Author and adviser to former presidents Bill Clinton and Donald Trump Dick Morris told Newsmax Monday that both political parties are using the current debt ceiling increase debate as a "con" because there is enough federal tax revenue coming in to pay the nation's debt service.
"The whole thing about the debt limit is a totally fabricated alarm," Morris said during "American Agenda" Monday. "Let me explain the con game. The Democrats are pulling a con by saying that we're endangering Social Security, Medicare, and debt service, and we could default, and the purpose of that con is they know that's not true. They know that we can pay for all of that out of tax money."
Morris said the federal government is expecting to bring in around $2.7 trillion this year in tax revenue, while paying $364 billion interest and principal on the nation's $30 trillion debt.
With Social Security and Medicare projected to cost $770 billion and $26 billion respectively, and including another $1.57 billion for veterans' benefits, Morris said the incoming revenue has more than enough to make all those payments with around $500 billion leftover before any money would need to be borrowed.
"All of those people that work for the government and are dues-paying members of Democratic unions, they're the ones who are facing the cut if we can't borrow, because they're the surplus ones," Morris said.
Morris said that Republicans are also pushing their own "con" when it comes to raising the debt ceiling.
"Republicans are playing the same con game but with a different goal," he said. "They're saying Medicare, and Social Security, and debt service are imperiled, but their goal is to panic the Congress into limiting spending, and cutting back spending, which is all true, but don't make it like there is a danger here."
Morris toed the line and said that almost all spending, including the military, can be paid out of the current tax revenue before any borrowing is needed.
President Joe Biden and House Speaker Kevin McCarthy prepared to discuss the issue Monday, just two weeks before the Treasury Department predicts the nation will run out of money, Reuters reported.
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