Immanuel
Gold Member
- May 15, 2007
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Massive deficits with no end in sight. Assuming that the economy does turn around, we would need to double GDP without increasing goverenment spending in order to get back to a balanced budget without raising taxes. If we can't do this, the only other option will be to double taxes.
I disagree, we have at least one other option and it is the one that we are currently using. We will simply continue to pile the debt upon the shoulders of our great grandchildren. So far that option seems to be working. Why should things change?
Now, that is not saying that this is the best option, but it is an option.
Immie
Do you honestly believe that debt is going to hurt future generations and not us currently? A lot of debt is monetized, meaning money created out of thin air, and inflation. Other debt is borrowing from institutions that would've lent to companies to actually create jobs. There is only a finite amount of money and credit in the country. Each dollar either can go to financing government or financing jobs. Not both. Of course, debt hurts us, both, in the here and now and will certainly hurt us in future generations. We will have to deal with a government 1/5th the size with 60%+ tax rates just to pay off this debt.
That's why Bush's spending spree was horrible for the economy, and Obama's continuation of that is downright criminal.
Me thinks you misunderstood my post.
I was not saying that we should continue to stack the debt upon our great grandchildren, nor did I say that doing so would not hurt our own economy in the here and now.
What I was saying was that doing so is still an option. Unfortunately, it seems to be the only option our "leaders" are willing to entertain.
Immie