US budget on 'unsustainable' path: Greenspan (this is not good)

[cthrumatrix]

US budget on 'unsustainable' path: Greenspan

2 hours, 15 minutes ago Business - AFP

WASHINGTON (AFP) - Federal Reserve (news - web sites) chairman Alan Greenspan (news - web sites) warned that the US budget is on an "unsustainable" path, while endorsing President George W. Bush (news - web sites)'s analysis that the pensions system needs radical change.

Greenspan told a Senate special committee on ageing that projections predict spending on Social Security (news - web sites) retirement benefits, as well as on state medical aid, to rise to about 13 percent of gross domestic product (GDP (news - web sites)) by 2030 from eight percent now.


At existing tax rates, "these projections make clear that the federal budget is on an unsustainable path, in which large deficits result in rising interest rates and ever-growing interest payments that augment deficits in future years", he told the committee on Tuesday.

snip

http://story.news.yahoo.com/news?tmpl=story&ncid=1203&e=4&u=/afp/20050315/bs_afp/useconomybankgreenspan&sid=96001027


Feel free to add "the oil debacle" to the above input.

[ProfessorGAC]

1. Al Greenspan = Captain Obvious

He should have said this in 1986. He should have said it in 2001. He should have been all over this in Sept. and Oct. of last year.

Now, he grandstands for the news people, and tells everyone what he should have known 20 years ago.

What a duplicitous twit.
The Professor

[ozymandius]

17. duplicitous to the extent

that he wishes to be congratulated for attempting to solve the myriad of problems he helped create.

(aside) I am fantasizing a debate between Greenspan and either Karl Marx or Paul Krugman.

[ProfessorGAC]

19. Gee Oz, i'll Debate Him

My dog knows more about economics than Al. I'll slaughter him.
The Professor

[ozymandius]

27. No doubt you would slaughter the fool.

As would your dog too. I've read your posts and enjoy them immensely. Greenscam is creating quite a legacy for himself. I must wonder if he feels that he has nothing - not even dignity - left to lose.

[ProfessorGAC]

28. He's Rich! He Doesn't Care

Standard conservative or libertarian thought process. "I've got mine. Nothing else matters." In addition, the adjunct thinking goes "Got to keep it simple, so i can understand and then make others think i know more about than they." He knows nothing about how things really works, doesn't want to complicate his thinking, and it doesn't matter anyway, as long as he's rich.

He's a complete tool.
The Professor

[madmark]

37. There was nothing conservative or libertarian about the

abandonment of the fiscal discipline he endorsed in 2001. It was just awful economic public policy and the only thought process I can credibly ascribe it to is "cronyism." I think the currently governing oligarchy has turned the terms "conservative" or "libertarian", particularly as they are used in economic matters, on their head.

[Hand]

2. All together now... 1, 2, 3...

DUH!!!!!!!!!

[Trillo]

3. Quick! Tax the Poor more! Gotta balance the budget,

and we all know that's not the uber-elite's responsibility.

[expatriot]

4. Bush responds, "Let them eat cake." n/t

[Langis]

5. When is Greenspan gone for good?

I'm really sick of his bullshit.

[Up2Late]

15. The Max Fed Chair term is 16 Years

I think he has to retire by 2006, not positive though.

[Daphne08]

6. I smell a rat.

[havocmom]

7. Same Greenspan who insisted massive deficit was fine before Nov 2?

Self serving bastard. Get him out NOW

[74dodgedart]

8. Didn't he get the 'supply-side economics' memo?

Tax cuts will fix everything...

[northzax]

13. er, he wrote that particular memo

remember?

[Beetwasher]

9. I Have An Idea! MORE TAX CUTS!! And Let's Destroy SS!

That should fix it, right?

Fucking asshole.

[Inland]

16. No, that's wrong! We should invade Syria! That'll fix it!

[leftchick]

20. and pour every fucking penny we have left

into defense spending. That oughta fix everything!!!

[ConcernedCanuk]

10. Hmmm - no mention of all the wars/occupations they got going on

.
.
.

Troops in over 100 countries don't help

:shrug:

[Media_Lies_Daily]

11. Greenspan is one of the architects of this economic madness...

...I bet if we pulled out of the Middle East that the ship would right itself pretty quickly. Instead, we'll probably go after Syria and Iran next...and may have an enraged China to deal with, too.

Nice job, Georgie-porgie...we're all screwed now.

[ooglymoogly]

12. gee greenspan has an epiphany

did he just wake up from an alzheimer's sleep. the idiot just figured it out. now he is trying to sell the privatization of ss. how many idiots can dance on the head of a pin?

[peacetalksforall]

14. Have you ever listened to anyone worse than Rumsfeld and

Greenspan for saying black is white is black is white?

[TahitiNut]

18. What was his first clue?

[Tansy_Gold]

21. How about this idea. . . . . .

(This contains both sarcasm and seriousness. Your mission, should you choose to accept it, is to figure out which is which.)

How about we stop giving corporations the easy ability to ship jobs into other countries just to take advantage of lower wages, and we bring those jobs back to the U.S. so more workers are working and paying taxes and that makes all the expenditures a smaller percentage of the GDP? I mean, wouldn't that fix some of the problem?


Or maybe, since investing in the stock market is such a wonderful idea, we should just let the Social Security Administration invest FOR us in those "guaranteed" blue-chip companies that will continue to grow and provide us with a substantial income. I mean, wouldn't that be the easy way to go, and to give the money to our friends on Wall Street without having to go through all this privatization stuff anyway? I mean, gee, Congress, couldn't we just do that? And since we all have faith in the stock market and capitalism and corporate growth and all that good stuff, what's to worry about?

