Pauls idiotic budget

Discussion in 'Economy' started by cbirch2, Oct 20, 2011.

  1. cbirch2
    Offline

    cbirch2 Active Member

    Joined:
    Jul 9, 2011
    Messages:
    1,394
    Thanks Received:
    49
    Trophy Points:
    36
    Ratings:
    +49
    Ron pauls budget cuts $1 trillion dollars from the federal budget in a single year.

    Can i just ask...why?

    Its not like yields on treasuries are going up, the market isnt signaling that it wants us to decrease spending at all.

    Yet somehow it has become common knowledge that removing $1 trillion of spending will help the economy. When people get fired and the government pays out less money or even eliminate tax breaks, it reduces demand in the short term. If the private sector cant add jobs fast enough to reduce unemployment now, why would it be a good idea to add more people to the unemployed? Particularly when the bond market isnt even signaling that its worried about our debt.

    Pauls plan is economic suicide, and actual economists have been all over it.
     
  2. JWBooth
    Offline

    JWBooth Gold Member

    Joined:
    Jul 15, 2009
    Messages:
    6,799
    Thanks Received:
    1,555
    Trophy Points:
    200
    Location:
    Fredonia Republic
    Ratings:
    +1,957
    [​IMG]
     
  3. cbirch2
    Offline

    cbirch2 Active Member

    Joined:
    Jul 9, 2011
    Messages:
    1,394
    Thanks Received:
    49
    Trophy Points:
    36
    Ratings:
    +49
    [​IMG]

    This bullshit is thread
     
  4. Mad Scientist
    Offline

    Mad Scientist Deplorable Gold Supporting Member Supporting Member

    Joined:
    Sep 15, 2008
    Messages:
    23,938
    Thanks Received:
    5,211
    Trophy Points:
    270
    Ratings:
    +7,678
    When the gov't is taking less of our money in taxes, that means we have more to spend and the economy will improve.
    When the gov't is taking less of our money in taxes, they can't get us into wars that we don't approve of.
    When the gov't is taking less of our money in taxes, it's more difficult for them to foist unwanted gov't programs on us such as ObamaCare.
    When the gov't is taking less of our money in taxes, we have more power and control over our lives.
     
    • Thank You! Thank You! x 2
    Last edited: Oct 20, 2011
  5. cbirch2
    Offline

    cbirch2 Active Member

    Joined:
    Jul 9, 2011
    Messages:
    1,394
    Thanks Received:
    49
    Trophy Points:
    36
    Ratings:
    +49
    If the government cuts $1 trillion in one year thats a drastic cut to demand. GDP explicitly includes government spending. a $1 trillion dollar deduction in spending is by definition a reduction of GDP.

    You claim its more money for you to spend but the $1 trillion isnt going back into the private sector, its going to the debt. Its going to stop the government from putting money into the private sector through jobs and subsidies without letting the private sector keep more of its money.

    In other words....

    "When the gov't is taking less of our money in taxes, that means we have more to spend and the economy will improve."

    That is wrong, because a $1 trillion cut in spending isnt going to result in a $1 trillion cut in taxes. Your going to pay the same amount you did before.

    And...

    "When the gov't is taking less of our money in taxes, it's more difficult for them to foist unwanted gov't programs on us such as ObamaCare."

    Actually the public is pretty split on obamacare, 46-43. So to claim the public doesnt want it is to ignore the same percentage of the population that supports it. Fascist.
     
  6. editec
    Offline

    editec Mr. Forgot-it-All

    Joined:
    Jun 5, 2008
    Messages:
    41,427
    Thanks Received:
    5,598
    Trophy Points:
    48
    Location:
    Maine
    Ratings:
    +5,617
    Now actually kids, this thread is spot on accurate.

    Our problem is NOT inflation, our problem right now is mostly un-and-under-employment.
     
  7. cbirch2
    Offline

    cbirch2 Active Member

    Joined:
    Jul 9, 2011
    Messages:
    1,394
    Thanks Received:
    49
    Trophy Points:
    36
    Ratings:
    +49
    A 7% drop in GDP would be disastrous... at the depths of the recession it dropped by 6% at its worst point.

    This is why conservatives shouldnt be in charge.

    "7% decline in GDP!?! Fuck it cool with me"

    idiots...
     
  8. cbirch2
    Offline

    cbirch2 Active Member

    Joined:
    Jul 9, 2011
    Messages:
    1,394
    Thanks Received:
    49
    Trophy Points:
    36
    Ratings:
    +49
    Thats all for another post. Neocons went crazy over QE1 and QE2 because they claimed it was going to cause inflation. Now that the US monetary base has tripled without any measurable inflation more and more economists are starting to realize that the Keynesian are right, and that we are in a liquidity trap.
     
  9. cbirch2
    Offline

    cbirch2 Active Member

    Joined:
    Jul 9, 2011
    Messages:
    1,394
    Thanks Received:
    49
    Trophy Points:
    36
    Ratings:
    +49
    No a $1 trillion dollar reduction in government spending is a 7% reduction in GDP you fucking retard. Learn what the fuck your talking about before you talk you fool.
     
  10. cbirch2
    Offline

    cbirch2 Active Member

    Joined:
    Jul 9, 2011
    Messages:
    1,394
    Thanks Received:
    49
    Trophy Points:
    36
    Ratings:
    +49
    And where the fuck do you get 7%!?!?!?!

    A $1 trillion dollar reduction is 30% of the federal budget.

    Oh my god i dont think ive ever met someone so fucking stupid.
     
    Last edited: Oct 20, 2011

Share This Page