Skip to comments.Cutting U.S. Deficit Now Risks Recovery, Orszag Says (NOT Satire)
Posted on 07/28/2010 10:38:43 AM PDT by kristinn
White House budget chief Peter Orszag said on Wednesday it would be "foolish" to cut the U.S. deficit while economic growth was still frail, but it would be equally foolish not to significantly curb the deficit by 2015.
Orszag told an audience at The Brookings Institution, a Washington think-tank, that failing to take real steps toward closing the record U.S. budget gap would do as much harm to the economy has choking off fiscal stimulus now.
It was his last public speech before stepping down as head of the White House Office of Management and Budget on Friday.
The White House projects a record $1.47 trillion budget deficit this year, or 10 percent of U.S. gross domestic product, but plans to halve that amount to 5 percent by 2013.
(Excerpt) Read more at reuters.com ...
...when the question-and-answer period began, the budget director picked out a young man standing to the side.
He introduced himself as a representative of L-Pac (LaRouche PAC), and launched into a song to the tune of Funiculi, Funicula. Peter Orszag and Larry Summers, theyre fascist pigs, theyre fascist pigs, he began in a loud, strong voice. The lyrics went downhill from there, quickly veering into the unprintable along with Hitler references...
The laughing turtles will present the next economic report.
If you’re credit cards are ALL maxed out you should spend some more on them- to follow his advice- or else you will risk your economic recovery.
Make no mistake, foilks- they SAY this stuff knowing full well they are destrying the economy- NOT trying to save it
Cloward-Piven strategy. Destroy Capitalism, then Institute Socialism.
They are stupid enought to believe the same socialist spending that destroyed the capitalists will be good when all buisnesses are gone and everyone is a government employee. Look how well it worked in Russia
I have been wondering recently, was there anyone in Russia warning against communism before the russian revolution?
Could we face an ‘american socialist revolution’ of people who WANT this to happen?
“I have been wondering recently, was there anyone in Russia warning against communism before the russian revolution?”
Yes, there were. But in the chaos of a collapsing country saddled with incompetent leadership that was losing a world war, the cry of “Land Bread Peace” from the Bolsheviks was much louder and resonated better with a war-weary populace.
I think the Russian Revolution was something about not letting a good crisis go to waste.
Government savings deficit = private savings surplus + trade deficit
Uncle Sam owns the printing press, he doesn’t have to go into debt. And if the private sector increases its savings surplus, this inevitably increases the govt deficit (assuming the trade balance remains unchanged). When aggregate demand is so weak that it can’t purchase the aggregate supply of goods and services available for sale, the resulting output gap is as wasteful as crops left to rot in the fields unless the government steps in to buy it (or provide tax cuts to citizens so they can buy it).
Orzsag is an idiot true, but he’s right about this.
Peter Orszag is the typical White House idiot ‘expert’ on all things economy in an idiot-ridden administration.....keep down the path you idiots are going, Orszag, public hangings will become en vogue in the near future.....bet.
Sounds like he was for the deficit before he was against it. Typical — wants to have it both ways.
that’s crazy talk
no seriously... it is
“government savings deficit = private surplus plus trade deficit?”
you need help
Where are these young LaRouchees coming from? How can there still be any of them out there, much less young ones?
It’s a cult. They keep recruiting newbies.
Good by Orszag!
Don’t let the door hit you in the ass on your way out!
It makes as much sense as communism itself
Do you need a chart? Notice how trade surpluses (as in Germany or Japan) reduce the budget deficit, while trade deficits (as in the US or Canada) increase the budget deficit.
Once you adjust for trade, notice too how govt and private sectors balance out in charts for eight different countries (plus G7, Eurozone and “advanced countries). That’s not a coincidence. Government deficits increase private savings, while government surpluses cause private dissavings. That’s why the economy crashed just before Clinton left office and why it recovered after Bush cut taxes.
“The sectoral balances approach, pioneered by Wynne Godley and now in use at Goldman Sachs and PIMCO, provides a useful way for thinking about the imbalances that may occur. It groups the inflows and outflows according to sector. If any sector takes more money out of the economy than it puts back in (saving), and is not compensated for by the other sectors putting more money in than they take out (dissaving), then the overall flow of money to the Domestic Producers, NGDP, decreases (Paradox of Thrift).”
You must be the dumbest person on this forum.
What a guy!
Don’t be so modest. :o)
Well, he fits right in with the rest of the degenerates there.