Free Republic
Browse · Search
General/Chat
Topics · Post Article

To: PugetSoundSoldier
"Please explain how the trade deficit - a private enterprise metric - is related to the budget deficit and the national debt - a Government metric."

Now that comment is totally like my ex-wife: We can't be broke, we still have checks in the check book

So you're saying deficits are okay?

The whole mind-set; spend it if ya got it, borrow if you don't.... is an acceptable policy?

Borrowing and flooding the world with greenbacks is a good thing/don't matter?

Argentina anyone?

No wonder the whole country is in deep Kimpchee!!!

543 posted on 05/12/2009 4:25:20 PM PDT by investigateworld ( Abortion stops a beating heart.)
[ Post Reply | Private Reply | To 514 | View Replies ]


To: investigateworld
So you're saying deficits are okay?

No, he's saying that your trade deficit is ok, and your budget deficit is not. How many dozens of times has this been explained to you?

548 posted on 05/12/2009 4:27:55 PM PDT by 1rudeboy
[ Post Reply | Private Reply | To 543 | View Replies ]

To: investigateworld
The whole mind-set; spend it if ya got it, borrow if you don't.... is an acceptable policy?

If I increase my purchases of foreign goods by $1,000,000 without borrowing, do you think that increases the Federal deficit?

If I decrease my purchases of foreign goods by $1,000,000, do you think that decreases the Federal deficit?

Borrowing and flooding the world with greenbacks is a good thing/don't matter?

The greenbacks I'm flooding the world with aren't borrowed. Is that a bad thing? Or does it matter?

549 posted on 05/12/2009 4:30:10 PM PDT by Toddsterpatriot (Math is hard. Harder if you're stupid.)
[ Post Reply | Private Reply | To 543 | View Replies ]

To: investigateworld
So you're saying deficits are okay?

No, I am not. I am saying that:

Trade deficits are not an issue;
Budget deficits are a problem.

The two are wholly separate items, and one does not cause the other. Remember, you have a massive trade deficit with your grocer, your gas station, your clothing store.

Trade deficits or surpluses are a measure of the economic trade activity of private business; it's NOT a measure of the income of the Country! In fact, our GDP has grown right along with our trade deficits.

All a trade deficit means is that we generate enough revenue internally that we can consume even more than we export; it says NOTHING about the total revenue and wealth generation going on.

Budget deficits are a measure of your checkbook account; that is a serious concern.

550 posted on 05/12/2009 4:31:16 PM PDT by PugetSoundSoldier (Indignation over the sting of truth is the defense of the indefensible)
[ Post Reply | Private Reply | To 543 | View Replies ]

Free Republic
Browse · Search
General/Chat
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson