Re: Deficit - so what?

[William F Hummel <wfhummel@xxxxxxxxxxxx>]

Sven Larson wrote:

>After last year's disagreement between democrats and republicans in the
>presidential campaign over the budget deficit issue, it lloks like some
>sort of consensus is emerging from the awareness that there actually is
>a deficit ahead:
>
>http://www.nytimes.com/2001/11/29/business/29ECON.html
>
>An interesting passage:
>
>"Both sides said they were willing to run deficits for a year or two in
>an effort to revive the economy and pay the bill for national security."
>
>Of course, paying down the national debt is still a "priority". Despite
>that, the fiscal policy outlook is slightly more positive in the US than
>in the EU.
>
>Agree?

In truth there is no fiscal policy in the US.  There is a mile
wide gap between the republican and democrat views on where the
deficit spending should go.  With a party split in Congress, and
a president who would likely veto the democrat position if it
succeeds in Congress, where is the fiscal policy?  It is just a
meaningless phrase, as it has been for about eight years.

William F Hummel