Advocacy and Investment Education Groups Introduce 5 Minute Debt Solution: Taxpayer Petition to Super Committee Urges Big Cuts and Warren Buffett's Proposal on Keeping Congress Fiscally Responsible

Nov 14, 2011, 13:00 ET from Our Generation

 

ALEXANDRIA, Va., Nov. 14, 2011 /PRNewswire-USNewswire/ -- Today free-market advocacy group, Our Generation, launched a video and nation petition drive that states the importance of responsible government spending.  The Institute for Individual Investors are joining Our Generation in this project.  The campaign uses a 15-minute video to educate taxpayers about the dangers of deficit spending and urges them to sign a petition, which will be sent to each of the 12 members of the Super Committee. The petition urges the members of the committee to create incentives for members of Congress to employ real fiscal restraint and "Go Big" when issuing their spending cuts for the $14.9 trillion debt that has put the U.S. in economic decline. 

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"Seniors' and retirees' nest eggs and retirement security are threatened year after year with out-of-control spending, rampant inflation and dangerously low interest rates," noted Our Generation Executive Director MacMillin Slobodien.  "The economic situation in America will continue to get even worse if major changes are not made.  The adoption of the 'Five Minute Debt Solution' would restore trust, confidence, and accountability and put the U.S. back on a path to prosperity."

In a CNBC interview, Warren Buffett proposed that at any time there is a deficit of more than 3 percent of GDP, all sitting members of Congress would be ineligible for re-election, which Our Generation and the  Institute for Individual Investors  have titled this a "5 Minute Debt Solution." 

Brazil implemented a similar policy in 2000 when its budget deficit exceeded 48.8 percent of GDP.  Miraculously once Brazil adopted a Buffett-style debt ceiling law, placing the political future of political officials at stake, the deficit dropped to 37 percent of the GDP.  And today, Brazil runs at a surplus. Additionally, Brazil's Buffett-style law restored confidence in the government's ability to manage its finances and the economy.  The result, foreign investors began investing in Brazil once again and its economy took off. 

Using the Brazil law as an example, the petition urges members of the Super Committee to recommend a similar initiative for Congress by placing limits on the amount of time a member can serve in Congress when budget deficits are more than 3 percent of GDP.  The petition also urges members to "Go Big" by making cuts far in excess of $1.5 trillion that the super committee must make in order to avoid immediate enactment of across-the-board cuts.

Finally, the petition asks taxpayers to sign it so Congress can no longer ignore the difficult decisions facing our country, the most important of which is excessive spending which has brought our country to its knees.

Our Generation is a nonprofit, nonpartisan advocacy organization founded in 2009 to research, educate and promote long-term free market solutions to today's public policy concerns.

The Institute for Individual Investors LLC provides investment education training for retirement aged people.

Contact: MacMillin Slobodien
Phone: 732-689-4169

 

SOURCE Our Generation



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