As these trends develop, the upward pressure on sovereign debt interest rates will become undeniable. If interest rates double or triple or quadruple to 1970s levels, extreme austerity will become inevitable. Legitimate and illegitimate spending will be cut to the bone. Tax hikes will become politically unavoidable to protect Social Security.
We need to stop the insanity of borrowing more money than our kids can ever repay. But if history tells us anything, we need to move the debate out of Washington to succeed. And if you join our team at FreedomFest on July 10 (at 1:30 p.m.) and July 11 (at 4:00 p.m.), you will discover that it is not too late to do just that.
But the states and Congress can still secure creditor confidence and change the inevitability of our fiscal path by uniting behind the Compact for a Balanced Budget.
The Compact for a Balanced Budget commits the states that join it to the entire process of advancing and ratifying a federal Balanced Budget Amendment when the necessary constitutional and legal thresholds are met. Especially when set in motion by the necessary congressional resolution, this would strongly signal to our nation’s creditors that the will to fix the national debt exists.
So please join us at FreedomFest to find out what you can do to help stop the deficit punting!