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  •  Social Security (2+ / 0-)
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    Justus, hubcap

    has nothing to do with the debt.  By law, it cannot be paid for out of the budget, and money collected by Social Security cannot be used to add to the budget or pay down the debt.  The only problem with Social Security is that the $2.7 TRILLION surplus has been "borrowed" to give the wealthy tax cuts.  And now they want to permanently keep that money since it "doesn't really exist" according to them, and they enshrined that concept in the new Ryan Budget.

    Medicare and Medicaid have grown at the slowest rate since the 1940's, and from 2009 to 2011, total health spending grew at the lowest annual pace since the government started keeping records 52 years ago.  Saying that SS will be "broke" in 40 or 75 years is a ridiculous argument.  It would be like saying that, in the time of WWII, that we knew we were going to walk on the moon, or that there would be this thing called the "interwebs".  Nobody knows what this world will be like in 40 or 75 years, or the period in-between, no matter what they say.  

    Entitlements are not the problem.  Historically low rates of taxation are, both for individuals and as a share of GDP.  Corporate tax rates are also at historically low levels.

    Nobody believes it, and they promptly forget it since it seems counter-intuitive, but the greater the marginal tax rate on upper incomes is, the better the economy does.  Why?  Because it becomes more profitable to invest that money in the actual business than stuffing it into their pockets.

    Federal spending over the past three years grew at their slowest pace since 1953-56 under Obama, yet under the deficit "hawks", Federal debt rose to 41 percent of GDP in 2008 from 33 percent in 2001, the year Bush took office. The budget was in surplus in the closing years of his predecessor Bill Clinton’s presidency.

    More has been done by this administration to cut the deficit and the debt than any other president, ever, and it has been detrimental to the economy as a whole.  The people are making historically low amounts for their labor, while corporations are seeing record profits and are sitting on record amounts of cash, as are the very wealthy in this country, and this is what is truly unsustainable, not the debt.

    When money is "cheap" with what are historically low interest rates, and our infrastructure and vital services having been cut to the bone, and then some more, we would be stupid to wait until interest rates go up to borrow the money to make the investments that will propel us into the 21st century, finally, and once we catch up, into the future.  We will need to pay for these things, and yes, we will need debt to do so.  As any business or head of household knows, capital improvements are expensive, and borrowing is how you pay for them.  But they are investments.  They will pay off in the long run.

    These same people whining about "teh debt" are the very same ones who racked up historical amounts of debt under Bush II, and some of them were even there when Reagan tripled the debt in the 1980s.  They have no credibility in this discussion.

    I'll let that deficit "hawk" Dick Cheney have the last word, "Deficits are good".

    "One of the penalties for refusing to participate in politics is that you end up being governed by your inferiors." - Plato

    by Bcre8ve on Sun Mar 24, 2013 at 11:32:50 AM PDT

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