‘Strategy of hope’ doesn’t work in Accounting either!
As we have now discovered in Iraq and Afghanistan, ‘Hope is not a strategy.’ (I believe that is an actual quote from a US General).
But as with Iraq, Katrina, Global warming, and their take on various scientific issues, the administration’s position on the deficit has never been ‘reality-based.’
In a February 6 address, George Bush continued to push his TCAADRSATW policy (tax-cuts-above-all-despite-runaway-spending-and-the-war):
“Low taxes means economic vitality, which means more tax revenues. And so the fundamental question is, what do you need to do to keep the economy growing, in order to make sure the tax revenues keep coming in to the Treasury? Step one to balancing the budget is to keep taxes low…As a matter of fact, not only do I think we ought not to raise them, I think we ought to make every tax cut we passed permanent.”
But last week, the Government Accountability Office (GAO) issued a report warning that the latest simulations on America’s fiscal outlook show “a federal debt burden that ultimately spirals out of control,” and stated bluntly that without either grave spending cuts or tax increases, “the Nation’s long-term fiscal future is ‘at risk.’”
The report painted a bleak picture, emphasizing that any delay in addressing the budgetary balance could have results that are “disruptive and destabilizing.” The solution, as described, sounds less than hopeful:
“if we were to invest enough today to pay off these amounts over the next 75 years, the sums needed would amount to about $87,000 to $182,000 per person, or about $208,000 to $435,000 for each full-time worker.”
In an obvious rebuttal to George Bush’s delusionary position, the GAO stated that:
“The projected fiscal gap is so great that it is unrealistic to expect we will grow our way out of the problem.”
I’m worried. But I’d be REALLY worried if I had kids….