The 2014 '30 Under 30'

Congrats to this year's 30 -- check out the full list here!

Three reasons young Americans should care about the fiscal cliff debate

As Democrats and Republicans bargain over how to address the “fiscal cliff,” young people stand to lose a lot more in the outcome than just a negligible decrease in student loan interest rates and the right to stay on their parents’ health insurance well into their adulthood (both staples of President Obama’s 2012 campaign appeal to college students and recent graduates).

Despite the fact that young people overwhelmingly supported President Obama in 2012, most were probably unaware that they did so against their own long-term self-interest.

Here are three reasons young Americans should be watching the fiscal debate closely:

 

1. Failure to Reform Entitlement Programs Disproportionately Hurts Younger Americans

Although more than half of federal spending in 2012 will go to supporting entitlement programs, Democrats have effectively taken Social Security reform entirely off the table in the fiscal cliff debate. (They claim they will take up the issue at an unspecified time in the future. Yeah, right.)

The 2012 annual report of the Social Security Board of Trustees revealed that under current conditions, the Social Security Trust Fund will be exhausted in 2033, at which time expected revenues will only be able to fund about 75 percent of scheduled payments.

That means if you’re 18-29 years old today (and retiring between 2049 and 2060), you will pay hundreds of thousands of dollars in Social Security taxes over the course of your lifetime and receive less than your contribution in benefits – a negative return on investment!  You’re better of taking your chances in the stock market.

On the other hand, current retirees and baby boomers will receive full benefits paid for by current workers, aka you. Forget shifting wealth from rich to poor; our entitlement programs are really no more than a massive redistribution of wealth from young to old.

 

2. Young Americans Will Be Stuck With the Current National Debt

The President has cleverly shaped the entire deficit debate in terms of raising taxes on the “wealthy,” despite the fact that repealing the Bush tax cuts for top-earners is only expected to raise about $80 billion in 2013 against a current annual deficit of more than $1 trillion.

In order to eventually pay-off the $16.3 trillion national debt while also maintaining spending at levels President Obama and other liberals prefer, taxes will ultimately need to be raised much higher on everyone, not just the reviled “1%.”

Howard Dean admitted this well-concealed fact on MSNBC this week. The non-partisan Government Accountability Office also stated it bluntly in a report released this week: “the federal government is on an unsustainable long-term fiscal path.”

Either federal spending needs to be reduced dramatically or younger Americans of all income levels will ultimately be stuck with the higher taxes necessary to pay down the debt.

Most people would be angry at their parents if they left them with $50,000 in debt to selfishly pay for their own lavish lifestyle, so it’s a wonder that more people don’t get upset with the Federal government for doing the same thing.

 

3. The Youth Unemployment Rate is 50 Percent Higher Than The Overall Unemployment Rate

Youth unemployment (ages 18-29) is currently around 12 percent, while overall unemployment is around 8 percent.  The President has yet to explain how repealing the Bush tax cuts for the wealthy will help the economy or create jobs for young Americans.

To the contrary, in 2009 Obama suggested (correctly) that raising taxes on anyone during a weak economy was bad economic policy.  Britain’s 2010 tax hike on the wealthy also demonstrated the tendency of higher top-marginal tax rates to slow economic growth and hurt job creation.

If the economy faces another downturn, younger, inexperienced workers will be the first to be laid-off, and jobs will be even harder to come by for recent graduates.

Young Americans have more to lose in the outcome of the fiscal cliff debate than just about any other group.

 

Comments

Polititainment

Stewart challenges McCain to 'wrong-off'
  Sen. John McCain and The Daily Show’s Jon Stewart have engaged themselves in a televised media war. McCain recently appeared on Media Buzz where he was asked if he believes Stewart is fair to Republicans. Stewart used this clip in his monologue Tuesday night and replied to the question with “does the Pope sh*t […]
Long-shot for House may be on reality TV

Nick Di Iorio may have to settle for the TV screen instead of the U.S. House floor.

Snoop Dog smoked pot in the White House

Snoop Dogg may just have officially inducted himself into President Obama's "Choom Gang." The rapper confessed -- or bragged, rather -- to Jimmy Kimmel on his Internet program "Double G News Network" that he smoked a joint in the White House bathroom back in 2013.

