Wow. Maybe Zero is that stupid.
The WSJ is reporting from an interview with House Speaker John Boehner that president Obama told him we don’t have a spending problem.
What stunned House Speaker John Boehner more than anything else during his prolonged closed-door budget negotiations with Barack Obama was this revelation: “At one point several weeks ago,” Mr. Boehner says, “the president said to me, ‘We don’t have a spending problem.’ “
The president’s insistence that Washington doesn’t have a spending problem, Mr. Boehner says, is predicated on the belief that massive federal deficits stem from what Mr. Obama called “a health-care problem.” Mr. Boehner says that after he recovered from his astonishment—”They blame all of the fiscal woes on our health-care system”—he replied: “Clearly we have a health-care problem, which is about to get worse with ObamaCare. But, Mr. President, we have a very serious spending problem.” He repeated this message so often, he says, that toward the end of the negotiations, the president became irritated and said: “I’m getting tired of hearing you say that.”
There’s about 15 ways from Sunday to demonstrate our spending addiction and our lack of fiscal responsibility. I’ll just show a few. Here it in plain dollar terms.
Not bad, we’ve only increased spending by about 250% over the last 20 years. Next, we see this is just about the same in terms of per person, again over a 200% increase.
To give you a sense of about how bad this is, let’s look at our spending as a percentage of our GDP.
Okay, while I don’t agree with the Keynesian approach, I understand that in stimulus packages we would see a temporary jump and then it should go back down. Still waiting for it to go back down…….
The current rate of spending per GDP is unsustainable. This will cause our debt, in a very short time, reach critical mass. Our debt to GDP…..
We are right at 105% of our GDP, this year it will grow to about 108% -109%. If some other economies start to pick up, and they will eventually, and our ratings continue to go down, and they will, then interest on our debt will beyond our ability to pay and balancing our budget will be an impossibility. Our current debt is $16.35 trillion. Even at 3% interest, it would consume nearly 20% of our current budget, if we balanced the budget today. On our current trajectory, at 5%, in just a few short years ~ 5, it will be over a $trillion /yr.
Zero is tired of hearing this? By the time this person leaves office, he will have created a crisis that makes a recession look like a walk in the park. The noise about our spending and debt will only get louder. Already reality has us staring down the wrong end of a gun barrel. By 2016, Zero will have pulled the trigger.