Economist: civilization may not survive "death spiral"

[richardhutnik]

RedInker said:

richardhutnik said:

RedInker said:
16 trillion Dollars!!! Fuck me thats a lot of money. Time to seriously tighten the purse srrings.

Good luck trying to get the public to vote for a platform of getting less money from the government, and also have their taxes raised.  You are seeing in American politics a fracture between the budget cuts and tax increases going on.  

 

I agree that Budget cuts and Tax rises are not vote winners. But there will be a time when the cost of borrowing is going to rise. Even the largest economy can run out of credit. When that will be remains to be seen

What happened is what will likely continue.  You ended up with the cross the board budget cuts, and also letting the Bush tax cuts expire.  As of now, the GOP side can't cut taxes on the lower end any more (nearly half of people pay no income taxes), so they won't get tax cuts through for the upper end.  That is done.  And the budget cuts will end up coming, but not likely much more.  Thing is that pork is what gets congressmen elected.  Pretty much it is force things to happen, and then have congressmen end up protesting powerlessly against things.

Pretty much, the economy needs to start to grow, but no one figured out how to do things, coming off the stimulus buzz they had been running for decades.