R i g h t a r d i a: Hysterical Raisins: Why did the US lose its AAA credit rating?

Saturday, August 6, 2011

Hysterical Raisins: Why did the US lose its AAA credit rating?

Here are three of the stooges greatly responsible for the downgrade. The Republicans spent like drunken sailors during the Reagan and GW Bush administrations and also cut taxes.

Are the Democrats also responsible? Sure, the Pelosi congress was in power for two years of the GW Bush administration and could have restrained some of the spending.

The Democratic Senators could have stood tall when Bush proposed invading Iraq and said "No way". The Republican party is hardly afraid to say "no" to Obama.

The US went $4 trillion in debt with the Iraq and Afghan Wars and life cycle costs will go higher with veteran's benefits.

How can the US economy get back on track? Raise taxes on the affluent and stop playing the evil empire every time we encounter a country that resists US international policy.

Obama and the Democrats must know we got out of the Great Depression by taxing the affluent and the tax rate was 90 per cent then on top earning Americans. Why were the Democrats timid about raising taxes on the affluent?

Federal Discretionary spending has expanded 79 percent faster than inflation as a result of large defense and domestic spending hikes.

Half of the deficit spending from 2008-11 was not caused by the Obama administration. Rather, it is due to the lost revenue from the Bush tax cuts and excessive military spending, including $170 billion per year in “off-budget” expenditures on the misguided wars in Iraq and Afghanistan. Bush never funded Medicare part D either.

The 2009 spending level was the highest relative to GDP in 40 years,. Tax receipts are the lowest relative to GDP in 40 years. This is the real essence of supply side economics: spend more and tax less.

"Peter Orszag, the OMB Director under President Obama, stated in a November 2009 that of the $9 trillion in deficits forecast for the 2010–2019 period, $5 trillion are due to programs from the prior administration, including tax cuts from 2001 and 2003 and the unfunded Medicare Part D."

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