The debt limit is almost upon us - yet again. Lots of hot air will be expelled by Republicans and Democrats alike, but they both ultimately ignore the fundamental problem: the US is under a tremendous debt burden and it should not be increased any further. In other words, in extremis, I am all for NOT raising the debt limit.
The chart below shows how the debt/debt limit has exploded upwards, particularly in the last 5 years or so, rising almost vertically.
- Impose a national sales tax
- Raise gasoline/diesel fuel taxes by $1/gallon
- Raise corporate taxes
- ... and here's a really radical one: tax capital gains as regular income, from all sources