Thursday, July 8, 2010

3rd Largest Single-Day Debt Increase - Let's Blame Bush

"White House officials said that big a jump is not the norm and that Mr. Obama has worked with the hand he was dealt by Mr. Bush." (from the Washington Times article linked below.)

The rhetoric is getting really tired. (If Obama didn't like to inherit what was there, he didn't have to run for presidency.)

U.S. marks 3rd-largest, single-day debt increase
(Stephen Dinan, 7/8/2010 Washington Times)

"The nation's debt leapt $166 billion in a single day last week, the third-largest increase in U.S. history, and it comes at a time when Congress is balking over higher spending and debt has become a key policy battleground.

"The one-day increase for June 30 totaled $165,931,038,264.30 - bigger than the entire annual deficit for fiscal year 2007 and larger than the $140 billion in savings the new health care bill will produce over its first 10 years. The figure works out to nearly $1,500 for every U.S. household, or more than 10 times the median daily household income.

"Daily debt calculations jump and fall, and big shifts are common. But all three of the biggest one-day debt increases have occurred under the tenure of President Obama, and all of the top six have been in the past two years - an indication of just how quickly the pace of deficit spending has risen under Mr. Obama and President George W. Bush.

""What matters is the overall trend line, and the overall trend line is shooting up," said Robert Bixby, executive director of the Concord Coalition, a bipartisan deficit watchdog group, who said it is one more reason for a fiscal wake-up call." [Emphasis is mine.. The article continues.]

$166 billion, by the way, is about 29% of the entire public debt of Greece.

In case you haven't noticed, there are an increasing number of pundits (analysts, court-economists) these days who basically call this aversion to government spending by the tax-paying middle class as "austerity hysteria" or "deficit hysteria" that would stifle the economic "growth" at best, and would plunge the entire world into deflationary depression at worst.

Tax-paying middle class (or what's left of it) wanting the government to stop wasting their money is "hysteria" in this new age of Obamanomics, Newspeak and Crimestop.

By the way, to avoid this "hysteria", Congressional Democrats have gone stealth. The article duly notes later:

"Fears over red ink have stalled key parts of Mr. Obama's agenda in Congress in recent weeks, including his push for another round of stimulus spending. Just last week, House Democrats had to use a tricky parliamentary tactic to pass an emergency war-spending bill, aid for teachers and new spending caps."

Yup. The Supplemental Appropriation Bill of 2010 included $25 billion to be given to the public union workers - teachers, firefighters, and policemen, who enjoy much securer job prospect in this worst recession since the GD and higher average pay than the private sector workers, and many of whom will retire as "millionaires" (as their pensions will be worth $millions, to be paid by the taxpayers as their pension funds are almost all underfunded).

May I recommend reading this article by Lew Rockwell for a start, on how to beat back Obamanomics which is the result from almost willful ignorance of economics?


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