Read The Writing On The Wall

The numbers are big but the math is fairly simple, the United States is in deep financial trouble, we’re digging the hole deeper, and no one in Washington is even thinking about putting down the shovel.

Taking the National Debt Seriously

As of Sept. 30, 2009, the national debt was almost $12 trillion and interest on that debt was $383 billion for the year, according to the Treasury Department’s Bureau of the Public Debt. The Congressional Budget Office on Oct. 7 estimated the 2009 budget deficit to be almost $1.4 trillion (about 10% of GDP). In August, the White House Office of Management and Budget (OMB) estimated total government revenues at about $2 trillion. The revenue estimate included $904 billion from individual income taxes. This means the cost of interest on the debt represented more than 40 cents of every dollar that came in from individual income taxes.

Except for a few years in the late 1990s, for decades Washington has spent more than it has taken in each year and borrowed the rest. Taxpayer dollars that could have paid off debt each year have instead been spent on interest to finance debt. Unfortunately, that’s a vicious cycle that will likely only get worse.

The OMB projects deficits of about $9 trillion over the next 10 years. If that occurs, the national debt will be almost $21 trillion by 2019. However, the actual amount could be much higher. The OMB also optimistically projects $13.5 trillion of revenue increases over the next decade, while minimizing the inevitable rise in interest rates that will come with an expanding national debt.

During Jimmy Carter’s years in the White House, Treasury yields reached 15%. The 2009 average interest rate on the debt was only 3.2%. With our mounting national debt and budget deficits, it is reasonable to assume that in the near future interest rates on new and refinanced debt could double or triple.

In stark but simple terms, unless Americans are made aware of this financial crisis and demand accountability, the very fabric of our society will be destroyed. Interest rates and interest costs will soar and government revenues will be devoured by interest on the national debt. Eventually, most of what we spend on Social Security, Medicare, education, national defense and much more may have to come from new borrowing, if such funding can be obtained. Left unchecked, this destructive deficit-debt cycle will leave the White House and Congress with either having to default on the national debt or instruct the Treasury to run the printing presses into a policy of hyperinflation.

See also:
US National Debt Clock
Let’s Play Hypocrisy Or Incredibly Shameless Hypocrisy?
Obama’s $2 Trillion Friday Night Dump
Setting Records
You’d Better Sit Down, I’ve Got Some Bad News
Thank You President Obvious
File Under: No [Expletive Deleted] Sherlock!
Money Doesn’t Grow On Trees
Spending Like A Drunken Sailor On Crack

/hey, I know, let’s spend a couple trillion more on health care “reform”, cripple the economy with cap and trade, and, oh, how about a second “stimulus”?

Hacking Back At The Chinese And Russians, The White Hat Cavalry

Gates Creates Cyber-Defense Command

Defense Secretary Robert M. Gates issued an order yesterday establishing a command that will defend military networks against computer attacks and develop offensive cyber-weapons, but he also directed that the structure be ready to help safeguard civilian systems.

In a memo to senior military leaders, Gates said he will recommend that President Obama designate that the new command be led by the director of the National Security Agency, the world’s largest electronic intelligence-gathering agency. The current NSA director, Lt. Gen. Keith B. Alexander, is expected to be awarded a fourth star and to lead the cyber-command.

Gates or his deputy had been expected to announce the command in a speech a week ago. Analysts said making the announcement by memo is in keeping with the Pentagon’s effort to tamp down concerns that the Defense Department and the NSA will dominate efforts to protect the nation’s computer networks.

“Is it going to be the dominant player by default because the Department of Homeland Security is weak and this new unit will be strong?” said James A. Lewis, a cybersecurity expert at the Center for Strategic and International Studies. “That’s a legitimate question, and I think DoD will resist having that happen. But there are issues of authorities that haven’t been cleared up. What authorities does DoD have to do things outside the dot-mil space?”

The command will be set up as part of the U.S. Strategic Command, which is responsible for commanding operations in nuclear and computer warfare. Gates directed that the command be launched by this October and be fully operational by October 2010.

In a speech last week, Deputy Defense Secretary William Lynn stressed that the command’s mission would be to defend military networks. However, he said, “it would be inefficient — indeed, irresponsible — to not somehow leverage the unrivaled technical expertise and talent that resides at the National Security Agency” to protect the federal civilian networks, as long as it is done in a way that protects civil liberties.

See also:
Military Command Is Created for Cyber Security
Pentagon approves creation of cyber command
Defense Secretary Orders Cyberspace Command
Gates approves creation of new cyber command
US Creates Military Cyber Command to Defend Computer Networks
Pentagon: New cyber command focuses on military network
US sets up anti-computer-hacking unit
Cyberspace: The New Battlefield
Welcome to the National Security Agency – NSA/CSS
National Security Agency
National Security Agency
U.S. Strategic Command
Strategic Command
United States Strategic Command
Air Force Cyber Command
Air Force Cyber Command (Provisional)
Navy Cyber Defense Operations Command (NCDOC)
Welcome to Fort George G. Meade
Fort George G. Meade
Center for Strategic and International Studies ( CSIS )
Center for Strategic and International Studies

/since you insist on [expletive deleted] with our networks, we’ll [expletive deleted] with yours, and we’re better at it