Deficits: America in shock

[struggle4progress]

FEDERAL Reserve Chairman Alan Greenspan caused another shock wave last week when he said Social Security and Medicare must be cut, or America will face “abrupt and painful” consequences when the baby boom generation retires soon.
<snip>

Although Social Security and Medicare are separate from other government programs, we think their looming shortage is tied to the monstrous federal debt that has rolled up under President Bush.

When he took office in 2001, the federal budget was balanced and experts projected that the government would enjoy $5.6 trillion in surpluses during the coming decade. But now it faces $2.7 trillion in deficits — an astounding loss of more than $8 trillion. No wonder the government can’t afford Social Security, Medicare and many other people-helping programs.

The colossal Bush debt stemmed from three main causes: his $1.7 trillion tax giveaway to the affluent class, his Iraq war and a brief recession in 2001. In selling his tax giveaway, Bush predicted that it would cause more business investment, generate a flood of new federal revenue and spawn 6 million new jobs. Briefly, it produced a small boost, but not much.
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http://wvgazette.com/section/Editorials/2004090115

[wurzel]

1. We will find out what these deficits really mean after November.

[faithnotgreed]

2. we may find out what a whole lotta things really mean after november

get out the vote and get out bush

[wurzel]

3. You said a mouthful there!

[struggle4progress]

4. We already know: it's the Grover Norquist plan to bankrupt ...

... the federal government, thereby effectively handing supreme power to corporations.

[wurzel]

5. I have never heard of that but it sounds credible.

[struggle4progress]

6. He's been pushing it for decades: he's why the Reaganites ...

... ran up huge deficits. If I remember correctly, either NYT or WP did a good story on him in their Sunday magazine earlier this year.

[wurzel]

7. Thanks. I'll look him up on the Web.

[ixion]

8. I'm sorry... a 'brief' recession?

I would beg to differ on that point.

Then again, I don't buy into the whole 'jobless recovery' bs, either.

[Vitruvius]

10. A "jobless recovery " is a recession -- in Rethug-speak.

n/t

[Catfight]

9. Americans should make Bush and Cheney pay it back! N/T

[phantom power]

11. shocking only to those who haven't been paying attention

What the hell do people think deficit spending means? It means you pay it all back anyway, *plus* interest.

When did we forget the concept of "hurt a little now, or hurt a lot more later" ?