Budget busters

This is not going to end well.

We strongly support measures in the bill to reduce the tax gap, lower drug prices, and extend or impose new user fees. But two-thirds of this package is paid for with smoke, mirrors, and debt. As CBO and others have shown, borrowing from the future undermines the economic benefits of new public investments. The last thing we need is to put another $400 billion on the national credit card.

Committee for a Responsible Federal Budget

6 comments

  1. Let’s discuss one specific item in the post: “… distribution of money to Americans not in need”.

    But, the discussion I want to hear is:
    (1) When did it and should it be the responsibility of governments to distribute money to Americans WHO ARE IN NEED? Didn’t Bill Clinton decide 25+ years ago to once and for all to “end welfare as we know it?” Sounds heartless to challenge the benevolence of members of Congress who feel a need to give away your tax dollars to buy votes, but, as someone once said: “If you want more of something, subsidize it; if you want less of something, tax it.” So, I guess Congress wants less earned income and wages and more welfare. Nice!
    (2) I’d be only a little less concerned about this practice of giving away taxpayer dollars if it were limited to American citizens. But it isn’t. When my mom came over on the boat back in 1925, age 7 months, with my grandmother, after they checked her entry documentation and did a medical examination, they didn’t hand my grandmother a variety of vouchers and a train ticket to Throop, PA from NYC to join the other relatives. My mom showed up wrapped in a blanket (that we still have). They had the clothes on their backs and a small suitcase not much bigger than today’s backpack. Never received a dime of the dole. Always paid their taxes.

    Your thoughts?

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    1. Let’s discuss one specific item in the post: “… distribution of money to Americans not in need”.

      This was a big argument with the stimulus checks, which went to many middle and “higher?” (than me, anyway) income individuals. And, I believe, even to many non citizens.

      I didn’t need it, even considered refusing it. But the purpose ostensibly was not to make me better off,* but make others better off by creating demand; creating, or restoring lost jobs and failing businesses.

      Did it work? Trump was in favor, at least -before- the election, when he could put his signature on the checks.

      Infrastructure spending appears to be very popular now in both parties, in the politicians and in the grass roots.

      As I understand, Trump now considers infrastructure an unnecessary increase in debt, although it might have been a good investment in the future, had it passed on his watch.

      *FWIW, my wife was very patriotic in her duty to stimulate the economy, rather than bolster savings. A lot of other people were also, either by choice or of necessity.

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  2. I fear that this is going to end very badly in a totally socialist country. When that happens, we will follow the game plan of other failed nations. Nationalizing companies, printing money that causes outrage inflation, defaulting on our debt. Shortages of everything. I was hoping to die before this happens but it is beginning to look like it is what will kill me.

    Too many politicians do not manage their own money and they don’t have a clue. Most get elected on other’s people’s money that just “willing give it up to them”. No wonder governments has a spending problem in this country.

    Both parties are guilty. This didn’t happen overnight.

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    1. IDK if socialism means what you think it means.

      so·cial·ist
      /ˈsōSHələst/
      noun
      a person who advocates or practices socialism.
      synonyms: left-wing, Fabian, syndicalist, utopian socialist, communist, communistic, Bolshevik, leftist, ultra-left, anticapitalist, radical, revolutionary, militant, red, progressive, progressivist, reforming, social-democrat, Labor, Laborite, laborist, Marxist, Leninist, Marxist–Leninist, Trotskyite, Maoist, lefty, pink, pinko, Bolshie, commie, left-winger, reformer, social democrat
      ………………………….
      That definition popped up on Google with no source given, but I don’t believe reasonable* income redistribution is socialism.

      What people are really afraid of is autocratic, or even despotic rule, as they should be.

      Not to bring politics into this, but one example of autocratic rule is, f**k elections, might makes right.

      *…aye, there’s the rub

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      1. To be honest, I don’t what words mean anymore. I am not sure if the sky is allowed to be called blue without being racist or something.

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  3. It’s so sad how we elect (donate) politicians that make disastrous decisions. At least some of them should understand the harmful financial choice they are making for our children’s future. Really? Every single D votes in lock step? Of course I do blame the R that went along, their constituents expect better. By now all of them should understand the consequences of unlimited spending. Too bad we can’t hold them directly responsible. I long for a politician that believe in austerity ( Coolidge). Pray for our future generations.

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