$10 trillion in deficit! That would be the equivalent of $ 1 trillion in deficits in Canada. Both are inconceivable, but bo has brought it about. Foreign debt is set to skyrocket and the interest payments on this monstrosity could be $900 billion a year.A new congressional report released Friday says the United States' long-term fiscal woes are even worse than predicted by President Barack Obama's grim budget submission last month.The nonpartisan Congressional Budget Office predicts that Obama's budget plans would generate deficits over the upcoming decade that would total $9.8 trillion. That's $1.2 trillion more than predicted by the administration.The agency says its future-year predictions of tax revenues are more pessimistic than the administration's. That's because CBO projects...
The writing has been on the wall for some time now. Americans are a resilient bunch, but there’s only so much even the most patient and tolerant person can take. When deficits and debts are no longer measured in millions or billions, but trillions, and when planned healthcare reforms conceived of at the worst possible time would add another $1.5 trillion or so to the deficit, even the most popular president won’t remain popular for very long. In fact, Barack Obama has accomplished the seemingly impossible: his most recent approval rating has slipped down into “George Bush territory” – not......
The Congressional Budget Office is projecting much more massive deficits than even obamessiah. This from a man who kept saying the US couldn't survice president Bush's much smaller deficits during war time.Worst of all, CBO says the deficit under Obama's policies would never go below 4 percent of the size of the economy, figures that economists agree are unsustainable. By the end of the decade, the deficit would exceed 5 percent of gross domestic product, a dangerously high level.White House budget chief Peter Orszag said that CBO's long-range economic projections are more pessimistic than those of the White House, private economists and the Federal Reserve and that he remained confident that Obama's budget, if enacted, would produce smaller deficits.Even so, Orszag acknowledged that if...
Mark Steyn explains how democratic pork spending is seen as a stimulus and bipartisan obamessiah politics means the GOP should be quiet.The more interviews Speaker Pelosi gives explaining how vital the STD industry is to restarting the U.S. economy, the more I find myself hearing “syphilis” every time she says “stimulus.” In late September, America was showing the first signs of “primary stimulus”—a few billion lesions popping up on the rarely glimpsed naughty bits of the economy: the subprime mortgage racket, the leverage kings. Now, the condition has metastasized in a mere four months into the advanced stages of “tertiary stimulus,” with trillions of hideous, ever more inflamed pustules sprouting in every nook and cranny as the central nervous system of the body...
An interesting little book from the Mackinac Centre with lessons for those who like keynesian economics. Again a h/t to my friend Janet Neilson.Students today are often given a skewed account of the Great Depression of 1929-1941 that condemns free-market capitalism as the cause of, and promotes government intervention as the solution to, the economic hardships of the era. In this essay based on a popular lecture, Mackinac Center for Public Policy President Lawrence Reed debunks the conventional view and traces the central role that poor government policy played in fostering this legendary catastrophe....
This article applies to Canada as well. Why are we all so eager to go into billions of dollars of deficit spending? When have these stimuli ever worked? In a time of tight money, it seems silly for the government to have to borrow a lot of money. Won't it just choke off commercial lending even more. I still oppose a deficit and I am not at all sure theses stimulii are anything more than huge government pork programs. I also agree with Goldberg that perhaps cutting payroll taxes immediately might be a good idea.The real reason the stimulus package will be gigantic is not that the smartest people with the best ideas say it needs to be. It's that Obama's real priority is to get the bill out as quickly as possible, which means every constituency gets something, including Republicans. Indeed,...