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Understanding the US trade deficit

by R. M. DOUGLAS

Created on: August 09, 2011

The Times They Ain’t A Changin’


    Legendary announcer Harry Caray closed broadcasts of Chicago Cub victories with a raucous “Cubs Win! Cubs Win!”

    Today’s self-anointed “main-stream” media close, and open and cram broadcasts with a joyous “Obama Wins! Obama Wins!”

    I am writing mere hours after the House passed the debt ceiling increase; and hours before Barak Obama receives a blank check to continue the recklessly unfettered spending that has been the sole hallmark of his 30-odd months in office.

    I can already hear the protest, “What about the as yet unnamed Congressional panel tasked with finding trillions in spending cuts by Thanksgiving”.

    The probability of success of twelve members of Congress cutting trillions in real spending is slightly less than a purple hippopotamus escaping a pack of rabid hyenas by tying its tail to a four-leaf clover, then jumping off a 100-foot sheer cliff.

    Before Obama pardons the White House turkey, the panel will tearfully report, try as we might, the policies of George Bush, Ronald Reagan, and Herbert Hoover, have made spending cuts impossible.  On the positive side, the contributions of Republican James A. Garfield have allowed us to propose trillions in new revenue, (spelled tax increases). The background sound is former Serpent of the House Nancy Pelosi celebrating as she slithers from her viper nest.

    Barak Obama will shed genuine, albeit crocodile, tears while signing the revenue measures into law; with much of the Washington press corps applauding, (Obama Wins!), his courageous victory over the barbarian, terrorist, suicide bomber, (insert your Democratic ad hominine attack label of choice here)__________, Tea Party.

    A lawyer friend, compares America in the early 21st Century to Great Britain in the decades between the World Wars.  The empire is gone; the slide toward third-worldism is inevitable; the dollar is inflating into a modern 1980s Argentinean Peso.  In my friend’s mind, the destination is certain, all that remains is how gracefully we travel the road.  

I have been less pessimistic. Naively, I believed $14.5 trillion in debt, growing by $1.5 trillion annually, would awaken Congress to economic reality, and instill a modicum of fiscal responsibility. I held no such illusion

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