The individuals we elect to serve us in federal, state, and local government have a big influence over our lives. They set the rules by which we live and under which our businesses operate. Those regulations impact the success of the companies that employ us.

“We, The People” have given our elected officials the authority to pass laws that can help our businesses grow and hire more workers, such as lower taxes. Conversely, they can make it difficult for companies to succeed which results in fewer jobs for our citizens, like chasing away inexpensive nuclear and hydroelectric power.

These days, career politicians in Washington are making it tougher for American families to live financially secure and prosperous lives. Fearful of alienating voters, many politicians support spending on what they think their constituents want instead of spending only what is necessary to run government efficiently. This overspending drives up taxes, pulling more money from the pockets of our families struggling through the worst recession in 70 years. Also, the overspending created a $17 trillion mountain of borrowed debt that comes with smothering interest payments. Like a pile of credit card debt, those interest payments draw money from veterans’ benefits, highway and port improvements, homeland security, and other essential government services.

Business owners are scared to death of expanding government, higher taxes, additional debt, complicated regulations, and costly energy and health insurance. These politically-created conditions make it difficult for their companies to grow and succeed. Entrepreneurs hesitate to further invest in their enterprises and hire more workers. Today, 25 million fellow Americans cannot find a job or work part-time. 48 million receive food stamps. More public assistance for hurting Americans means more government spending. That worsens the employment situation as higher taxes and more borrowing are needed to pay for the increased spending. And so goes the unhealthy cycle.

The Federal Reserve (the “Fed”) is the central banking system of the United States. It was created by Congress in 1913 to help ensure financial stability so that our economy functions properly and Americans have jobs.

Because Washington’s overspending and mounting debt is stifling job creation, during the past few years, the Federal Reserve and the U.S. Treasury have flooded our economy with money to push down interest rates. Low borrowing costs assist American businesses to expand and hire more workers. The historic low interest rates also help families afford to buy homes, appliances and cars, which boosts the economy and leads to new jobs.

However, these artificially low interest rates come with a painful price. Retirees earn almost nothing on bank CD and money market mutual fund savings. Their budgets are squeezed and precious nest eggs have eroded. Many senior citizens who have worked hard and saved diligently during their entire lives now face the unthinkable: running out of money before running out of time. In their golden years, an increasing number of previously independent seniors are being forced into the indignity of turning to the government for food, housing, heating, and health care assistance. That, in turn, causes even more government spending, higher taxes, and additional debt. Again, the unhealthy spiral deepens and widens.

Another fly in the ointment is looming inflation. At some point, the unprecedented amount of new money pumped into the economy will bring back inflation. Nobody knows when or how high the prices of milk, bread, lumber, and shoes will climb. But, when it happens, all of us including our most vulnerable fellow Mainers will dig deeper into our pockets to make ends meet.

What can we learn from all of this?

First, those we elect at the ballot box have an enormous influence on our lives, our jobs, our freedom. Second, our nation’s fiscal crisis is hurting American families. Third, government overspending by career politicians is the root cause of America’s fiscal mess. Fourth, the problem gets bigger the longer Washington delays to address it. And, fifth, voters should hold public officials accountable for doing what is right instead of allowing them to do what they believe might lead to their re-election.

The motto of our great State of Maine is “dirigo” – I lead. Washington would be wise to notice that over the past two years Maine state government has spent less, taxed less, borrowed less, and regulated less. These long-overdue changes, combined with initiatives to reduce monthly heating, electricity and health insurance bills, are laying the cornerstones of a stronger state economy with more jobs. This is very good for Maine.