I know econometrics are considered voodoo to many of the GOP fanatics here. Still, the intellectual world is rocking from an expose. It seems the cornerstone of 'deficits are bad' policy, is based on a scholarly paper by two authors: Carmen Reinhart and Kenneth Rogoff. Their work boiled down: empirical proof if a nation's debt exceeds 90% of GDP, grow slows.
The GOP loves this, and the work of these two is the basis for GOP deficit policy.
Turns out, their calculations are off, wildly, badly, all due to lack of skill in using MS Excel. The data cited by the pair, when processed properly, without errors, negates their conclusion, and shows the fallacy in the GOP economic philosophy.
Google: amherst excel deficit
A graduate student at Amherst exposed the massive error and it's erroneous conclusion.
Ranks right up there with all the money obamacare was going to save. Seems to me the lesson is we should not trust political hacks from either side of the aisle. Time for you to supplicate on the alter now bettyAlex....you have been away long enough.
If it makes any difference, they never really believed in the theory behind "trickle down" economics either.
In private meetings Cheney always referred to this one as "golden shower for the middle class" instead....
So what you are saying is that $16.5 trillion in national debt means nothing. Everything is OK. Let's keep spending, in fact with this date we can spend even more? Is that waht you are saying? Can hardly wait tio hear your answer. I know it will be good.
How would you construe I think 16.5T means nothing?
Here is my view: when your lost, it's not time to throw away your maps and strike out boldly. When your lost, as we are in our economy, you should backtrack. Return to where you know where you are.
How did we get from surplus to staggering deficit? Simple: look at the time line: Bush Tax Cuts, Two unfunded wars, medicare drug benefit, Bush Real Estate Collapse and Recession. Monopoly power drug and medical profits soaring.
Let's reverse things: put the effective tax rates up where they belong, so Romney is paying 39% on his income, not 11%.
Move beyond ACA to single payer, medicare for all.
Break up the big banks, end all student loans to for profit fake colleges (They're all fake, the for profit ones).
Put a .5% financial transaction tax. That will raise $300B / year, and halt most flash trading.
Cut military spending 10% for the next 10 years, move all military pensions, existing and future, to Social Security. Move all VA benefits to Medicare for all.
Break up all monopoly industries: ATT, Verizon, Exxon-Mobile, Glaxo-Smith-Klein, etc.
Our economy is the same