Michael Moore fights over money

According to The Detroit News, Michael Moore's divorce from Kathleen Glynn was provoked by monetary disagreements, specifically Moore's anger that his wife was spending tons of money expanding their lavish Michigan home. This home is just one of nine that the couple owns from Michigan to New York.

Cruz comments on his 'True Blood' cameo
After an unflattering depiction on HBO’s “True Blood” over the weekend, Sen. Ted Cruz took to Facebook to respond to the bizarre “cameo” Tuesday. “Of all the places I never thought to be mentioned, HBO’s True Blood vampire show would have to be near the top of the list. Sunday night, they aired a misogynist […]

White House

Obama wants ‘idealism and optimism’ for millennials in face of Congressional ‘crisis,’ refuses to recognize he is part of the problem
Now that “hope and change” seems to be played out, President Barack Obama has come up with a new catchphrase for millennials – “idealism and optimism.” In a speech at a Democratic National Convention fundraiser in Seattle, Wash. Tuesday night, Obama asked young people not to give up their natural idealism and optimism because of […]
President Obama admits he does not watch the news

During a speech during a Democratic National Committee event in Seattle, Washington Tuesday night, President Obama confessed that he doesn't watch the news. Throughout the speech, Obama predictably complained about the incompetence of our "broken" Congress and urged his liberal audience to get enthusiastic about voting for Democrats in the midterm elections this fall.

Congress and the President actually take action, Obama says ‘it’s so much fun’
“Girls just want to have fun,” Cyndi Lauper belts in her famous song. Apparently President Barack Obama wants to join her. “Let’s do this more often. It’s so much fun,” Obama said at a bill signing on Tuesday. Obama gathered in White House with members of Congress to sign the Workforce Innovation and Opportunity Act. This […]
Josh Earnest criticizes negative story for quoting anonymous sources, forgets the White House is always quoted anonymously

When White House Press Secretary Josh Earnest took a potshot at anonymous sources during a Monday briefing, he probably should have picked a meeker reporter.

Obama to fundraise at ‘Scandal’ creator Shonda Rhimes’ home Wednesday
It’s handled. The latest Democratic National Convention fundraiser featuring President Barack Obama, that is. “Scandal” creator Shonda Rhimes will host the latest in a series of Obama-led fundraisers at her Los Angeles home Wednesday, according to The Hollywood Reporter. Obama has been hosting fundraisers all over the country in the midst of a border crisis and […]

Congress

Cruz to Reid: Leave Ritz-Carlton, go to Border
After President Obama turned him down, Sen. Ted Cruz (R-TX) invited Sen. Harry Reid (D-NV) to join him at the border.  In response to Reid’s recent claim that the border is secure, Cruz said on Fox News Sunday that Reid’s perspective is skewed because he “lives in the Ritz-Carlton in Washington D.C.” “I would invite […]
Graham: Immigration reform crucial for 2016
Immigration reform will be crucial to the 2016 presidential election, at least one Republican senator believes. Sen. Lindsey Graham appeared on NBC’s “Meet the Press’” with David Gregory Sunday morning to discuss foreign policy and the border crisis. “Senator, the crisis on the border, immigration reform. This is an international problem. But it’s also a big […]
Cruz: Obama loves to blame problems on Bush
Why won’t President Barack Obama and Congress work to end Obama’s push for amnesty at the border? Sen. Ted Cruz (R-Texas) believes the reason stems back to the Bush era. Cruz’s argument is that Obama’s Deferred Action for Childhood Arrivals program is the reason for the surge of child immigrants from Central America seeking illegal entry into […]
Rand Paul wants to see minimum wage be 'temporary'
Sen. Ran Paul has a very different take on minimum wage from the Obamas, a point of detraction he made clear Saturday at the Reboot conference for libertarians and conservatives in the tech sector. Unlike President Barack Obama, who wants to see the minimum wage raised nationwide so people can live permanently on it, Paul argues […]
AZ Rep is tweeting #ObamaFailures every 30 minutes
Rep. Trent Franks from Arizona must have woken up Wednesday with a lot on his mind. Luckily in times like that, Twitter is always there for you. Franks took to his official Twitter page to begin a list of #ObamaFailures. Every 30 minutes he tweets another failure to add to the list and will continue […]