Senator David Perdue: CBO Report Shows Debt Crisis Is Spiraling Out Of Control
“We’re heading for an absolute catastrophe if we don’t address Social Security & Medicare.”
WASHINGTON, D.C. – U.S. Senator David Perdue (R-GA), a member of the Senate Budget Committee, comments on the Congressional Budget Office’s (CBO) 2019 Long-Term Budget Outlook, which confirms the United States’ $22 trillion national debt will continue growing dramatically unless Congress takes action.
“The national debt topped $22 trillion this year. We’re heading for an absolute catastrophe if we don’t address the real causes of future increases to our national debt, which are Social Security, Medicare, and interest on the debt itself. I’m convinced the only way to fix this crisis is to break it down into five pieces and look for solutions. First, we have to grow the economy, and under President Trump the economy is growing much faster than it did under President Obama. Then, we have to change Congress’s broken funding process, get rid of redundant spending, save Social Security and Medicare, and address the drivers of skyrocketing health care costs. As the CBO report points out, this debt crisis is spiraling out of control. If we don’t act now, our country will lose the ability to do the right thing.”
On June 12, 2019, Senator Perdue proposed bold changes to fix Congress’s broken funding process. Over the past four years, he has met with policy experts, outside groups, retired Members of Congress, and his colleagues from both parties and chambers to study best practices and highlight the flaws of the current funding process. The Fix Funding First Act is the culmination of Senator Perdue’s efforts to change the way Washington works.
Specifically, the CBO’s Long-Term Budget Outlook Confirms:
- Debt Crisis Is Worsening: The federal debt held by the public, adjusted for inflation, is expected to more than triple over the next 30 years.
- Social Security & Medicare Will Go To Zero: Projects Social Security and Medicare Trust Funds are both on track to become insolvent over the next two decades.
- Federal Spending Is Out Of Control: Projects that spending will rise more quickly than revenue. Specifically, spending will grow from 21 percent of GDP in 2019 to over 28 percent by 2049.
- Rising Debt Will Ultimately Fall On Taxpayers: Federal debt held by the American public is expected to rise from 78 percent in 2019 to 144 percent in 2049.
- Losing The Ability To Fund Priorities: In a few years, the U.S. will have to pay more in interest on the debt than we are projected to spend on the military, veterans’ care, and other national priorities.
- Fixing Debt Will Get Harder With Time: Each day Congress allows the debt to spiral higher, inevitable spending cuts will have to be much more drastic.
When Senator Perdue was elected, he was the only Fortune 500 CEO in Congress. He is serving his first term in the United States Senate, where he represents Georgia on the Armed Services, Banking, Budget, and Agriculture Committees.
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