Posted on 07/30/2004 6:41:56 AM PDT by Pikamax
Germany Backs Kerry's Plan to Cut U.S. Budget Deficit (Update2) July 30 (Bloomberg) -- Germany supports plans by Democratic presidential candidate John Kerry to pare the record U.S. budget deficit, a Foreign Ministry official said, welcoming a measure that may help stabilize the dollar against the euro.
``The Democrats have come out against the policy of debt, something that we and most other Europeans support,'' said Karsten Voigt, the ministry's coordinator for U.S. relations, in a telephone interview. ``It's a position that is jointly backed by the IMF and the World Bank.''
German Chancellor Gerhard Schroeder said after the euro rose to a record $1.2930 against the dollar Feb. 18 that the U.S. budget deficit and trade deficit were ``not having an unmentionable effect'' on the exchange rate, hurting German exports and damaging the country's economic recovery. The U.S. is Germany's main trading partner outside the European Union, taking 9 percent of the country's exports last year.
Under President George W. Bush, the U.S. recorded a $375 billion deficit in 2003, compared with a $237 billion surplus when he took office in January 2001. The widening shortfall is a ``worrisome'' threat to the economy, Federal Reserve Chairman Alan Greenspan said May 6.
(Excerpt) Read more at quote.bloomberg.com ...
What a bunch of Girlee-men. Deficits are at approx 2.2% of GDP or at the average.
End the Income Tax and Capital Gains.
Have you flown a Cessna 170 Lately?
Hmmm. Why would Germany want the US to reduce its annual deficit in spending? The answer lies in HOW the deficit will be reduced. There has been a huge ramp-up of our military capability, and intelligence-gathering facilities. These have been a major factor in running short-term budgetary deficits, along with Homeland Security.
The FAST way to seem to balance the books on the short term would be to limit expenditures for military, intelligence, and domestic security, by slashing the annual appropriations. IT DOES NOT MATTER THAT THE US IS IN A MAJOR WORLD STRUGGLE FOR ITS EXISTENCE! Those problems will be fixed later, or as soon as the resulting chaos is under control. Unfortunately, the chaos will never again be under control, or at least not for as long as the Kerry Administration remains in office.
The chaos, while it may buffet Germany about a bit, is still less disconcerting to them than to have the US remain ascendent, and by contrast, make their problems in economic weakness seem so much less onerous.
Pot, meet kettle..
note to putin: go ahead, germany AND france
This is too funny!! Germany is in violation of EU budgetary constraints but they think we should cut our own defecits.
The budget defecit, by the way, is already shrinking.
End the Income Tax and Capital Gains.
I wish you were Bush in that regard. The fact is he's given big budget increases to the IRS, and while the stock market was going through a historic decline, he made formal statements twice that he was against any capital gains tax cuts.
It should be noted that there were capital gains cuts in the second round of tax cuts, however they weren't GWB's idea.
Kerry would definitely win in olde Europe. But they have zero electoral college votes.
Between the Chinese Communists and the Nicaraguan Sandanistas and Olde Europe, I think Kerry needs to reiterate his "Please stop endorsing me!" plea.
You are right! At first the Dems were saying it was at $500 billion but reality it's $420 billion.
Third time lucky, eh, Herr Schroeder ?
Well,sure! Exactly the same thing we did in Subic Bay.
Looks like Germany has identified Kerry as the leader of the next Vichy regime.
LOLOLOL......oh be still my heart....Germany likes Kerry.
We continue to spend more (about 15%) more than we take in. Every year, the debt grows, now about 7.3 trillion dollars, which we pay interest on every year (now about 175 billion, every with the low interest rates).
My analogy would be we are like a family with credit card debt (US debt) of about five times their yearly income (tax receipts). And each year it gets worse.
PS: I have and will continue to use this exact line with foreigners who feel the need to comment on American politics.
"Yeah, a huge part of the (Bush) deficit has nothing to do with 9-11"
No, the majority of the current deficit does have to do with 9/11. The economy suffered massive dislocations and disruptions that otherwise would not have taken place, and that includes the entertainment sector, travel taking large hits, massive expansion of security programs and defense needs.
The economy would have been vastly better off without 9/11, and our future would look more secure. Few people I know think that the threat is removed, and the majority will not be suprised by another massive attack that does us serious harm. That puts a chilling effect on a lot of economic activity, this uncertainty that exists.
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