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Old August 2nd, 2011, 03:35 PM
Aidan Aidan is offline
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Quote:
Originally Posted by Kuki View Post

It's very basic math, not any fancy economic theories.
Agree with your post, Kuki, but even economics isn't all fancy theory. A formula every kid learns in Econ 101 is the definition of gross domestic product:

GDP = Consumer Spending + Industrial Investment + (Exports - Imports) + Government Spending.

No economist in the world outside of North Korea argues the validity of this basic economic fact.

For everybody but the Tea Party, it is a given that growing GDP is a necessity for growing prosperity, and if consumer spending is down, and industrial spending is down and if we import way more than we export ... there isn't any way to raise GDP except for government spending. Cut that in the current environment and GDP will decline ... there is no way around it.

Still waiting for the trickle-down effect of the tax cuts in 2001 to bail us out ...
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