In time of peace there can, at all events, be no justification for the creation of a permanent debt by the Federal Government. Its limited range of constitutional duties may certainly under such circumstances be performed without such a resort.
Interpretation
The quote asserts that in peaceful times, the government should not create permanent debts, as it can fulfill its responsibilities without resorting to borrowing.
Martin Van Buren emphasizes that during times of peace, it is unjustifiable for the government to incur a permanent debt since it can meet its constitutional obligations without financial strain. This reflects a belief in fiscal responsibility and the importance of maintaining a balanced budget while ensuring that government functions are sustained without unnecessary borrowing.
In practice
During a public debate on fiscal policy, a politician might quote this to advocate for responsible budgeting.
To avoid the necessity of a permanent debt and its inevitable consequences, I have advocated and endeavored to carry into effect the policy of confining the appropriations for the public service to such objects only as are clearly with the constitutional authority of the Federal Government.
It is easier to do a job right than to explain why you didn't.
The less government interferes with private pursuits, the better for general prosperity.
Those who have wrought great changes in the world never succeeded by gaining over chiefs; but always by exciting the multitude. The first is the resource of intrigue and produces only secondary results, the second is the resort of genius and transforms the universe.
I tread in the footsteps of illustrious men, whose superiors it is our happiness to believe are not found on the executive calendar of any country.
The government should not be guided by Temporary Excitement, but by Sober Second Thought.
In a very weak economy, when you say 'cut government spending,' what you mean is you're laying off school teachers and you're de-funding various programs that put money into the economy. This means you have more unemployed people that then draw unemployment benefits and don't pay taxes.
The last thing you want to do is raise taxes in the middle of the recession because that would just suck up and take more demand out of the economy and put businesses in a further hole.
This is the paradox of thrift: belt-tightening causes people to lose their jobs, because other people are not buying what they produce, so their debt burden rises rather than falls.
One of the things that happens when you have austerity is that wages get lower, and some people think lower wages in the short run can increase corporate profits.
To get back to the kind of shared prosperity and upward mobility we once considered normal will require another era of fundamental reform, of both our economy and our democracy.
There is only one difference between a bad economist and a good one: the bad economist confines himself to the visible effect; the good economist takes into account both the effect that can be seen and those effects that must be foreseen.
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