“The financial crisis that began in late 2007, and its widespread aftershocks, led to a dramatic increase in the public debt of most advanced economies, with many of them experiencing their highest levels of debt since World War II. Another contributing factor to the increased debt was the decrease in tax revenues.”
Unfortunately, debt has been growing everywhere. Worldwide debt is backed with debt from other nations, it is based on debt from multinationals, and it is dependent on vast sums of debt–leveraged with yet more debt. How can this continue?
According to the USDebtClock, on average, each citizen would need to contribute $180,756.00 to rid the US of its debt pool.
Because, as a Nation, we are spending beyond our means.
Well... What about Oregon?
Same news... Just add $8,675.00 to your already allocated portion of the US Debt to get to your bottom line. That makes your portion a whopping $189,431.00. That means, as a State, we have also been living beyond our means.
What about Klamath County? It’s OK... Right? After all, the County is required to have a balanced budget. In fact the County Budget Manual describes,
“The budget must be constructed so that the total resources in each fund equal the total requirements in that fund [OAR 150-294.352(1)-(B)]. When the resources are equal to the requirements, the fund is said to be ‘in balance.’”
So... My questions to you are:
- Even though the County budget is balanced, are we living beyond our means?
- Are we, in Klamath County, willing to face the economic realities of our needs, wants, or habits?
- When faced with declining revenue:
- Should County government cut services?
- Should County government ask you for more money (via fees or taxes)?
Overspending is our problem; overspending is Oregon’s problem, and overspending is our National problem. If you answer the above questions wrong, be prepared for Federal, State, and local tax increases through Special Taxing Districts, Special Option Levies, and Bond Measures.
Overspending will be our Nation's ultimate demise – and, it all starts right here, in our local economy.