What’s A Deficit?

I’m totally fed up with all the clowns yelling about the Federal deficits. They compare the Feds with state and local governments, and with people, saying that the Feds should budget like people.

The problem is that the Fed does budget like people, within the restrictions of a new Congress every two years, and a new executive every 4 or 8 years. The majority of the country is in debt.

If you have a mortgage, a car loan, or a credit card balance, you have a deficit. If a state or local government issues bonds, they have a deficit.

The reason so many people are in debt is because the clowns decrying the Federal deficit, are the same idiots who told people they were stupid for paying off their mortgages and having real equity in their houses. These are the cheerleaders for “home equity lines of credit” which helped to inflate the bubble that just burst.

I remember Greenspan talking about the “danger” of running a surplus and paying off the national debt, when Clinton started doing it.

The reality is that Wall Street makes it money on churn. If investors actually found good companies and invested money in them for the long term, Wall Street would make minimal profits. Wall Street takes its cut from trading, so they promote trading, gambling essentially, to maximize their profits, not the investors.

The reality is that investors make more money under Democrats, and Wall Street firms make more money under Republicans. Tax and spend produces better results than the Republican borrow and spend plans. The huge majority of the current deficit is the legacy of Reagan and the two Bushes, but no one complained when they were doing it.

The Republican plan to shift more of the tax burden to the middle class was tried in 18^th century France. The result wasn’t very pretty. Does anyone really want to see a guillotine set up on The Mall and Wall Street? [Maybe I should take knitting lessons.] 😈