Monday, February 14, 2011

The Next Train Wreck

The NYT applauds Obama's budget with this oxymoron:
Obama Budget Reflects a Cut-and-Invest Agenda
[note:'invest' and 'spend' are synonymous to the NYT]

For the current fiscal year the Obama budget projects a deficit of more than $1.6 trillion, the equivalent of nearly 11 percent of the gross domestic product. Like money losing companies, they won't stop until they run out of cash, which means, until the bond markets stop giving them money. The US is like GM in the 1990's.


dmfdmf said...

Train wreck is right. When Obama announced his budget the only number I was really interested in was the deficit number. As this shows, they are going to keep spending until the credit cards are revoked and the dollar is destroyed. This can't end well.

Dave said...

Mickey Kaus tweeted a link to this post re former Obama supporter Andrew Sullivan saying he felt "duped" for believing Obama's "fiscally responsible" pitch.

Anonymous said...

The government's finances should be managed for the benefit of the private sector, not so that the numbers look good. The government is not a company. Of course the government should not promise more than it can deliver, but that's a different issue than the obsession with cosmetic financial issues like the debt.

Patrick R. Sullivan said...

What do you expect from a guy who thinks, 'profits eat up overhead'?

Anonymous said...

The dollar getting destroyed still won't fix the budget deficit. Virtually no one (<5% of the population) wants Social Security or Medicare to be cut, so the only solution is higher taxes.