I was interested in David Broders' column this morning, as it is something I am wondering and worrying about:
"We're in for an economic crash":
In the wake of Hurricane Katrina, credible private experts are forecasting a federal budget defecit of $500 Billion this year, a sharp reminder of the fiscal folly of the current government.
For all the deserved criticism the Bush administration has received for its tardy and ragged response to the storms' ravaging of New Orleans, and the Gulf Coast, the long term costs to the nation and the reckless disregard both the presdient and Congress have shown towards paying the nations bill may be even greater.
In this year the House has passed an increase ( to the debt) of another $781 Billion, on which the Senate has yet to act. That totals a stunning $3 trillion in additional debt in four years, a 50% increase in the cumulative debt from all of Americas previous history.
When you look at that record, the self congratulatory tone of the Republicans who have been running Washington seems absurdly unjustified.
In the first 10 days since the storm hit, the president asked Congress for emergency appropriations of $62 Billion, and the bills are just starting to come in. The questions is whether this will force the president and congressional Republicans to suspend their obsessive drive to reduce the revenue base of the federal government and whether they finally will start paying the bills their government is incurring.
It is hard to be optimistic on that score. The president may not be literally incapable of reversing directions, but we have yet to see him do that on any significant matter.
Treasury Sec. John Snow reportedly told congressional Republicans in a closed meeting that Katrina strengthens the case for making the Bush tax cuts permanent.
Some Republicans in Congress are apalled at the fiscal wreckage, but the leadership on Capitol Hill has yet to assert its constitutional power of the purse to do anything but increase the damage by cutting taxes while simultaneously boosting spending.
The runaway budget defecits are compounded by the persistent and growing imbalance in our trade accounts, jeopardizing the inflow of foreign funds we have used to finance our debt.
At a recent private dinner where many of the men and women who have steered economic and fiscal policy during the past two decades were expressing their alarm about this situation, one speaker summarized the feelings of the group:
" I think its 1925," he said, " and we are headed for 1929".
I can't believe how irresponsible it is for Repugs. to even think about more Shrub tax cuts for the wealthy, right now with the country's current financial situation, but then, as the numbers show, Repugs. are not good with money!
[ September 12, 2005, 09:12 AM: Message edited by: puckman1 ]