Budget Blues and Economic Storm Clouds

[Tarheel]

I realize the esoteric nature of this subject may be off-putting but it affects us all.  There's a problem and it seems to be getting little if any attention...The ONE is distracting with the McChrystal issue and the oil spill while Congress has their collective heads in the sand (not unsurprisingly)...my thoughts on why later.

Tuesday, House Majority Leader Steny Hoyer (with an array of House Dems standing in farcical tableu behind him) announced to little fanfare (and little interest in the press) that there would be no budget this year until maybe after December 1st when The ONE's Fiscal Commission will make it's report (after the November election).  This lacuna both in budget and intelligence portends something worrying with me especially in light of the Big, Fat Greek Crisis (and Portugal, Spain, and Italy)...not to mention the looming debt crisis of the States (California and New York to name but two).

This announcement by Hoyer came hastily following the new Tory Government in Britain announcing the biggest budget cuts and spending cuts in recent history; interestingly, also included in their budget were the biggest tax increases in recent history to "pay the bills of past (Labour) irresponsibility".  They seem to be facing the awful truth.

We don't; which is alarming...this inaction proves that our nation's Dem leaders are weak...especially The ONE.  They certainly like to spend (more than the previous Republican Congress and with no budget the spending continues with no accountability!).  But the proverbial bill is coming due and it's ominous storm front is on the horizon just to the east.

And one other piece to the puzzle for your consideration; The ONE's chief budget director, Peter Orszag, is resigning as of next month.  Unsubstantiated rumors on some of the blogs that I read are that The ONE's Chief of Staff is also leaving in the near future.

I suppose that the current Congress of cowards doesn't like how their approval ratings are polling so I guess they will slough-off their responsibility, keep spending, and leave a new Republican Congress to look like the 'bad guys' after the November election.  They, like the Tories in the UK, will have to make the hard decisions to make a budget that will involve raising taxes to clean up The ONE's Keynesian slop...but with them looking like the big bad tax raisers there's a good chance that the The ONE may end up getting re-elected in 2012.  If that's not bad enough news it's forecasting much harder times to come in my opinion as The ONE's gargantuan Keynesian Stimulus Myth collapses (and the roaches scurry for cover before it does) despite his magic fairy dust dreams and unicorn wishes.

Well, anyway, anyone else see some alarming trends besides me?  No?

You can go back to sleep now...


For further reading pleasure:

No Budget for Congress This Year:
http://www.politico.com/news/stories/0610/38843.html

British Budget Battles:
http://www.telegraph.co.uk/finance/financetopics/budget/7848086/Budget-2010-George-Osborne-the-enforcer-issues-toughest-Budget-for-a-century.html

Orszag runnoft from The ONE:
http://thecaucus.blogs.nytimes.com/2010/06/21/orszag-leaving-as-budget-director/?scp=2&sq=orzag&st=cse

'Greece' is the word:
http://www.glgroup.com/News/The-Greek-crisis---the-Euro-and-its-effects-on-accounting-instruments-47676.html

[eagleair89]

Budget? BUDGET?!?!?! We don't need no stinking budget!

The next ten years will be very interesting........

another article to add to ones above:

http://www.foxbusiness.com/story/markets/industries/government/world-broke/

The magical, mystical money tree always produces the fruit...........



ps: when will we ever elect folks who think that cutting programs and the bureaucracy is a better idea than raising taxes to pay for stuff that should never have been in the budget to begin with.

[AUTiger1]

ps: when will we ever elect folks who think that cutting programs and the bureaucracy is a better idea than raising taxes to pay for stuff that should never have been in the budget to begin with.

Won't happen anytime soon.  If we don't elect those who are willing to make the hard decisions, no matter how unpopular they are, and cut the spending, we will never get out of the hole that we are in.  congress will continue to raise our taxes to pay for it all....as long as the sheeple are are willing to allow it.

[GH2001]

Won't happen anytime soon.  If we don't elect those who are willing to make the hard decisions, no matter how unpopular they are, and cut the spending, we will never get out of the hole that we are in.  congress will continue to raise our taxes to pay for it all....as long as the sheeple are are willing to allow it.

Even when we do - ala Rand Paul - the media will take something that person said/did WAAAAAY out of context and ruin their whole persona with the public. They/LBJ did the same thing with Goldwater in 1964.