Quote:
Originally Posted by justplugit
Agree about the cycle, but taxing and Govt. spending will never speed
the cycle up.
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No doubt that spending reductions would help with confidence as well as the massive amount of debt service.
Spending reductions have a flip side though as well. Ryan's plans before looked to eliminate 4+ million Government jobs. While that might make the Fed smaller, it also increases the unemployed and weakens the consumer base and shifts burden to the States.
Increasing revenues via taxation doesn't magically fix the problem, but combined with modest cuts can have a meaningful impact that's short-term.
Right now I don't think it's reasonable nor necessary to have a perfect end game solution. We simply need to be moving the ball in the right direction.
-spence