Austerity in the states?

Wookster

Perhaps those who say there has been no austerity in the US should stand and be counted. It appears there has been fairly significant tightening of federal spending:

But the record shows that total federal government outlays were 25.2% of GDP in 2009, 24.1% of GDP in 2011, and 22.8% in 2012. (Receipts rose from 15.1% of GDP in 2009 to 15.4% in 2011 to 15.8% in 2012.)

Courtesy of the Economist here: http://www.economist.com/blogs/freeexchange/2013/02/fiscal-policy-0

Yet another difference in the nail in the coffin of the spend our way out of the crisis approach.

Thrugelmir

Wookster wrote: »

Perhaps those who say there has been no austerity in the US should stand and be counted. It appears there has been fairly significant tightening of federal spending:

Fiscal cliff was deferred for 2 months. March is soon approaching.

Generali

Thrugelmir wrote: »

Fiscal cliff was deferred for 2 months. March is soon approaching.

Fiscal cliff was also downgraded from 4.5% of GDP to 1.5% of GDP.

michaels

Wookster wrote: »

Perhaps those who say there has been no austerity in the US should stand and be counted. It appears there has been fairly significant tightening of federal spending:



Courtesy of the Economist here: http://www.economist.com/blogs/freeexchange/2013/02/fiscal-policy-0

Yet another difference in the nail in the coffin of the spend our way out of the crisis approach.

So austerity means going from the govt spending 2/3 more than it brings in to only 50% more :rotfl:

Thrugelmir

Generali wrote: »

Fiscal cliff was also downgraded from 4.5% of GDP to 1.5% of GDP.

Pentagon has contingency plans to put 800,000 permanent employees onto a 4 day week and release all contract staff. In order to meet its payroll costs.

Grandmasters will return to the chess board soon.

Shame Big Blue isn't running the US economy. Would make a better job.

thor

Wookster wrote: »

Perhaps those who say there has been no austerity in the US should stand and be counted. It appears there has been fairly significant tightening of federal spending:



Courtesy of the Economist here: http://www.economist.com/blogs/freeexchange/2013/02/fiscal-policy-0

Yet another difference in the nail in the coffin of the spend our way out of the crisis approach.

In other words Romney's Republicans were peddling a big lie(not for the first time) when they claimed that Obama was bankrupting the country through increased spending/QE?

Generali

thor wrote: »

In other words Romney's Republicans were peddling a big lie(not for the first time) when they claimed that Obama was bankrupting the country through increased spending/QE?

It would have been a lie if that's what they said.

What they are actually saying is that unfunded pension and healthcare liabilities can't be fulfilled and need to be addressed as part of the budget process. What they are saying is mathematically correct per Government projections and it is pretty disgraceful politicking by the Democrats to paint that as an attack on the poor.

Thrugelmir

Trouble with American politics is that there is much behind the scenes "lobbying". Where vested parties influence policy. Rather than the elctorate themselves driving it.

Moby

Thrugelmir wrote: »

Trouble with American politics is that there is much behind the scenes "lobbying". Where vested parties influence policy. Rather than the elctorate themselves driving it.

...and it doesn't go on here of course:rotfl: