Monday, January 3, 2011

Cut Spending, Cut Spending



Cartoon from 1934 - Chicago Tribune


Interesting article in the Atlantic Monthly about cutting spending.


http://www.theatlantic.com/business/archive/2011/01/the-gops-opening-argument-cut-spending-cut-spending-cut-spending/68773/


It seems to me that we must cut back Federal spending, but only after we get our economy functioning well again.  Our annual Federal deficits should be no more then about 3% of GDP, and it should be 0 when times are good, enabling us to spend when times are bad.

1 comment:

Mary said...

This is exactly right. It makes no sense to start cutting with unemployment near ten percent.
We have to get people back to work first. There will be a time to cut spending when more people are able to support themselves and pay taxes into the system to reduce the deficit. If the time ever comes again when there is a surplus it should be saved against another rainy day instead of squandered on tax cuts for those who are already doing well.