This recovery has been exactly what conservatives wanted- with government jobs (that's combined federal-state-local I believe) down since 2009 in spite of significant population growth. The private sector, meanwhile, has grown as one would expect during a recovery, though not fast enough to make up for the government job losses and population growth.
And yet, "we have a spending problem". So here's a chart of total federal spending in constant dollars per capita.
That's quite a rise in 2007-2009, which I think is due to increases in unemployment and stimulus measures. Then at the end of the graph we see a leveling off, as soon as Obama came into office and Republicans discovered that they don't like to spend money after all (how about that steep rise in the '00s after level spending throughout the '90s?). In fact, the trend is pretty clear: when Republicans are in charge (1980s, 2000s), federal spending goes through the roof. When Democrats are in charge (1990s, 2010s so far), spending levels off.
It would be nice if the pundits would keep this in mind.
President Obama: "The problem is, is that the way Bush has done it over the last eight years is to take out a credit card from the Bank of China in the name of our children, driving up our national debt from $5 trillion for the first 42 presidents - #43 added $4 trillion by his lonesome, so that we now have over $9 trillion of debt that we are going to have to pay back -- $30,000 for every man, woman and child. "That's irresponsible. It's unpatriotic. On July 3, 2008 -- the day before Independence Day -- Barack Obama said "Adding $4 trillion in debt was irresponsible and unpatriotic!"
ReplyDeletePresident Obama: Bush added $4 trillion in debt in 8 years. That was irresponsible and unpatriotic,,I only added $5 Trillion in 4 years! That is why they re-elected me. You obviously liked it so much I plan to add another $5 Trillion in the next 4 years.
ReplyDeletePresident Obama, I voted for you, you are the only one who understands the real benefits of Debt. I am in Debt also but do not have the printing press. I get by fine in the homeless shelters and the checks you send me. Please run again and God Bless You!
ReplyDelete"Businessmen are nothing like Government. If we do not make a profit we go out of Business. We are extremely careful with our budgets. Income must exceed expenses. Families are also nothing like Government.
ReplyDeleteIf,,on the other hand my business WAS like Government I would not be as careful with my Budget.
When it's your money I'm spending I get complacent. If I can print more money as needed I get VERY complacent. If I can raise taxes to get more money I get even more complacent. Complacency leads to all kinds of problems as you well know. In Government I can't get fired for being complacent, in fact I get more in wages and benefits than people in the Private Sector who cannot afford to be as complacent as I am. I am Government and will continue to be complacent and waste your money until you find a way to GET RID OF ME!"
headlines show the progress President Obama has made in the last four years.
ReplyDeleteDeficts and Debt continue their upward spiral with no relief in sight. Spending cuts off the table.
Fitch may downgrade U.S. credit rating
AP The United States could lose its top credit rating for the second time from a leading credit agency if there's a delay in raising the country's debt ceiling, Fitch Ratings warned Tuesday.
If Fitch does move to downgrade the US, it will join Standard & Poor's, which was so concerned by the dysfunctional 2011 debate that it stripped the U.S. of its triple A rating for the first time in the country's history. Another major ratings agency, Moody's, also has a negative view on the U.S. outlook. Fitch already has a negative outlook on the U.S. as the country's debt burden has risen to around 100% of its gross domestic product and has said it will make a decision on the rating this year, regardless of how the debt ceiling discussions pan out.
Long Term Unemployment at Highest Level Since WWII
Keith Koffler
Long term unemployment under President Obama is at the highest level since at least the end of World War II, threatening to create a permanent underclass of workers who will find it difficult or impossible to obtain jobs in the future. What’s more, Obama’s insistence on repeatedly extending long term unemployment benefits may be fueling the unemployment problem. Since 2008, Congress has voted to extend unemployment benefits ten times at a cost of more than $500 billion. The latest extension raised federal spending by $30 billion. That in itself promotes more unemployment by adding to the Debt and taking money out of the Private Sector where hiring is put on hold. It’s a vicious cycle.
Federal Welfare Spending to Skyrocket 80 Percent in Next Decade
Currently, 95% of spending on means-tested poverty assistance falls into four categories: cash assistance, health assistance, housing assistance, and social and family services. Welfare spending has increased on a year-over-year basis regardless of whether the economy has improved or unemployment has declined, and is projected to continue this dramatic rise indefinitely. Spending on these poverty programs will rise approximately 80% from FY2013-FY2022, representing a total cost of $11 trillion.
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