not speak for the rich. Warren Buffet speaks for himself.

If Warren Buffet wants to make a deposit to reduce the public debt he can give a donation here.

Top 8 Contrarian Views on the Debt Ceiling Debate

1. Ron Paul’s Surprisingly Lucid Solution to the Debt Ceiling Impasse
2. Video: 3 Reasons Why The Debt-Ceiling Debate is Full of Malarkey
3. Debt-ceiling chicken
4. Obama's Balanced Approach
5. The Pesky Neighbor and the Debt-ceiling
6. Where are the spending cuts?
7. There is Life after Default
8. Lower the Debt Ceiling

Honorable mentions

9. Repudiating the National Debt
10. From the Tea Party with love
11. Debt ceiling drama
12. Why Ron Paul won't vote on Cut, Cap, and Balance
13. Video: Cato Institute on Underwhelming Cuts and "Cut, Cap and Balance"
14. Rep. Schweikert discusses political folklore on the House Floor
15. What "Big Deals" did to America
16. $2.4 Trillion Would Be Largest Debt-Limit Increase in U.S. History
17. FLASHBACK: Raising the debt "ceiling"?
18. 6. Don't be fooled by political posturing
19. Debt deal is a blank check
20. Baloney

Schiff: Creditor's willingness "type of ceiling that can't be raised by an Act of Congress"

Since Congress can vote to raise the limit, its existence has been more of a political nuisance than an actual barrier. The operative factor is not how much we allow ourselves to borrow, but how much our creditors are willing to lend. That type of ceiling can't be raised by an Act of Congress. Once our creditors come to the conclusion that they have lent beyond our capacity to repay, they will be very reluctant to lend more.

Peter Schiff, Debt Deal is a Blank Check

Sowell on the heart of the debt-ceiling issue

Regardless of what it is supposed to do, what the national debt-ceiling actually does is enable any administration to get all the political benefits of runaway spending for the benefit of their favorite constituencies — and then invite the opposition party to share the blame, by either raising the national debt ceiling, or by voting for unpopular cutbacks in spending or increases in taxes.

Thomas Sowell, Debt-ceiling Chicken

Schiff: Republicans can force cuts by not raising debt ceiling

House Republicans already have the power to avoid tax hikes and force significant spending cuts. All they have to do is refuse to raise the debt ceiling under any circumstances. That’s it.  At that point the only discussion would be where to find spending to cut.

Don't Be Fooled By Political Posturing, Peter Schiff

Debt Debate = Political Theater, says Gary North

The debate over the debt ceiling is political theater. There is no commitment to cut spending, because cutting spending creates negative voter responses by specific groups who vote as a bloc. Politicians will not risk this. They prefer to vote for another increase in the debt ceiling, because the pain is diversified over millions of unorganized voters. These voters do not perceive the increased deficit as an immediate problem causing intense pain. They prefer to have Congress kick the can. That is what Congress will do.

Baloney, Gary North

Rothbard on the National Debt (Again)

The government gets the money by tax-coercion; and the public creditors, far from being innocents, know full well that their proceeds will come out of that selfsame coercion. In short, public creditors are willing to hand over money to the government now in order to receive a share of tax loot in the future. This is the opposite of a free market, or a genuinely voluntary transaction. Both parties are immorally contracting to participate in the violation of the property rights of citizens in the future. Both parties, therefore, are making agreements about other people's property, and both deserve the back of our hand.

Murray Rothbard, Repudiating the National Debt (For the original post in 2010 click here)

The pesky neighbor and the debt ceiling - The Hill's Congress Blog

My emphasis added (in italics):

When you read the above example, your first reaction might have been to dismiss the neighbor's debt as illegitimate and in no way your responsibility or your problem. You would be right. No fair-minded legal system would hold you responsible for such a debt, and would instead cart your thieving neighbor off to jail. Yet Congress can impose liabilities on you, your children, and grandchildren without your consent, and even without your knowledge. This is another example of government holding itself above the law.

The pesky neighbor and the debt ceiling - The Hill's Congress Blog

Paul sounds a lot like Rothbard (my emphasis added again in italics):

The government gets the money by tax-coercion; and the public creditors, far from being innocents, know full well that their proceeds will come out of that selfsame coercion. In short, public creditors are willing to hand over money to the government now in order to receive a share of tax loot in the future. This is the opposite of a free market, or a genuinely voluntary transaction. Both parties are immorally contracting to participate in the violation of the property rights of citizens in the future. Both parties, therefore, are making agreements about other people's property, and both deserve the back of our hand.

Murray Rothbard, Repudiating the National Debt

Schiff: There are no subsidies for corporate jet owners

He explains:

There are no subsidies for corporate jet owners. The fact that corporations are forced to depreciate jets over a period of five years, rather than being able to fully deduct the expenditure immediately, is not a subsidy but a penalty. Just because commercial airlines are penalized more does not mean other corporations are getting a subsidy

Peter Schiff, Don't Be Fooled by Political Posturing

Video: Cato Institute on Underwhelming Cuts and "Cut, Cap and Balance"

Rep. Schweikert discusses political folklore on the House Floor

Yesterday I tweeted:

@RepDavid is my hero 4 the week. I saw his presentation on political folklore unraveling the prez demands. youtube.com/watch?v=YGkEvo… #libertarian

And again:

And I'm a big @RepRonPaul guy ... but @RepDavid you are a courageous man and a great educator. I wish you the best.

Video: 3 Reasons Why The Debt-Ceiling Debate is Full of Malarkey