The Mudcat Café TM
Thread #167694   Message #4049745
Posted By: Donuel
01-May-20 - 09:38 AM
Thread Name: BS: US thread, Politics and political
Subject: RE: BS: US thread, Politics and political
Paul Krugman says our economy is in a sort of medically induced coma.
Our relief programs have huge problems of instrumentation run through state officesthat areoverwhelmed.. White collar teleworkers are fine but hourly employees are suffering. State and local governments are facing tremendous stresses. Small business did not go to who needed it but went to big bussiness.

However; There is no danger of hyper inflation.
Red States that have no income tax but rely on sales tax and will suffer the most because Consumer spending has fallen off the cliff.
The market was saved by the Federal Reserve.

The US political discussion is between defensible ideas and arguments that have no good faith and are things we know are false like tax cuts pay for themselves or that deficit spending leads to disaster - all ideas that proved false and should have been killed off years ago.

Advanced countries (US, UK, Japan) that borrow on their own currency out grow their debt over time because interest rates are below the GDP growth curve. The Us had a 100% debt in relation to GDP after WWII and never had to pay it back since we outgrew it.

-Don't argue with Zombies.- their ideas died long ago.