Originally Posted by empty vessel
Who cares about the debt? It's just a national bank. What they did was spend money, which was good for the economy, even if where they spent the money was on rich people.
And caused a recession...
You miss the point. They lie in their ads, that is my point.
And no, Clinton bringing the deficit down did not cause a recession. That recession was merely a pull-back from dot-com mania where we had over-investment in things that made no sense. Like pets.com Fed Exing dog food to people's houses. You can't build castles in the clouds and expect it to work.
Unfortunately. Obama's deficits should be much larger. You only give into conservative ideology by talking about the debt and deficit as if they are bad things. They aren't. The debt is a pure choice. We don't have to issue bonds to spend money. We do it to give the financial industry a risk-free investment. And the deficit is how the government injects more financial assets into the economy, which is necessary for the economy to grow. When a conservative points to the Obama administration deficits, you should say, "I know, if only that fucker had spent more we'd all be better off!" Because it's true. Talking about deficits as though they were a bad thing only reinforces bullshit conservative propaganda.
No. Money has to be spent on useful things. Just paying people to dig ditches and fill them back in can help a tiny bit but only to the degree that the wages you pay those people get spent on productive things. If everyone just digs ditches & fills them in you get nation of starving ditch-diggers.
I'm just not going to buy into the Magic Money Theory.
And besides . . . in a world of globalization, so much government stimulus leaks and stimulates the economies of Brazil, China, Japan, Canada, and other places where we get supplies, raw materials, components, etc.