Robert Nabloid

Economic Fault Lines Emerge

Lots of people seen this coming. Have you not been reading any economist that follows the Austrian school of thought? Have you not been listening to the Mises Institute? Or Ron Paul, Peter Schiff, Gerald Celente, and hundreds of others economists (and even the old US Comptroller General, David Walker) that have been saying this was going to happen for years? I even seen it coming and I'm no expert. It didn't take a genius to see it. But on CNBC they continually say "NO one saw it coming" when the truth is "they didn't see it coming" and anyone that didn't follow their exact views was never allowed on the show or given serious thought (some were even laughed off).

The problem is that the Obama administration has NO mid to long term plan to balance the budget. They increased everything in the budget including military ( and they increased the military budget by $75.5B - Obama the warmongerer (or is it peacemaker when he does it?)). Their idea of a balanced budget is only $500B in deficits in four years. Wow. Someone needs to do some math and realize $500B in deficit is still losing MORE THAN a BILLION A DAY. We all used to think Bill Gates was rich with ~$60 B. Now we know how little $60 B truly is in the grand scheme of things.

You can't increase social benefits and balance the budget and so I actually think you must be on heroin to believe Obama will balance the budget or has any intention of doing so. He preaches about fiscal responsibility in Washington and says he will change that - then he goes and makes the biggest spending bill in the history of mankind - a bill with more than 1,000 pages, and gives them 1 HOUR to read it and says they don't have time to read it all - they must pass it immediately. Then, after they pass it without knowing what is in the fine print of those 1,000+ pages, he goes on a weekend vacation before even signing it into law... We know they were dealt a bad hand, but they sure aren't making it any better for themselves by increasing government size and promising the world to everyone. And listening to Obama preach about fiscal responsibility is like listening to a gambler speak about financial planning. It is laughable at best, and the only reason I'm laughing is because it would hurt too much to look at this situation in any other way.

Do you honestly think Obama will lay off all those new government workers he and Bush have been hiring? DO you believe he will decrease the social benefits as the population increasingly asks for more while the boomers begin retirement with just 201k's (if they are lucky) when they used to have 401k's? Obama promised social benefits, he didn't promise to cut them to balance the budget. You must be one of those people that think Obama can work miracles like increase ALL spending dramatically and balance the budget at the same time...

Besides, it isn't us that must live with this deficit. It is our children. It is them that will be taxed in the future to pay interest on the money we spend today. Their long term planning is to let the kids pay for it.

You obviously follow the Keynesian school of thought when it comes to dealing with economics and that's why you were blind to see this mess coming and why you're foolish for wanting it to continue with more debt while we go into a period where the most productive segment of the population (the boomer's) begin to retire and stop producing productively and become a drain on the entire system. We don't need more debt going into the boomer retirement cycle... that will only hurt worse in the long run.

On Apr 01 07:33 PM Promod Radhakrishnan wrote:

> Nice article..i agree we need to make a long-term move towards a
> balanced fiscal strategy and work our way up the savings ladder.
> However, the current crisis is unforeseen and of enormous proportion
> - and hence the need for seemingly counter-logical interim steps
> to pull us out of the rut before we can work on a longer term strategy.
> As long as the current administration does have a medium-to-long
> term strategy of balancing the budget, we can very well live with
> an interim fiscal deficit brunt.