Oh, wait, you mean maybe there isn't a guarantee in the stock market, and it's because there isn't a guarantee that we want to take the money OUT of social security and GIVE it to our rich friends on Wall Street? Oh, is that how it works? Well, gee, isn't that kind of like saying social security isn't supposed to be, uh, secure?

And is it maybe that the administration DOESN'T WANT to have a viable middle class, where people can look forward to retiring and enjoying a comfortable life after their expected working years? Is it that maybe there are a few greedy rich assholes who want it ALL, who don't want to have to deal with retired PEASANTS???????

I swear, this country is really going down the terlet.

[Up2Late]

22. This whole thing is seaming more and more like a "Black" Comedy

Sort of like: "Dr. Strangelove or: How I Learned to Stop Worrying and Love the Bomb"

"...General "Buck" Turgidson: Uh, we're, still trying to figure out the meaning of that last phrase, sir.

President Merkin Muffley: There's nothing to figure out, General Turgidson. This man is obviously a psychotic.

General "Buck" Turgidson: We-he-ell, uh, I'd like to hold off judgement on a thing like that, sir, until all the facts are in.
President Merkin Muffley: General Turgidson! When you instituted the human reliability tests, you *assured* me there was *no* possibility of such a thing *ever* occurring!

General "Buck" Turgidson: Well, I, uh, don't think it's quite fair to condemn a whole program because of a single slip-up, sir..."

"Well boys, we got three engines out, we got more holes in us than a horse trader's mule, the radio is gone and we're leaking fuel and if we was flying any lower why we'd need sleigh bells on this thing... but we got one little budge on those Roosskies. At this height why they might harpoon us but they dang sure ain't gonna spot us on no radar screen!"
-- Major T. J. "King" Kong

[grumpy old fart]

23. And yet the tax cuts and more borrowing for SS are just ducky.....

The guy has gone through the looking glass....

[raccoon]

24. No sh*t, Sherlock

"the federal budget is on an unsustainable path,"

You figured that out, huh?

[dbt]

25. AND WHERE DID THOSE "LARGE DEFICITS" COME FROM?

Whose brilliant idea were they?

[UCLA Dem]

26. maybe we should stop spending so much money on foreign wars and giving...

tax cuts to the rich???

[NNN0LHI]

29. Budget Gaps Pose Threat to U.S. Economy-Greenspan

http://www.reuters.ca/locales/c_newsArticle.jsp?type=businessNews&localeKey=en_CA&storyID=7907739

WASHINGTON (Reuters) - U.S. budget deficits pose an economic threat, Federal Reserve Chairman Alan Greenspan warned on Tuesday, and Social Security benefit cuts will almost certainly be needed to cope with a rising tide of retirees.

"Failure to address the imbalances between our promises to future retirees and our ability to meet those promises would have severe consequences for the economy," the Fed chief said in testimony for delivery to the Senate Special Committee on Aging.

Greenspan said spending on Social Security, Medicare and Medicaid is projected to rise to 13 percent of the nation's total economic output by 2030 from 8 percent today.

"Under existing tax rates and reasonable assumptions about other spending, these projections make clear that the federal budget is on an unsustainable path, in which large deficits result in rising interest rates and ever-growing interest payments that augment deficits in future years," he said.

more

[Jacobin]

30. but but but "we ALL made a 'mistake' on the tax cuts"

I'm thinking about sending him a first grade level arithmetic text book.

Political Hack, indeed.

[BOSSHOG]

31. Who is in charge Alan?

Who has the White House, the Senate and the House of Representatives? You didn't have to talk like this in the 90's Alan. Actions which "augment deficits in future years"?? bush said he would not pass on problems to future Presidents. What are you and george going to do about it in the next three years alan?

Thanks for Posting.

[NNN0LHI]

32. I doubt at his age he does any planning for 3 years down the line

Chances are he will be eating a dirt sandwich by then.

Don

[Warpy]

33. That Randorrhoid old fool doesn't realize

that cutting payments to human beings who desperately need them means a bigger hit to the economy than if he raised taxes on the top 5% plus the corporations a hefty 10% would do.

What's wrong with this economy is that there are TOO FEW dollars chasing TOO MANY goods and services, which means people who produce these things, distribute them and sell them are being unemployed and that further decreases demand for goods and services.

It's time to shed this stupid old fart and find somebody who recognizes that what we now need is a healthy dose of DEMAND SIDE ECONOMICS.

Otherwise, we are heading straight for a depression.

[EC]

34. BASTARD....n/t

On edit:I'm not finished, HACK, POLITICAL HACK, LAPDOG, LICKS * FEET, NEEDS TO RETIRE, HACK, HACK, HACK, BASTARD, HACK

[Robbien]

35. But Bush change to SS will cost $5 TRILLON Dollars, how's that gonna help?

Tell me how spending $5 Trillon Dollars is going to help with the deficit Mr Greenspan sir?

[applegrove]

36. I guess they will have to cut out military research and go for non-prolif

-eration the world over. No nuclear bombs anywhere and ... a non-proliferation multilateral group with TEETH like you have never seen.

:shrug: I can dream can't I?

[madmark]

38. As Stewart said recently on his show, is it this administration's

goal to spread irony through the world? Greenspan is the midwife of the unsustainable course he now sees through his endorsement of the Bush 2001 tax cuts and abandonment of fiscal discipline.