Debt Is the Threat

Niall Ferguson: The Shutdown Is a Sideshow. Debt Is the Threat
An entitlement-driven disaster looms for America, yet Washington persists with its game of Russian roulette.

..."A very striking feature of the latest CBO report is how much worse it is than last year's. A year ago, the CBO's extended baseline series for the federal debt in public hands projected a figure of 52% of GDP by 2038. That figure has very nearly doubled to 100%. A year ago the debt was supposed to glide down to zero by the 2070s. This year's long-run projection for 2076 is above 200%. In this devastating reassessment, a crucial role is played here by the more realistic growth assumptions used this year.

As the CBO noted last month in its 2013 "Long-Term Budget Outlook," echoing the work of Harvard economists Carmen Reinhart and Ken Rogoff: "The increase in debt relative to the size of the economy, combined with an increase in marginal tax rates (the rates that would apply to an additional dollar of income), would reduce output and raise interest rates relative to the benchmark economic projections that CBO used in producing the extended baseline. Those economic differences would lead to lower federal revenues and higher interest payments". . . .

Don't worry. Follow the Detroit model, just kick the can down the road. And make it worse by adding the increased long term debt obligations of ACA. The kids will pay for it.

I'm gonna start posting like you bob...Just call me Mr Cut n Paste-

This old talkin point just sounds stupid now Bob...You might want to go look for some fresh ones about hysterical and unfounded scandals du jour ...Try to get more on the War Mememorial "scandal". I'm sure FOX news has updates for ya'all


"If you were wondering why Republicans can’t stop screaming hysterically about fictional persecutions and scandals, it’s because the deficit is no longer their Big Thing. The “emergency” of the deficit – so important that Republicans had to risk global fiscal confidence – took a backseat to constantly shifting, hysterical and unfounded scandals du jour recently. It turns out that ‘the President’s policies are contributing to the most rapid deficit reduction since World War II.’ Ouch. Change subject!

The nonpartisan Congressional Budget Office reported a continued decline in the federal budget deficit: “The CBO projects a $642 billion budget deficit for fiscal year 2013, down more than $200 billion from its February estimate and the smallest annual shortfall since 2008. It is the lowest level of deficit spending to date under President Obama, who faced $1 trillion or more in annual deficits during his first term.”

Here’s a real bitter irony for the GOP. At the same time as their ideology took an ugly beating in the reality department, the man they are determined to destroy has a better record at deficit reduction than any of their recent Presidents. In fact, government spending under President Obama has grown at a slower rate than it did under any president since Dwight D. Eisenhower, according to Bloomberg (that’s over 50 years ago, if you’re counting). Ironically, this fact is due in part to their own obstructionism and President Obama’s endless compromises with them.

The White House isn’t averse to rubbing it in. Office of Management and Budget spokesman Steve Posner summed it up in a way that must hurt, “The improvements in this CBO report are yet more evidence that the President’s policies are contributing to the most rapid deficit reduction since World War II.” Is that accurate? Why, yes, actually, it is.

Investors Business Daily reported in November of 2012, “(T)he federal deficit has fallen faster over the past three years than it has in any such stretch since demobilization from World War II.” Of course, IBD goes on to say that any more deficit reduction focus and we risk our economic recovery, “If U.S. history offers any guide, we are already testing the speed limits of a fiscal consolidation that doesn’t risk backfiring. That’s why the best way to address the fiscal cliff likely is to postpone it. While long-term deficit reduction is important and deficits remain very large by historical standards, the reality is that the government already has its foot on the brakes.”

You might be asking yourself why Republicans are so good at cracking the whip on others while they are incapable of personifying even the most remote semblance of fiscal discipline when they are in charge. Good question. For that matter, why can’t Speaker John Boehner get anything done in the House without the help of Democrats? Boehner has only been able to pass Sandy relief and the VAWA (finally on both) because Democrats rescued him from his own party’s extremism. Modern day Republicans are keen on demonstrating repeatedly that they can’t govern and aren’t interested in legislating anything other than women’s bodies

Republican lawmakers are very busy trying to bully the IRS into not looking into whether tea party groups are actively trying to influence elections. Also, Benghazi! And Republicans are very busy embracing a short-lived love for first amendment rights. Have no fear, they are still too busy to get any actual work done. But they do have that 37th vote on ObamaCare because they are the party of anti-discipline and fiscal recklessness.

They just keep wasting our money, as Obama tries to save us all from their childishness."

