"Schizoid Man" wrote in message
ink.net...

"Michael McKelvy" wrote in message
"Schizoid Man" wrote in message


spending is through the roof and the internal deficit is growing at a
breathtaking pace.

Not when viewed as all previous deficits have been viewed, as a
precentage
of the GDP. We ahve far bigger ones when measured that way and still
rebounded.

The deficit has never grown at the pace at which is growing now,
principally
due to the fact that for the first time in history we have gone to war and
at the same time had a massive tax cut.


The tax cut was not massive. The deficit was much higer in WWII, 45% of
GDP.

Tax cuts spur the economy and will cause us to grow our way out of it.


IMO, that is just irreponsible fiscal policy. But I may be wrong.


You are, if history is a reference.

Why is it that whenever one talks about the Dems that the Californian
debt
crisis becomes such a focal issue, but no one mentions the federal and
trade
deficit?

Because the state of California isn't fighting a war and spent money
they
knew they didn't have and then ilegally tried to borrow to fix it.


I would argue that the steel tariffs were also illegal and a ploy to
please
the portion of the electorate that had no benefits from the tax cut.

McKelvy, since you obviously get all your finance news from Drudge
Report
headlines, let me give you a crash course:
An increase in internal debt leads to the following:
a. makes it more difficult for the government to pay its ever
increasing
debts
b. results in higher interest rates
Not yet.

Interest rates are on the rise. Compare them to a year ago.


Still very much lower than 20 years ago.

c. will likely result in higher inflation
Inflation just decreased.

Because the deficit has not become unmanageable. Yet.

No likelyhood it will unless Democrats are in charge.

d. the above two will cause bond, and consequently stock, prices to
crash
e. consumer spending will be reduced to zero

Only if the proper atmospher is not created to allow us to grow our way
out.


Well, then we need to keep having blockbuster quarters north of the 7% to
8%
mark in order to grow our way out of this ever deepening hole.


The tax cuts that have passed and the ones that are coming will no doubt
do
the trick.

That is yet to be seen.

There is the historical record to back it up.

Just like Gray Davis imposed illegal taxes on vehicle owners, this
administration imposed illegal trade tariffs on items like steel.
Again,
no
coverage in the news (anyone sense a pattern?).

Other countries have tarrifs on our goods or outright restrictions, (try
importing rice to Japan) or government subsidies on their exports.

Well, that is because Japan has always had a protectionist economy. Unlike
the United States, which at times has truly been a free market.

So, we don't get to fight back?

So, no. The economy is not making out like gangbusters.

It is growing and there's no reason why it shouldn't keep doing so. The
rest of the Tax cuts haven't kicked in yet.

Yet. And no. He
is
not the messiah. You should honestly quit smoking that stuff.

Your wrong on the first count outright. On the second I don't think
he's
the messiah, just someone who's working to create an atmosphere to
create
growth.

I hope so.

Again, you exemplify your paucity of comprehension. "Swing" voters, as
you
call them, are usually on-the-fence Democrats (liberals or socialists,
as
some have referred to them) who would vote for a Republic they liked.

And against a Dem they feel is to far out or too weak on defense.

A conservative would rather commit hara-kiri than do the converse.

They just stay home. My in laws are so liberal that rather than vote
for
a
Republican in the recall, my mother in law voted for "the slut" porn
star
and my brother in law voted for the green party candidate, even
though either
of the GOP candiates were obviously better choices.

Well, that is just irresponsible citizenry. I'm surprised why they would
waste their votes rather than giving Davis whatever support they could. As
the 2000 election showed us, every vote counts.


Then why did Gray Davis and other Democrat Governors refuse to count the
absentee ballots in their states?