Welcome to DU! The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards. Join the community: Create a free account Support DU (and get rid of ads!): Become a Star Member Latest Breaking News General Discussion The DU Lounge All Forums Issue Forums Culture Forums Alliance Forums Region Forums Support Forums Help & Search

mostlyconfused

(211 posts)
13. So is your suggestion that we go back to spending 33-35% of GDP?
Mon Feb 4, 2013, 02:16 AM
Feb 2013

..like was happening under Reagan, instead of the higher rate we are spending now? I get your point about the economic impact of increased spending, but the problem is that the spending just doesn't come down again. During Obama's first term government spending was more like 40% of GDP.

If spending increases were temporary, with the intent to stimulate the economy, then once growth is achieved it seems like spending should come down. If the trend is that spending as a percentage of GDP generally just keeps going up and up (with a few variations), then what do we do? It's like the economy is an addict, and keeps needing a heavier hit government money to be stimulated. Does that course ever reverse, or in a decade will it take a bump to 45% of GDP to stimulate the economy?

I'm convinced that 7-8% unemployment is the new norm as long as we keep destroying public sec jobs. JaneyVee Feb 2013 #1
Lower the reirement age to include workers nobody wants. Spitfire of ATJ Feb 2013 #7
For younger readers, WPA means Work Progress Association. Wikipedia it. xtraxritical Feb 2013 #12
K&R Champion Jack Feb 2013 #2
Every problem this country has is rooted in a Reagan policy or program. liberal N proud Feb 2013 #3
It wasn't just Reagan,...it was Republicans who were against The New Deal. Spitfire of ATJ Feb 2013 #8
The actions taken during the Reagan years are direct contributors to our current problems. liberal N proud Feb 2013 #10
The Reagan years SUCKED but Republicans did historical revisionism.... Spitfire of ATJ Feb 2013 #11
One way to read this is that government spending and investment (in the US) is good for gdp. geckosfeet Feb 2013 #4
or george w bu$h*????? spanone Feb 2013 #5
I've known since around 1980 that things are always more SheilaT Feb 2013 #6
They understand. It's their JOB to sell the lie.... Spitfire of ATJ Feb 2013 #9
So is your suggestion that we go back to spending 33-35% of GDP? mostlyconfused Feb 2013 #13
can haz chartz cthulu2016 Feb 2013 #14
Annual growth in spending: Reagan - 6.8%, GWB - 7.7%, Clinton - 3.5%, Obama - 1.4%. pampango Feb 2013 #15
Charts can say a lot of things. That one could suggest Reagan started fixing the problem mostlyconfused Feb 2013 #16
If you think it suggests "Reagan started fixing the problem", you must be a big Obama fan. pampango Feb 2013 #17
Latest Discussions»General Discussion»Charts: What if Obama spe...»Reply #13