Cutting the deficit in today's world is nothing to brag about

[cthulu2016]

Cutting the deficit in today's world is economic malpractice of the first order.

In the world of talking points the truth can get lost. Doing what evil idiots (Republicans) claim to think is wise is not actually wonderful.

Just because a nation of people brain-washed by decades of RW economic gibberish sometimes claims to care about the deficit (without even being able to say what the deficit is) does not mean that cutting the deficit is a good thing.

In today's world it is the worst thing.

Europe is currently in a RECESSION and will remain in a recession next year because they cut the freaking deficit.

We have nominal growth, versus recession, only because we have not been as effective in our crackpot austerity schemes as Europe.

[snappyturtle]

1. Reducing the deficit is one thing (not that I think it is necessary now) but what I

find MOST objection to is what the base (1%) has done to do just that.

K&R

[cthulu2016]

2. The deficit is on the plus side in GDP

When there is a deficit, cutting it reduces GDP by that amount or more. (multipliers come into play)

That doesn't mean deficits are infinately good all the time. They are not.

But it does mean then when you have a crisis of low GDP, reducing GDP is probably not the answer.

If there had been a national movement to cut American economic growth by X% it would have been just as descriptive of effect as "cutting the deficit" but would not have had the same popularity.

Many Americans think of "the deficit" as money of their's being given to a foreign country or to somebody in America who is not white.

[JustAnotherGen]

8. Exactly

With a Caveat

Many Americans think of "the deficit" as money of their's being given to a foreign country or to somebody in America who is not white.

White Republicans - Many of them . . . instead of just 'Many Americans'.

They are that simple.

[snappyturtle]

9. Yes...exactly. nt

[JustAnotherGen]

3. Maybe - maybe not

But in the 2014 mid term elections - the repugnant ones just lost one more talking point to whine about.

[cthulu2016]

4. Surely you don't believe that

You cannot really believe that Democrats will benefit in 2014 for being deficit cutters.

Bill Clinton eliminated the deficit entirely in 1999 and the majority of Americans still said the deficit was higher than when he took office.

Democrats do not gain from cutting the deficit.

Clinton was popular in 1999 because there were a lot of JOBS, despite the fact that people thought (erroneously) that he had made the deficit larger.

[JustAnotherGen]

6. Seriously - YOU

Don't believe that pig vomit on the right was not gong to TRY and run on that again?

Seriously - you really think they are going to change their playbook? Really? Seriously?


That would be like them liking black people. They hate us. It's written in stone. And they get away with it. It serves their purpose.

Ditto their 'deficit' b.s. They can't run on that now.

You are out of your mind if you think they are changing the playbook for 2014. Get real.

[cthulu2016]

10. Of course they will run on it

And of course the population of people to whom that most appeals will discount the possibility that Dems have lowered the deficit because they "know" better.

It is an irrational issue that is not voted on based on facts, so I expect the Republicans will say whatever they feel like saying.

As for everyone else, the "centrist" non tea-baggers, they say they care about the deficit, but they vote for jobs. Consistently.

If the deficit was higher there would be more jobs.

There is no political upside for Dems in the deficit being lower. It's an inside-the-beltway chatting point at best.

[snappyturtle]

11. So politics trumps economic wellness? nt

[JustAnotherGen]

17. For certain voters

You bet.

Not only does politics trump economic wellness -

But race, religion, shoving a wand up my vagina, whether my friend Tim can marry his partner of 18 years in NJ . . .

That's all they care about.


Don't blame me. I'm not running the IndieTeaPublican Cabal. Blame Go Rinse Your Penis Preibus.

[RC]

5. The best way to cut the deficit is full employment, using Living Wage Jobs.

We have neither. The jobs we have and are "creating", are part time, minimum or near minimum wage, no benefit jobs. Companies are still laying off, firing their employes and hiring them back at reduced wages and hours, while the owners/upper management increase their take home. But because we have (D) in the White House, this is counted as a recovery.

For an actual recovery, we need to be getting the money circulating on Main Street and not Wall Street. Our so-called recovery is because Wall Street is doing so well, it swamps out the other end.

[JustAnotherGen]

7. Now that's intelligence

But the average IndieTeaPublican doesn't understand what you've just written. So their ignorance and deeply held beliefs will work in the left's favor.

[DCBob]

12. Well it was one of candidate Obama's campaign promises..

so yes it is something to brag about especially considering all the other crap he has had to deal with simultaneously.

[great white snark]

14. But that doesn't matter-the level of arduousness matters!

[Dawgs]

19. Did he also promise to cut all the things that hurt the lower class just to get a smaller deficit?

Because that's what we're talking about here.

[DCBob]

21. I believe the deficit reductions have come mostly from increased tax revenue..

and slowed growth in Medicare and Medicaid costs. The cuts you are talking about have little impact on the budget.

[dawg]

13. Austerity in times of high unemployment is a poor economic policy.

That is why parts of Europe are still mired in a malaise every bit as bad as the Great Depression.

Here in the U.S., we briefly pursued stimulus instead. Then, we pivoted to austerity-lite. Due to our smaller commitment to austerity, our economy has bounced back better than most. But we still ended stimulus way too soon. People are suffering, and the economy is taking long-term damage in the process. Skills are being lost as workers sit idle. Lives are being destroyed, and careers are being derailed to such an extent that they will never fully recover.

It's a shame, and it could have been much better.

The biggest damage, however, has been the extent to which a Democratic administration has parroted conservative talking points about the economy; "eating our peas" and such. People fundamentally misunderstand the nature of the deficit and the difference between stimulus and austerity. And instead of using this opportunity to educate them and change the national narrative, we chose instead to reinforce many of the other side's economic frames.

It was a lost opportunity.

[BenzoDia]

15. Cutting the deficit means removing money from the private sector.

It tax revenue is up, then perhaps it's time to spend more in areas that need it.

If spending is too low, then we need to spend more in areas that need it.

[BlueCheese]

16. You and Paul Krugman are right on this.

Reducing the deficit is a political victory, but not an economic one. And even then, it's a Pyrrhic victory, since celebrating it gives credence to misguided austerity theories that hurt the economy overall.

What we need now is economic stimulus. The economy is no longer in the free fall it was in in 2008-2009, but it's still limping along rather painfully, with high unemployment. The sequester is not a good thing right now.

[BrotherIvan]

18. +1

Exactly

[Pretzel_Warrior]

20. Take a math class

If deficit reduction were to be achieved by primarily spending cuts, it would have the effects you mentioned.

But if more efficient and effective programs deliver the same results (such as savings projections thanks to Obamacare) that is not going to significantly harm the economy.

If revenue (tax receipts) go up because of increase of rate on highest tax rate and improved economy (more income due to more jobs, etc) then that is a good thing.

Notice, we aren't out of deficit spending....just seeing the economic cycle and fiscal policy bring things into a bit more balance.

U.S. government deficit spending was never as out of control as Greece, Spain, Italy, etc.

[Egalitarian Thug]

22. No hope for change, I guess. K&R