The Republican Caucus at Harvard Kennedy School
by Michael Sechrist on November 11, 2009 in Dems v. Reps, Opinion
During the 2008 presidential election cycle, President Bush took a beating by many on the growing deficit. In a 2007 interview, then Democratic presidential candidate Barack Obama spoke with clarity and command when he said that, “[The Bush Administration] has been the fiscally most irresponsible administration that we have seen. We have increased the national debt, almost doubled it, since George Bush took office; it is now over $9 trillion dollars, and that is money that we are all going to have to pay back.”
Obama’s stance dovetailed nicely with a factsheet put out by House Democratic Majority Leader Steny Hoyer at the time. His factsheet graphically showed that President Bush borrowed more from foreign governments and financial institutions than the first 42 U.S. presidents combined. It went on to say that the “increased amount of debt held by foreign creditors undermines America’s national security. The United States is more vulnerable to geopolitical pressures in unstable parts of the world.”
Most Republicans would agree that fiscal deficits make our government more vulnerable to global instability. In the past 20 years, foreign holdings of U.S. federal debt have increased from 19 percent to 49 percent. That means that over half of our federal debt is held by countries whose interests may not be our own. China, Japan, the U.K. and oil exporting countries are the biggest holders of U.S. Treasury securities.
But according to The New York Times this past summer, “…Mr. Obama does not have a realistic plan for eliminating the deficit, despite what his advisers have suggested.” His plans to halve the federal budget by 2013 means little considering that the federal budget will be twice what it is today even after such a reduction. Obama’s $787 billion stimulus package contradicts a key DNC tenet that “[Democrats] will maintain fiscal responsibility, so that we do not mortgage our children’s future on a mountain of debt.”
In fairness, President Bush raised the national debt $1.8 trillion in his first seven years in office. By the time his second term ended, the national debt stood almost $4.9 trillion higher than when he first entered. Obama recently said he “found this national debt, doubled, wrapped in a big bow waiting for me as I stepped into the Oval Office.” Well he is re-gifting it now for future generations.
Since taking office, President Obama has added $1.8 trillion to the national debt. What President Bush did in seven years, Obama is doing in his first year. If the Obama administration’s budget projections are right, it will take the national debt four years to rise to what it did in eight under President Bush. But White House economists’ projections are subject to change. For instance, the deepening recession made the Office of Management and Budget recalculate the national debt this summer. In just five months, from February to August 2009, OMB calculated that $2 trillion was added to the national debt. This will require the national debt limit, which Congress approves, to be increased by another trillion dollars this month to $13 trillion. This is the second increase since Obama took office in February.
As discussed, the problem does not lie with one party. It is a problem that all Americans, on both sides of the aisle, need to address. Right now, there is no light at the end of the tunnel. According to the Peter G. Peterson Foundation, beyond our explicit liabilities of $13 trillion, implicit liabilities in Medicare and Social Security run close to $43 trillion. The total deficit then, all told, runs closer to $56 trillion, which comes down to $184,000 for every person living in the U.S.
The GAO describes this path as “unsustainable.” They estimate that government debt as a percentage of GDP will rise from 90 percent today to “170 percent by 2040 to over 600 percent by 2080 – far exceeding the historical high of 109 percent that occurred immediately following WWII.” By comparison, the E.U. does not let countries accede to it if debt levels exceed 60 percent of GDP; so by all accounts, we would not be let in.
Right now, when you type in “national debt” on the DNC website, you get a broken link. As voters, we need to demand that our elected officials move from this broken path of spending and burdening future generations. We must demand that a plan be produced and executed. Our security, in all areas, is at stake.
To further highlight this important issue, the HKS GOP caucus will host a series of events next semester, during National Debt Week. Details are currently being finalized, but we encourage the HKS Democratic Caucus to join us in supporting the events. We hope that all students will attend at least one event so that we can collaborate on fixing this important issue. Stay tuned.
The Little Things
by Michael Sechrist on September 17, 2008 in Features
Since becoming a public servant, my perspective on why service matters has changed. Before going to work for the federal government, I had lofty ideals. After several jobs in Washington, however, many of those ideals were left battered by reality. The work was more challenging than I imagined and more often than not, the rewards harder to attain. Still, public service in part defined me; I was devoted to serving institutions that affected the lives of numerous Americans and the communities in which they lived.
My work had significant consequences; it really mattered. The extent to which it mattered revealed itself during my first year in Washington when one day, I came close to screwing up on the job. After a miscommunication with a superior, I held onto some paperwork I shouldn’t have. Later that day, he informed me that because of what I had done, Ambassador John Negroponte’s nomination to become America’s first Director of National Intelligence would be delayed for two whole weeks.
For the next 45 minutes, I sat alone in my office contemplating rosy scenarios, like being fired and seeing my name in The Drudge Report. I envisioned the 9/11 Commission excoriating the President for not nominating a DNI sooner, and the President, in turn, blasting me at a news conference somewhere, crushing my reputation for at least a few good years to come.
The experience taught me that public service, however trivial it can sometime seem, matters a lot. It’s part of a greater whole. When the cog you work on breaks down, the entire wheel could fall off. It’s like the butterfly effect in chaos theory – public work has impact, across the country, and often times, around the world. Through public service, we make a significant difference, for better or for worse.
As it turned out, the difference I made that day ended for the better. Miraculously, the Senate stayed open a few more hours, allowing the nomination paperwork to reach the floor. My superior apologized to me and, thankfully, I lived to serve another day.
