Cedarville Professors Analyze National Deficit

'You are all inheriting a burden that you had no choice but to take on'

Four Cedarville faculty members participated Nov. 3 in a panel discussion about the United States’ debt problem and the ethical and moral implications involved. Over one hundred students attended “Deficits and Debt: A Moral Perspective” led by Professor of Economics Bert Wheeler, Professor of History Marc Clauson, Professor of Economics Jeff Haymond and Professor of Theology Ryan Peterson.

Wheeler compared the views and beliefs of John Maynard Keynes to the current economic situation. Keynes is widely regarded as the most influential economist of our time. His economic theory says the government should intervene to keep the economy stable and growing.

“[Keynes’ economic philosophy] has morphed into the belief that all that matters is the present,” Wheeler said. “You may be creating a problem a few years from now, but you’ll solve that problem when you get to it.”

Describing the error in Keynes’ economic view, Haymond said the deficit sets a burden on future generations of taxpayers. He said he hoped the students were concerned about the future generations because they are the future generations. He said this tax burden on future taxpayers is unjust.

“You are all inheriting a burden that you had no choice but to take on. You had no voice in deciding whether the benefits gained were worth the money,” Haymond said.

Wheeler said most of this money is going toward social welfare programs, which are costing America the most in its debt struggle. When compared with relationship to gross domestic product, spending on social programs is rising at a far greater rate than other programs like national defense, which is on the decline. Wheeler also said raising taxes could not and would not solve the problem.

There are historical precedents for America’s debt problems, Clauson said. “Rulers have always borrowed money,” he said. “It’s not a new thing.” It was expected that a nation would have to borrow money or take on debt as a result of extraordinary situations like war. According to Clauson, in most historical cases, however, the debt was eventually paid back.

Peterson closed the discussion period by relating the economic challenges of our day with Christian moral principles. He challenged those present to remember the end goal of a Christian’s life. It’s not to gain money and wealth. Peterson also said the purpose of government is to protect its citizens from things like money-hoarding corporations.

“Wealth accumulation at the expense of others is a bad thing and should not be protected,” Peterson said.