Barrack Obama: there is no debt crisis

[Bitek]

the only one in denial is krugerman.

Yes. He is denying the validity of idiotic economic theory based on emotionalism rather than data.

 

[IGBT]

Liberal logic: Subsidy money will help an ailing industry pay “bailout” loans following a Liberal-funded program intended to persuade consumers not to use its product and buy goofy eco-KOOK solar panels and the like.

 

[Genx87]

oh looky a krugman post. That guy is like MSNBC, nothing but a democratic shill.




IE, lets bury our heads in the sand, and not worry about the future. Only when the debt is really killing us should we worry about it.

The basis of his ideology. Kick the can down the road.

 

[Genx87]

Historically speaking we have had higher debts as a percentage of GDP. If the ratio has been higher and no negative consequences resulted then how can you call it a crisis?

http://m.theatlantic.com/business/a...t-from-1790-to-2011-in-1-little-chart/265185/

And I suspect that the reason the ratio is high now is because our GDP has dropped due to the recession. To fix the debt to GDP ratio you could cut spending but according to most economists that would slow growth and our ratio would be the same. So the real issue is growth and that's why it's the presidents too priority. Fix growth and the debt to GDP will naturally be lowered. Once the economy is strong, you cut spending and the debt to GDP is lowered even more (again, during a strong economy).

Oh you mean it was higher due to a two front world war? That is comforting to know.
And of course you know your last sentence is complete bullshit. Our spending will never have a true cut during a strong economy. Just those draconian less increase than we want spending cuts. If we even get that.

 

[ElFenix]

Our spending will never have a true cut during a strong economy. Just those draconian less increase than we want spending cuts. If we even get that.

that's because abrupt cuts are unnecessary.

 

[Imaginer]

Shamelessly stolen from another thread.

The debt is a problem, when the other party is in the oval office. What we need is a third party president, then everyone will care about the debt, or no one will.

Not just a third party president, but at least a sizable third party in both houses if not some if the president isn't a third party.

 

[Munky]

Of course debt monetization is taking place. During the Bush era looting spree, bankers created more debt than could possibly be repaid with the existing money supply. They took their cut off the top, naturally, which was huge, considering that they were working at leverage rates of 30:1 with money that never existed in the first place.

It was fractional reserve lending let run amok. The debt remains, however, and the only way it can possibly be serviced is with more money.

We could balance the budget immediately, provided we were willing to let the economy collapse from lack of liquidity. We lose over $500B/yr offshore due to offshoring, & our role as the world's reserve currency,while we lose a huge a % of national income to the uber-wealthy, who simply use it to create asset inflation & bloated savings. Well, that's what they're not pushing offshore as fast as possible, a la Mitt Romney.

What Righties want is the same trap we fell into in the early part of the Great Depression- deflation, which benefits only the Rich. I mean, there's no incentive to invest, to risk, when your money gains value stuffed into your mattress, is there? And it's great when every dollar you get from previous lending is more valuable than the ones before, isn't it?

The best time to be Rich is when everybody else is broke, busted, unemployed & begging- that's when you can really put the bone to 'em, which is precisely what Repub leaders intend to create.

What's ironic about your post is that inflation is driving the 99%'ers to "invest" (aka fund) the gambling casino that is the financial system. If your incentive to invest is because every dollar a person has will be worth less tomorrow, you're not doing them any favors.

 

[Vic Vega]

Bush started the massive spending, and Obama was happy enough to continue, and increase it. How this guy got re-elected is absolutely beyond anything I can possibly imagine. When our government needs a strong economical thinker making decisions more than anything, we send the food stamp guy back into office.

He did? I thought it was the Congress? Like the Iraq war. All those Democrats and Republicans in Congress voted to spend all the money on the war. Now, Democrats act like that never happened. Like they had no part in it.

 

[SagaLore]

Once again obama proves what a piece of shit he is. He attacked bush and rightfully over the debt but now he changes his mind.

Tell us how you really feel.

 

[marincounty]

He did? I thought it was the Congress? Like the Iraq war. All those Democrats and Republicans in Congress voted to spend all the money on the war. Now, Democrats act like that never happened. Like they had no part in it.

And Republicans pretend we never spent those borrowed trillions on the wars.
That money has to be paid back someday.
Republicans are always talking about how bad it is to leave our children and grandchildren in debt, so step up and take responsibility for what you've spent.

 

[Annisman*]

He did? I thought it was the Congress? Like the Iraq war. All those Democrats and Republicans in Congress voted to spend all the money on the war. Now, Democrats act like that never happened. Like they had no part in it.

TARP set a standard far more damning than the Iraq war ever will.

That war will end eventually, the massive borrowing of money to bail out these large failing corporations will not.