Posted on 07/28/2010 5:45:12 PM PDT by Kaslin
Debt: In the long debate over financial reform, proponents repeatedly argued that an overhaul was needed to "prevent the next financial crisis." Who'd have thought the real threat for another crisis was government itself?
That stunning assessment comes not from a think tank or political group, but the government itself. The nonpartisan Congressional Budget Office, whose job it is to make reasonable projections about the economy and budget, now says it's not the financial sector that's putting us at serious risk — it's government's almost insatiable desire to spend ever larger sums of money.
In a new report this week, the CBO grimly summarizes America's fiscal future: "Unless policymakers restrain the growth of spending, increase revenues significantly as a share of GDP, or adopt some combination of those two approaches, growing budget deficits will cause debt to rise to unsupportable levels."
"Unsupportable." Let that sink in for a minute. It means we'll have no way to pay what we owe — that we as a nation will be bankrupt. Lenders won't lend to the government unless it pays exorbitant interest rates. Capital that usually goes to create new businesses and jobs will be gobbled instead by the government to pay off its debts.
Just as bad, however, is that somewhere along the way we might have the mother of all financial meltdowns, a crisis that will make the most recent one look picayune.
As the CBO put it, "a growing level of federal debt would also increase the probability of a sudden fiscal crisis, during which investors would lose confidence in the government's ability to manage its budget, and the government would thereby lose its ability to borrow at affordable rates."
(Excerpt) Read more at investors.com ...
The enemy is ‘Rats and RINOs.
Sack DC.
Screw the “Ruling” class; off with their heads!
Don’t worry, we’ll grow out of the deficit.
Deficits don’t matter.
Don’t worry, we’ll grow out of the deficit.
Deficits don’t matter.
We need to leave Obama alone. He is only expanding Bush’s therapeutic policy of massive deficit spending. This is a good thing. So many conservative commentators said so in the past, why should it be less true now?
We were growing out of the deficit until 2007.
President Bush’s massive deficit spending? I like to know what you call the arrogant pos deficit spending
However as soon as the rats took over in 2007 things started to change and not for the good.
George W. Bush again?????????????????????????
MEGA DITTOS TO THAT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Supernova-size deficit spending.
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