HomeLatest ThreadsGreatest ThreadsForums & GroupsMy SubscriptionsMy Posts
DU Home » Latest Threads » Forums & Groups » Main » General Discussion (Forum) » Economists See No Crisis ...

Fri Mar 22, 2013, 11:19 AM

 

Economists See No Crisis With U.S. Debt as Economy Gains

By David J. Lynch - Mar 22, 2013
Representative Paul Ryan, chairman of the House Budget Committee, declared this month that the U.S. national debt ďis hurting our economy today.Ē Itís an idea embraced by almost every Republican and even some Democrats.

Economic data -- on jobs, housing and investment -- donít support that claim. And economists across the political spectrum dispute the best-known study of the subject, by Carmen Reinhart and Kenneth Rogoff, which found that nations with debt loads greater than 90 percent of their economies grow more slowly.

Three years after a government spending surge in response to the recession drove the U.S. past that red line -- the nationís $16.7 trillion total debt is now 106 percent of the $15.8 trillion economy -- key indicators reflect gathering strength. Businesses have increased spending by 27 percent since the end of 2009. The annual rate of new home construction jumped about 60 percent. Employers have created almost 6 million jobs.

And with borrowing costs near record lows, the cost of paying off the debt is lower now than in the year Ronald Reagan left the White House, as a percentage of the economy.

MORE...

http://www.bloomberg.com/news/2013-03-22/economists-see-no-crisis-with-u-s-debt-as-economy-gains.html

3 replies, 798 views

Reply to this thread

Back to top Alert abuse

Always highlight: 10 newest replies | Replies posted after I mark a forum
Replies to this discussion thread
Arrow 3 replies Author Time Post
Reply Economists See No Crisis With U.S. Debt as Economy Gains (Original post)
Purveyor Mar 2013 OP
vi5 Mar 2013 #1
Yavin4 Mar 2013 #2
mother earth Mar 2013 #3

Response to Purveyor (Original post)

Fri Mar 22, 2013, 11:30 AM

1. Shorter That Article:

 

What Paul Krugman said. And has been saying.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Purveyor (Original post)

Fri Mar 22, 2013, 11:34 AM

2. The whole debt/deficit crisis is a political tactic designed to destroy the publlic's faith in...

social programs which have benefitted millions of Americans and has helped grow the economy. Republicans know that taking on social programs directly like Soc. Sec., Medicare, Medicaid, Education, etc is a losing proposition. The American people don't want them eliminated.

So, they have to go after their funding. They have to make the argument that these programs cannot exist because there is no funding for them which is complete hogwash.

Reply to this post

Back to top Alert abuse Link here Permalink


Response to Purveyor (Original post)

Fri Mar 22, 2013, 11:45 AM

3. The reTHUGS want to deal with a "debt crisis" so they can screw up the economy more than BushCo

succeeded in doing. It is a certainty, if sequestration (aka austerity) comes to the US, unemployment goes up again & recession deepens dramatically. Where were the GOP patron saints of no debt and a balanced budget during the Bush/Cheney spending spree? Remember....the one that increased profiteering and bailed out the banksters? Where were these beacons of conservatism?

It's beyond hypocrisy, it is absolute economic suicide...and this is their aim.

Reply to this post

Back to top Alert abuse Link here Permalink

Reply to this thread