Originally posted by: Genx87
So we should hasten the bankruptcy of America by dramatically widening the deficit and piling on the debt (as GW has been doing)? Hey, at least we'll all have a big party while the ship sinks, right? Wrong. The onset of deficit-induced inflation only looks good at the beginning. Soon, the hard times come. Didn't anyone here live through the 70s? Has no one studied economics, finance, money theory, and economic history?
And John Kerry with his healthcare plan and leaving the bankrupt social security system alone isnt? At least Bush has acknowledged the problem where John seems to think taxing the top 1% will magically pay for his expansions.
Seriously though, GW will have to raise taxes early in his 2nd term. Widening deficits, increasing debt, and the declining dollar will force it. "Read my lips." Do the 'Pubs really believe they can have their cake and eat it indefinitely?
Or maybe he can get congress to curtail spending? /gasp what a thought!
Military spending alone does not account for the large deficit. The large deficits can be traced back to programs being created and funded in the later years of the Clinton administration using an unrealistic tax revenue stream. When the bubble bursted the programs were still funded but the revenues werent there.
Military spending has cost us about 250 billion more over a year. That is about 40% of the deficit. Where did the rest come from?
Ask John Kerry, he was in the senate when all those spending bills were passed in the late 1990s.