Skip to comments.Congress warned about debt; U.S. advised to gain control [of its debt or become a "banana republic"]
Posted on 01/16/2009 7:39:03 AM PST by rabscuttle385
BY DAVID M. DICKSON
The United States will "look like a banana republic" unless it gains control over its budget deficit and federal debt, economist Allen Sinai warned Congress on Thursday.
"The deficit and debt prospects under almost any scenario are daunting," Mr. Sinai, chief global economist for Decision Economics Inc., told the Senate Budget Committee. "This territory is uncharted, with no real historical analogue to this kind of financial situation for a major global economic power."
Asked by committee Chairman Kent Conrad, North Dakota Democrat, whether the U.S. government's creditworthiness is at risk, Mr. Sinai replied, "Unequivocally yes."
. . . . .
Over the next 10 years, debt will be rising faster than GDP, burdening future generations with interest costs and debt repayment that almost certainly will lead to much-diminished U.S. economic growth and a reduced standard of living, Mr. Sinai warned.
"A step down the line of diminished economic power and wealth has been taken," he said.
(Excerpt) Read more at washingtontimes.com ...
The future of the United States:
We will have to cut spending. There is really no alternative. We can’t tax ourselves into prosperity, particularly with our irresponsible Congress spending the money.
“A step down the line of diminished economic power and wealth has been taken,” he said.
and the radical left thinks this is .... bad news?
I don’t think so! This is exactly the commeuppance and “change” these America haters have pledged to bring the world. Thanks! to the 62 million idiots who were hypnotized by the Bamster. I just hope they all freeze and starve before I do.
Yup...don’t take a rocket scientist to know that this is The Left’s Plan to seize all power and control of the US....they have to bankrupt us first...then easy pickings for the elitists.
Exactly right. The deficit is a symptom of the real disease and it is a distraction to focus exclusively on the symptom.
The great question of our time is do we grow the government or shrink it. Should citizens have more freedom or less? How can you find a compromise in that question?
There is no major party on the shrink side of the question.
It is and has been the goal of the left to turn this nation into a “banana republic.” Government takeovers of banking and major business operations, the theft of assets, confiscation of wealth. Leftists/Marxists have dreamed of this for decades.
The problem is most of the budget is on cruise control. The govt has created an entitlement system that has eaten up all the resources.
And yet, many of these nationalizations have occurred under Bush.
P.S. For my current take on the situation, see my tagline.
No wealth,= no nation
Rule by a central government, not States or Provinces..
A Banana republic is NOT a republic at all..
In a republic the central government is "the/a client" and subservient..
NOT the seat of public political power..
America has become a democracy.. the republic has been penerated.. and OVERTHROWN..
When?.. How?.. by Whom?.. to what extent?..
Now thats the elephant in the room..
In case you haven’t noticed..the stars are already being replaced by banana’s state by state. Now if the incoming President and Congress try to prosecute the out going President..so more will turn.
Congress will not cut spending because they are buying votes. They will borrow as much as they can..until the world says no to more debt. Then they will start the presses and inflate.
I weep for my nation.
free and fair election system breached - check
majority of Americans convinced capitalism, free markets, financial system, schools, organized religions, and health care systems are “broken” - check
cabinet secretaries, agency heads and hired (not elected)bureaucrats given power to levy fees by regulatory fiat and spend US tax revenues and private citizen wealth they confiscate, without accountability or control- check
US mass media rendered untrustworthy in eyes of public- check
US Congress discredited as leaderhsip body in eyes of public- check
political and philosphical opponents of concentrated central authoritian collectivist state rule rendered “selfish” , “racist”, “obstructionist” or otherwise morally inferior in eyes of majority of voters- check
US military about to be demoralized by premature withdawal from Iraq, new feel-good humanitarian missions to Africa crafted by chickenhawk academics, reinstatement of draft, forced admissions of unqualified low skilled unmotivated authorityhating people, and required indoctrination to accept flamboyant gays - check
US Constitution down the toilet by unchallenged installation to presidency of unqualified man- check
US Supreme Court discredited as defender of US Constitution-check
>> We will have to cut spending. There is really no alternative.
A 10% (low end salaries) to 30% (high end salaries, elected officials) across the board pay cut for every federal employee* would be a fine way to start.
Isn’t that what’s happening in private enterprise all across this great land? Cut payrolls 20%?
*with the possible exception of active duty military
Surely you jest! Reducing America to Banana Republic status is exactly what the demrats want. We’re, afterall, too strong. We scare people. And its not fair that through hard work and a captialist system this nation remains so economically dominant.
No, noting meaningful will be done under this Marxist regime to fix the mess we’re in.
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