Musicmystery -> RE: GOP to the rescue. (8/10/2010 2:19:09 PM)
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I don't think anyone is claiming anything other than inheriting a recession and, with using monetary policy already exhausted previously, turning to fiscal policy to ease credit and promote growth and hiring. Yes, that comes with a price tag, and whether it's worth it is debatable. Simply dismissing it is simplistic, though, as doing nothing also comes at a cost--no growth, no jobs, no credit, just letting the train wreck happen and for everyone to fend for themselves through foreclosure and economic ruin until bit by bit the economy recovers. I can see the philosophical argument, but it's not an attractive plan as policy. We have good economic growth, and have for over a year. Credit is still tight, but at least flowing. Consumer confidence is weak, but slowly improving, and under those conditions, hiring has to happen sooner or later. Obviously sooner would be better. You could fairly make a case that we paid too high a price for this, but hardly just to spend money. Now, if that spending continued, that's a problem. But the second budget already showed cuts, headed in the proper direction. A bigger problem is the structural drain left by Afghanistan and Iraq. To pretend that these past two years would have had anything but deficit spending, no matter who controlled the White House or Congress, is just blind or flatly dishonest.
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