I was always taught that the Federal Government needs the ability to deficit spend in bad times in order to stimulate the economy when it needs it. I agreee with that.
Here the rub- we find it too easy to deficit spend even in good times. People always want more than they have the money to buy. Then the bad times hit and it gets way out of control. So, after much thought, I’ve become an advocate of a Constitutional ammendment that requires a balanced federal budget.
My thinking is that it can’t do more damage than continual deficit spending.
People will ask- what happens when something serious comes along, like a world war. Two things are possible- either we don’t get into the war because we cant afford to, or we allow an exception for a declared war. I can live with either.
It would be very painful for America, and especially for Washington, to consider such an ammendment. But to me, it seems like the only way we get control of what’s happening in the finances of this great nation. I wonder if Congress has the guts.