Legal Commentary

"Deficit Reduction" Means Cutting Spending

By Big Tent Democrat

The utter failure of The Deal will continue to be evidenced as the debate about "cutting the deficit" accelerates. While the WaPo article subject of my post below is indeed quite stupid, stupid is the norm for "policy debate" in the Beltway. The Deal has empowered the stupid. Consider this from the WaPo article:

The urgent need for policymakers to reduce the deficit was underscored Thursday, when two major rating agencies expressed discomfort with the country's financial condition. [. . .] In view of the recent extension of tax cuts enacted during the George W. Bush administration, the report said, "the outlook for near-term stabilization of U.S. government debt ratios is not promising."

(Emphasis supplied. ) That would be The Deal. So what can be done? Why massive cuts in spending of course:

Because of the size and resilience of its economy, the United States "maybe has more time" than other countries to "move to a more restrictive fiscal policy," [Moody's Steven] Hess said. "But what we're saying is, still, it needs to be done at some point, roughly over the next couple of years."

(Emphasis supplied.) When he says "restrictive fiscal policy" what he mean is massive spending cuts.

Speaking for me only

Full post as published by TalkLeft on January 14, 2011 (boomark / email).