Debt doesn't equal deficit. But you knew that or did you? And that is the result of the TEA Party and sequestration, not Obama. Obama wants to repeal sequestration. And ACA was written in such a way that the taxes have come in years before the benefits are doled out. But eventually the costs of the largest healthcare program in the world dollar wise will add trillions in future debt obligations.

Blah, blah, blah, blah, blah

Fred- Nobody reads your posts anymore. Your credibiliy is gone. I suggest a name change then people will read your post for a few days before they figure out that you're a moron... again...

#Manurespreader

Big Dougy wrote: your a moron again...

Well Done !!!!

OmniScience wrote:

Big Dougy wrote: your a moron again...

Well Done !!!!

That is what I enjoy about VL. He not only is a low information poster, his grammar & spelling skills are mediocre too. And people trusted him to fly? Scary. I didn't know flight manuals were picture books. Did they give you pop up ones too?

Big Dougy wrote: I'm gonna start posting like you bob...Just call me Mr Cut n Paste-

This old talkin point just sounds stupid now Bob...You might want to go look for some fresh ones about hysterical and unfounded scandals du jour ...Try to get more on the War Mememorial "scandal". I'm sure FOX news has updates for ya'all


"If you were wondering why Republicans can’t stop screaming hysterically about fictional persecutions and scandals, it’s because the deficit is no longer their Big Thing. The “emergency” of the deficit – so important that Republicans had to risk global fiscal confidence – took a backseat to constantly shifting, hysterical and unfounded scandals du jour recently. It turns out that ‘the President’s policies are contributing to the most rapid deficit reduction since World War II.’ Ouch. Change subject!

The nonpartisan Congressional Budget Office reported a continued decline in the federal budget deficit: “The CBO projects a $642 billion budget deficit for fiscal year 2013, down more than $200 billion from its February estimate and the smallest annual shortfall since 2008. It is the lowest level of deficit spending to date under President Obama, who faced $1 trillion or more in annual deficits during his first term.”

Here’s a real bitter irony for the GOP. At the same time as their ideology took an ugly beating in the reality department, the man they are determined to destroy has a better record at deficit reduction than any of their recent Presidents. In fact, government spending under President Obama has grown at a slower rate than it did under any president since Dwight D. Eisenhower, according to Bloomberg (that’s over 50 years ago, if you’re counting). Ironically, this fact is due in part to their own obstructionism and President Obama’s endless compromises with them.

The White House isn’t averse to rubbing it in. Office of Management and Budget spokesman Steve Posner summed it up in a way that must hurt, “The improvements in this CBO report are yet more evidence that the President’s policies are contributing to the most rapid deficit reduction since World War II.” Is that accurate? Why, yes, actually, it is.

Investors Business Daily reported in November of 2012, “(T)he federal deficit has fallen faster over the past three years than it has in any such stretch since demobilization from World War II.” Of course, IBD goes on to say that any more deficit reduction focus and we risk our economic recovery, “If U.S. history offers any guide, we are already testing the speed limits of a fiscal consolidation that doesn’t risk backfiring. That’s why the best way to address the fiscal cliff likely is to postpone it. While long-term deficit reduction is important and deficits remain very large by historical standards, the reality is that the government already has its foot on the brakes.”

You might be asking yourself why Republicans are so good at cracking the whip on others while they are incapable of personifying even the most remote semblance of fiscal discipline when they are in charge. Good question. For that matter, why can’t Speaker John Boehner get anything done in the House without the help of Democrats? Boehner has only been able to pass Sandy relief and the VAWA (finally on both) because Democrats rescued him from his own party’s extremism. Modern day Republicans are keen on demonstrating repeatedly that they can’t govern and aren’t interested in legislating anything other than women’s bodies

Republican lawmakers are very busy trying to bully the IRS into not looking into whether tea party groups are actively trying to influence elections. Also, Benghazi! And Republicans are very busy embracing a short-lived love for first amendment rights. Have no fear, they are still too busy to get any actual work done. But they do have that 37th vote on ObamaCare because they are the party of anti-discipline and fiscal recklessness.

They just keep wasting our money, as Obama tries to save us all from their childishness."

You do know this is a TOS vilolation right?

OmniScience wrote:

Big Dougy wrote: your a moron again...

Well Done !!!!

He's too dense to understand what you're mocking him for :rofllol

I'll tell you what I told Walter about the value of proper spelling and grammer

lol