In a passage that could serve today as a principled tweet of moral guidance, Washington warned against “ungenerously throwing upon posterity the burden which we ourselves ought to bear.”
He further reminded his fellow countrymen, and by extension today’s citizens and policymakers, that “towards the payment of debts there must be revenue; that to have revenue there must be taxes; that no taxes can be devised which are not more or less inconvenient and unpleasant.” This “choice of difficulties,” he noted, “ought to be a decisive motive for a candid construction of the conduct of the government in making it, and for a spirit of acquiescence in the measures for obtaining revenue, which the public exigencies may at any time dictate.” In modern times, we would call this a “pay-as-you-go” philosophy. It is a philosophy that is now very much at risk.
When Washington said we should “cherish public credit,” he was not saying that we should pile it on but that we should “use it as sparingly as possible” to avoid “the accumulation of debt, not only by shunning occasions of expense, but by vigorous exertion in time of peace to discharge the debts which unavoidable wars may have occasioned.” Washington also called for citizen engagement and understanding of budgetary issues, observing: “The execution of these maxims belongs to your representatives, but it is necessary that public opinion should co-operate.”
However, when Clinton took office himself, he continued the Bush policies. Clinton's highest priority was to maintain trade with China, boost American exports, expand investment in the huge Chinese market, and create more jobs at home.
