Show of HandsShow of Hands

PeoplePower June 6th, 2014 1:00pm

Should the government focus on reducing the deficit?

12 Liked

Comments: Add Comment

EarlyBird Portland
06/07/14 7:24 pm

They need to stop spending.

Reply
Torfin Never Behind
06/08/14 1:19 am

Because when you are spending $12 but you only have $8 you need to STOP SPENDING. Not borrow $4.

PeoplePower
06/09/14 7:16 am

That $4 (the deficit) would actually be a surplus somewhere else in the economy. It doesn't just disappear.

Since the US federal government is off of a gold standard or a directly convertible currency, it won't run out of money. Ever.

Torfin Never Behind
06/09/14 9:05 am

You obviously do not or refuse to comprehend.

When you print money with nothing to back it (we have NOT been on the gold standard since the 70s) it is like taking 4 pieces of paper and writing "IOU $1" on them and expecting others to believe it.

Torfin Never Behind
06/09/14 9:07 am

There is no surplus ANYWHERE. No change jar that you ate taking pennys out of.

Certainly there ate many places within our economy that there is duplication and waste where things could be fixed.

PeoplePower
06/09/14 10:12 am

When you put, say, 100 dollars into the US economy and you take 90 out via taxes. That $10 is in the US economy as a surplus within the economy. That's how government spending works.

PeoplePower
06/09/14 10:13 am

The government doesn't use taxpayer money per se for spending. They create new money to be spent and take taxpayer money out of the economy to control inflation as well as demand.

PeoplePower
06/09/14 10:21 am

Here's a link explaining in greater detail:

www.advisorperspectives.com/newsletters13/Why_Deficits_Dont_Matter.php

I would also check out more work by Dr. Stephanie Kelton

PeoplePower
06/09/14 10:29 am

Also, it should be noted that after periods where large deficits are run (without austerity measure taken to reduce it), a period of economic recovery follows.

Torfin Never Behind
06/10/14 2:09 am

ROFLMAO! What flavor is the kool-aide?

PeoplePower
06/10/14 1:34 pm

I wouldn't know. I don't get my opinions from pundits on Fox News.

Torfin Never Behind
06/10/14 2:02 pm

LOL I never watch fox. Nice try though.

PeoplePower
06/10/14 2:41 pm

Could have fooled me-considering you don't seem to understand how the deficit works.

PeoplePower
06/06/14 10:49 am

Why does the deficit need to be reduced?

TierasPet
06/06/14 6:09 am

Yes they should. However, that would require reducing spending which they seem unable to do.

Reply