Moneymoney

Fri Aug 16, 2019, 10:06 AM

The cost of the "strong" U.S. economy

Despite massive amounts of money being pumped into the economy by both fiscal and monetary policy, U.S. growth is slowing, not accelerating.

https://www.axios.com/us-government-spending-deficit-economic-performance-1f573c59-af92-4731-b8e5-90167908793f.html

Driving the news: The U.S. budget deficit rose by nearly $120 billion in July, a 27% increase over a year ago, the Treasury Department announced Monday. The fiscal year deficit through July is now $866.8 billion, higher than the entire deficit from fiscal 2018 and on pace to top $1 trillion, making it the largest U.S. deficit since 2011.

A new agreement signed in July to avert another government shutdown and possible debt default will add an additional $320 billion in spending over the next 2 years, but will do little to increase U.S. competitiveness and growth, experts say.

Reality check: The spending binge that has taken place during the late stages of an economic recovery has U.S. GDP on pace to grow around 2% this year, which is about the average for the previous 8 years.

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Reply The cost of the "strong" U.S. economy (Original post)
uncledad Aug 16 OP
akaConcernedCanuk Aug 16 #1
uncledad Aug 16 #2
akaConcernedCanuk Aug 16 #3
uncledad Aug 16 #4

Response to uncledad (Original post)

Fri Aug 16, 2019, 10:29 AM

1. It's gonna get worse . . . .

Ya can't keep spanking trading partners without expecting blow-back.

Unless they are entirely helpless, nations will seek alternative sources for their needs.

And guess what - they ain't coming back . . . .

USA is in free-fall imo - alienating some of their largest and most important suppliers is gonna bite them in the ass.

People do not forget those that abandoned them.

CC

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Response to akaConcernedCanuk (Reply #1)

Fri Aug 16, 2019, 11:38 AM

2. It won't be a shock if it gets worse.

It was eight years and trillions of dollars to crawl out of the Great Recession, war included.

The GDP around the world is slowing down to a crawl.

The crazy just keeps busy...

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Response to uncledad (Reply #2)

Fri Aug 16, 2019, 11:53 AM

3. Well, it may not be a shock not to you and me

but I know too many people that have their heads in the sand or just put blinders on.

WW3 will never happen they say, but the USA continues to wander the Globe with their war-machine, negating the importance of military buildups in China and Russia, and their increasing cooperation militarily.

yeah - the USA has taken on a global dominance stance, and the other powers ain't gonna let them.

Americans have been convinced that the USA is invincible, even while watching China and Russia ally themselves.

Sad to say, I'm glad I'm old and childless . . . .

(sigh)

CC

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Response to akaConcernedCanuk (Reply #3)

Fri Aug 16, 2019, 01:03 PM

4. That's why there are so many proxy wars.

Syria is a glaring example of regime change gone wrong by the deep state in US uniforms.

The USSR collapsed under the cost of its military spending. Its empire gone and economy dismantled.

While China made the great leap forward economically assisted by US based multi national corporations.

Both have made common cause economically and militarily.

The US has its version of Neville Chamberlain in the WH, while the underlings plot the next invasion.

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Moneymoney