The Presidential election may be over, but financial
problems still facing the United States are staggering. Before the last vote
was counted, the US “fiscal cliff” became the major news topic. Debt is the
most urgent problem facing the country.
Currently,
the US has over 16 trillion dollars of debt, and pays over 250 billion dollars annually
in interest. The country spends over one trillion dollars more than it brings
in yearly, increasing the debt by that amount every year.
The US may have the greatest dollar amount of national debt,
but most countries in the west have high debts. Canada’s debt is almost 600
billion, about one third of US debt per capita. Unchecked, these debts will
produce greater havoc than any other threat the west may face.
Riots in Greece, Italy and Ireland responded to governments
trying to reverse the trend. Reducing debt hurts. Some individuals suffer great
hardship. But the final choice is enforced austerity measures, or financial
collapse. Either will trigger harsh times for us, our children, and those yet
unborn.
But can we fully blame the governments that face this
crisis? Democratic governments simply carry out the will of their citizens. Why shouldn’t governments live on debt? After
all, Canadian personal debt continues to rise because many consider it normal to live on credit. Read this
man’s story:
I was brought up believing you
always lived on credit. If there was room on your line of credit you had buying
power. My wife took over our finances 10 years ago and we are now debt free (no
mortgage either). We live a modest lifestyle, so when people ask how we did it
I start with, "Well, you give up cable/satellite" and the response is
always, "We can't do that!" so I walk away. People do not want to
give up anything. Walk, bike, bus. Shop for groceries on sale. Dump cable/satellite.
Get a talk only cell phone plan. Buy used. Drive a smaller car. Live in a small
home. Turn down the heat. Turn up the AC. Stop saying you can't; no one wants
to hear you whine!
One voice is opposed to most common financial advice from
banks, financiers, and credit card companies that market debt. Nowhere does the
Bible suggest debt as a financial tool. It goes further. “The rich rule over
the poor, and the borrower is servant (or slave!) to the lender,” Proverbs
22:7.
We boast about our freedom in the democratic west, but we
drive deeper into financial slavery with every purchase we make. If every
citizen determined to become debt free, perhaps our governments would follow their
example and avert a pending catastrophe.
