Monday, June 8, 2009

Everyone Understands Except The Politicians

It’s just common sense to understand the danger of continuing unbridled spending by Washington. Last week Ben Bernanke testified to the House about the grave hazard of our burgeoning debt.

His bottom line was our level of borrowing and spending cannot continue at the current rate. When asked about the possibility of the United States losing its AAA credit rating just as England did recently, Bernanke could offer no desirable outcome.
“At -- at some point, you have to have a path of spending and taxes that will give you a stabilization of the debt-to- GDP ratio. If you don't, then fear that the debt will continue to rise will make it very difficult to finance it.

And at some point, you'll hit a point where you'll have to have both very draconian cuts and very large tax increases, which is not something we want. So in order to avoid that outcome down the road, we need to begin now to plan how we're going to get the fiscal situation into a better balance in the medium term. ...”

And he refused to comment on the possibility of rampant inflation, although his questioner brought it up. Read more at Powerline.

Have you told your Congressional Clowns to STOP THE SPENDING? If so, remind them again.

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