The Senate Liberals and President Obama want to extend Unemployment Benefits. Senate Conservatives want to extend Unemployment Benefits. $34 Billion is the cost to extend these benefits. The question is simple. Can we afford to add $34 Billion to the National Debt? Senate Liberals say sure. Senate Conservatives say no.
The current National Debt is slightly over $13 Trillion. However, we have another unseen component of our true National Debt. The $13 Trillion does not include unfunded obligations for Social Security and Medicare Parts A, B and D. Financial analyst Ricardo Smith says our Unfunded Debt is slightly over $100 Trillion. (Details here What is the Total Unfunded Liability of the US Government?) Therefore the true measure of our debt is the sum of the parts. This totals a whopping $100 Trillion, plus the $13 Trillion. In short our National Credit card bill is a little over $113 Trillion.
Can we afford to continue to spend and promise more than we have? Sure, but the bottom line is the same for the Federal Government as it would be for you. Bankruptcy.
So the real questions should be, Can we afford Bankruptcy? Can we afford to spend our Children's and Grand-children's Inheritance? The answer to both questions should be a resounding NO!
Despite all the Political posturing by President Obama, Democrats in the Senate and the other Liberal talking heads, the Republican Conservatives in the Senate have offered a solution. Passage of extended unemployment benefits would be assured IF the Democrats in the Senate would agree to use unspent Stimulus Monies.