Obama budget for 2011 cuts Federal spending/increases taxes by 2.5% of U.S. GDP.
You'll note that we're currently in an unemployment crisis caused by a collapse of consumption. One of the things that has kept the official unemployment rate under 15% (and real rate under 25%) is Federal stimulus spending. It appears to me that President Obama is proposing an ANTI-stimulus: Basically, whack consumption by 2.5% *more*. Which should have a similar effect upon unemployment rates, except in the opposite direction.
If this goes through in the 2011 budget year, expect 12.5% official unemployment by the end of that fiscal year. This is insane. It is as if these guys learned economics from Libertards spouting Hayek talking points. To say that I am disappointed is an understatement -- the Obama Administration has disappeared from the reality we live in, where 10%+ unemployment is a slow disaster, into some alternate Washington bubble universe where ponies shit rainbows and cutting consumption won't cause unemployment.
Reality. Not just a good idea. Wish our leaders had a clue about it.
-- Badtux the "Better leaders, please?" Penguin
I don't really care as long as my SS money keeps showing up and I think it will. It's all magic, smoke screens and bullshit anyway.
ReplyDeleteOh, and adding another trillion to the national budget, but why should I care, I won't be paying for it, ha ha ha ha ha
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ReplyDeleteI'll just look for a short Austrian painter who has the answer, and follow him into power, duh. He'll know what to do about all them thare nasty lie-berals and sosh... shoshall... ah fuckit. It's called the "Tea Party". It's the latest up and coming thing, didncha know?
ReplyDelete- Badtux the Snarky Penguin
Shorter BBC:
ReplyDeleteFuck you, I got mine.
Purple:
Democrat is the new Republican. Republican is insane. We're fucked.
BT:
I'm so afraid you're right.
I've had some fun at my blog the last couple of days. Check it out. I'd like your take.