2006/03/17

Republicans - New Dealers for the New Century

So it's all over the news that the Senate raised the debt ceiling yesterday to $9 trillion. What doesn't get reported much, is that Congress had no choice. With a projected deficit for 2006 of over $350 billion, and the old limit already exceeded, the Senate had to act to preserve the confidence of American creditors. Basically, they made sure the US government didn't go bankrupt, a prelude to a world-wide financial meltdown. But this still doesn't mean that Republicans are good stewards of the economy. Here are some facts:

Number of times Bu$hCo has had to to have the ceiling raised : 3
Total amount of the increase: $3 Trillion
Percentage debt ceiling increase during Bu$hCo: 50%
Years until the cap is reached using current deficit levels: 2
Years remaining until Bush leaves office: 2
Projected deficits for 2006 and 2007: 350 to 400 billion dollars
Deficits as a percentage of the yearly budget: 11%
Your portion of the national debt: $30,000
Administration in office during the three biggest deficit years in history: Bu$hCo (2001), Bu$hCo (2003), Bu$hCo (2004)

And just in case you thought that Republicans were losing their taste for unbridled spending: Less than an hour after the Senate raised the debt ceiling the House passed another $100B in "off-budget" spending for the wars in Iraq and Afghanistan and for relief along the hurricane-ravaged Gulf Coast.

Blognonymous' "plain-language" budget analogy:

Imagine that your get into a bind and need to borrow 10% of your gross annual income in order to make ends meet, and let's further assume that you do that on your credit-card. If you need say...$40,000 a year to get by, then you're borrowing $4000. Do this every year for during Bu$hCo's first term and pretty soon you've reached your limit, just for your debt. In other words, you can't buy anything. All you can do is pay down what you owe. So what do you do? You ask the Greater Asia Credit-Card Company to raise your limit which they gladly do, and you keep on acquiring debt at the same rate.

So what happens on the day that they decide not to raise your limit? In US government terms, this is the day that our creditors in Asia loose their taste for backing government Treasury paper. Think about it.

7 Comments:

This will sure make a nice mess for the next administration to deal with, eh... Kind of an unsolvable problem if you ask me. Even if you DON'T ask me. They'd love to stay in power, but dumping this mess on a Democratic winner wouldn't be so bad either... with the short attention spans and need for instant gratification, many Americans would get pissed if the Demo POTUS couldn't "fix" the problems in four years, and they might just elect another Republican in 2012. Ugh.

These GOP guys are ruining the USA. It's almost like they have a death wish, or like they want to create such chaos that the only way to "fix it" will be with some kind of really really repressive measures that include a total concentration of power in the White House.

Those are great points Kvatch. These stand out the most to me:
Years until the cap is reached using current deficit levels: 2
Years remaining until Bush leaves office: 2
Your portion of the national debt: $30,000
Administration in office during the three biggest deficit years in history: Bu$hCo (2001), Bu$hCo (2003), Bu$hCo (2004)

So gee, how will the GOP spin this one when it comes around to the 2008 presidential elections? Things might really be in the economic toilet by that time...

Will they go back to the mantra of "Democrats are wasteful big spenders"? I don't think that one works anymore.

They may or may not be able to use the fear tactics of "vote Democrat and the terrorists will attack", because who knows what the next few years hold in that regard...

Bush has kind of painted himself and his party into a corner with his senior drug benefits program and his efforts to privatize Social Security. I don't think the GOP can claim high ground anymore in either of those areas.

In a few years, more schools will have been defunded by No Child Left Behind, and rather than Americans seeing that and saying "Gee, the GOP is right... the public schools are BAD!" (which is what the Republicans seem to want), people will more likely be saying "The schools aren't as good as they could be, so how can we fix them?" Parents are going to get tired of schools having to lay off teachers and dump programs like P.E., music, industrial arts, and... gasp... school sports(!), to the point that they will begin to say "enough is enough". I think public-school bashing is eventually going to go out of style, and if it starts to before November 2008, the GOP won't be able to claim the lead in education anymore either.
(I should mention I'm biased here, because I am a public employee and I work in public schools. The unnecessary bashing of public employees is a soapbox for another time...!)

The recent NBC/WSJ poll says voters think the Dems are better in the areas of taxes and ethics in government. I like that, that the public is realizing that Bu$hCo is really just full of crap. No matter how Bush tries to clothe his ideas, many of them seem to come out as harsh, punitive, and insensitive.

But... I blather in desultory fashion! My main point is, again, how is the GOP going to spin this mess in two years? I see no way to make positive projections from those numbers K. gives us. Any bets as to whether or not Bush will even be the POTUS by 11/08?
Hi kvatch,

Prior to King Bush taking office, there was a projected surplus of 5 trillions dollars over the next ten years (this was in 2000).

This is what started Bush's cry of "its your money, we want to give it back to you".

Now we are projected to have a $3 trillion dollar shortfall over the next ten years thanks to the Repugs mismanagning of our tax dollars.

Snave is right, the next President is Fucked
Yep, we're so deep in dollar-doodoo that I'm not sure we'll ever get out. I think the public sees it as Monopoly money and doesn't realize we really do have to pay it back.

I agree, the next president, no matter who he is, is going to have a heap of disaster to deal with.
They are putting us so far in to hock right past our eyeballs on up to our stars and stripes. Fuck. We are going to need some serious wizardry to drag our sorry economy out of this mess after the repukes get voted out and tossed aside like shit stained underwear that has too many holes in it....and they said they were the fiscally conservative party. What a load of shit.
i'm glad you qualified your assertions about republican senators. while it may be true that they had no choice, TODAY, but to raise the debt ceiling, the truth is they've had plenty of choice in all of the spending bills they've passed which have led up to the budget crisis. fiscal conservatives my ass!!!
Excellent points all. Snave, I think you're pointing out that the GOP will try to spin this back on the Democrats is especially timely.

The Democrats have a chance to claim the high ground on this one. Something along the lines of, "We assess the budget pragmatically, funding what needs to be funded and triming what needs to be trimmed."
When the US economy crashes (you know, after Iran converts to Euro - if they don't get bombed and "liberated" first ), I'll finally be able to afford those $300-$400 books I've been eyeballing for quite some time now. :D

Perhaps it's worth mentioning that "Bu$sCo" has borrowed more money than all the presidents in US history combined.

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