Quote:
Originally Posted by sperry
The real problem with war spending is that we're spending $100B/year that we don't have. So really, we're borrowing from ourselves and the economy is suffering because someday we'll either have to spend the money to cover the debt (which *will* hurt the economy since we're paying out of the public's pockets in exchange for nothing) or we'll have to print more money to cover the debt (which will *kill* the economy due to inflation).
So while some people are earning their livelihood due to military spending, the benefit that gives to the economy overall is probably far outweighed by the fact that that money their earning is borrowed. If we were running a budget surplus, spending that money on a war would be a different story (though, IMO any surplus would be much better spent on paying back the $9T we owe ourselves, like we were doing under the Clinton administration...)
Here's a fun chart:
With the exception of Regan and the Bush's, all of our administrations reduced the national debt. That massive debt starting in 1950 was from WWII. Does anyone remember the recession in the early 90's? Anyone think perhaps that might have been related to the tax cuts and high spending of the 1980's? Does anyone feel like we're being setup for another recession by the current tax cuts and high spending? |
I agree that severe deficit spending is bad, but that's a result of conservative fiscal policy- cut taxes, and never mind what we're spending. If they'd had the foresight to tell the American people that war is expensive nowadays and we need to pay for it, this discussion would be different. But, as I said before, the money we're spending on the war isn't what's hurting our economy, is the "bill me later" option that's doing damage.