From the Business Insider:
But trouble is looming. Commodities are heading up. Rents are heading up. And quietly capacity utilization is heading up. That means that the slack in the economy is disappearing, and as Morgan Stanley notes, a hike in the CPI can’t be far behind.
When this happens, Bernanke will be in a serious bind because there’s a good chance the labor market and housing market will still be weak. But a higher CPI will make it much more difficult to keep pumping.
Possibility? Maybe; it depends on future policies. So, what have the past fiscal policies been?
Gulp!
When the Democrats took control of Congress in 2007:
- the debt held by the public was 36.2% of GDP.
- It rose to 40.2% the next year.
- This year it will be about 63.6%,
- next year 68.6%,
- then 77% of GDP in 2020.
- And the Obama administration’s budget estimates 218% in 2050.
When the Democrats took control of Congress in 2007:
- The deficit in 2007 was $160 billion.
- In the next year the Pelosi-Reid Congress took it up to $458 billion
- When President Obama came into office in 2009 it hit $1.4 trillion.
- The current 2010 projected deficit is $1.6 trillion,
- which will lead to a tripling of our national debt from 2008 to 2020.
(H/T: Boortz)
Here in NH, you can thank Demorats Carol Shea-Porter, Paul Hodes (NH CD 1 & 2, who voted for the spending), and John Lynch (NH Gov, who completed the spending by accepting it here) by voting for their opponents (look to your Right and down – see the campaign sign endorsements).
