Quote:
Originally Posted by Bucco
This is not my area of expertise by any stretch but I think what you say is very true but most economists, as I understand them, feel that that time has passed us by. Most I have read feel that should be done at the beginning of a recession to pump liquidity back into the economy and BOTH parties agreed with that if you recall that began even before Obama took office in 2009 in concert with the prior administration.
We can argue HOW that was done and to whom the money went to later.
Most economists that I have read feel that at this point in the recession and we are in really deep do do (do not know if you read the links I posted on the depth of the unemployment in this country),,but anyway, they feel now reduction of the deficit is the big thing because continuation of increasing the deficit is EXTREMELY damaging in the long term.
You mentioned Republicans and I would prefer to stay away from that part.....and just tell you what I have read....we are well beyond stimulating what is wrong in this country.
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I disagree that we are 'well beyond stimulating what is wrong". Again, my glass is half-full. You are open-minded enough to recognize the absolute necessity of starting the strong stimulus programs under Bush. The economic logic and principles of that are still valid. THE MONEY MUST COME FROM SOMEWHERE. Don't jump down my throat, but the deficit is relative. We have been in worse shape at other times in our history. Look at the impact of the land wars we are finally drawing down from. We can continue as we are with slow job and economic growth and a frozen deficit and taxes as the Republicans have dictated. Yes, the Republicans. But if Obama opponents, including Romney, say this is "disasterous', the ONLY alternative is to unfreeze the deficit and taxes.
I don't think the situation is 'disasterous'. But I do think the human cost of 8% unemployment is a greater negative influence on our collective well-being than whatever negative effects can result from continuing stimulus spending. Of course, I also favor raising most of the stimulus funding through increased taxation, rather than increasing the deficit. You might disagree, and prefer to leave things as they are, accepting the slow but steady recovery we've experienced for at least two years. Maybe that's really a good idea, but if you adopt it you have to stop all the hand-wringing about the President's failures, the unemployment 'disaster' etc.