georgephillip
Diamond Member
The financial crisis of 2008 should have changed your mind about something. From Wiki:
"The output of goods and services produced by labor and property located in the United Statesdecreased at an annual rate of approximately 6% in the fourth quarter of 2008 and first quarter of 2009, versus activity in the year-ago periods.[180]
"The U.S. unemployment rate increased to 10.1% by October 2009, the highest rate since 1983 and roughly twice the pre-crisis rate.
"The average hours per work week declined to 33, the lowest level since the government began collecting the data in 1964.[181][182]
"The very rich lost relatively less in the crisis than the remainder of the population, widening the divide between the economic classes. Thus the top 1% who had a share of 34.6% of the nation's wealth in 2007 increased their share to 37.1% by 2009."
The richest 1% of Americans then demanded taxpayer bailouts to ensure their "fair share" of the nation's wealth weren't compromised, and Republicans and Democrats in congress were happy to comply.
What consequences did the crisis and bailout have on our level of national debt?
"In early 2008, the CBO projected that debt as a percent of gross domestic product would fall from 36.8 percent to 22.6 percent at the end of 2018.
"In contrast, the latest CBO forecast has debt soaring to 75.3 percent of GDP in 2018.
"What caused this stunning reversal, which in dollar terms works out to a $10 trillion swing for end-year 2018 debt, from $5.1 trillion to $15.8 trillion?
"Almost all of this increase is due to the severe recession that followed the financial crisis of late 2008.
"This lowered output and employment, and therefore reduced tax revenue."
The financial crisis of 2008 should have changed some conservative minds about how big business, big government and the richest 1% of Americans collaborate to socialize cost and privatize profits.
Fiscal Conservatives Dodge $10 Trillion Debt: Simon Johnson - Bloomberg
"The output of goods and services produced by labor and property located in the United Statesdecreased at an annual rate of approximately 6% in the fourth quarter of 2008 and first quarter of 2009, versus activity in the year-ago periods.[180]
"The U.S. unemployment rate increased to 10.1% by October 2009, the highest rate since 1983 and roughly twice the pre-crisis rate.
"The average hours per work week declined to 33, the lowest level since the government began collecting the data in 1964.[181][182]
"The very rich lost relatively less in the crisis than the remainder of the population, widening the divide between the economic classes. Thus the top 1% who had a share of 34.6% of the nation's wealth in 2007 increased their share to 37.1% by 2009."
The richest 1% of Americans then demanded taxpayer bailouts to ensure their "fair share" of the nation's wealth weren't compromised, and Republicans and Democrats in congress were happy to comply.
What consequences did the crisis and bailout have on our level of national debt?
"In early 2008, the CBO projected that debt as a percent of gross domestic product would fall from 36.8 percent to 22.6 percent at the end of 2018.
"In contrast, the latest CBO forecast has debt soaring to 75.3 percent of GDP in 2018.
"What caused this stunning reversal, which in dollar terms works out to a $10 trillion swing for end-year 2018 debt, from $5.1 trillion to $15.8 trillion?
"Almost all of this increase is due to the severe recession that followed the financial crisis of late 2008.
"This lowered output and employment, and therefore reduced tax revenue."
The financial crisis of 2008 should have changed some conservative minds about how big business, big government and the richest 1% of Americans collaborate to socialize cost and privatize profits.
Fiscal Conservatives Dodge $10 Trillion Debt: Simon Johnson - Bloomberg