Can the U.S. Cure Its Fiscal Malaise? Yes. Will It? No.

Worthwhile Canadian Initiative reflects on our fiscal malfeasance:

[T]he United States indeed has the wealth and ability to resolve its fiscal problems with a set of tax and expenditure policies that are not outside the range of the global fiscal experience. Will this happen? Likely not. As mentioned before, American political culture is rooted in tax aversion and many Americans believe their federal government’s fiscal dilemma is only a spending problem and not also a revenue problem. However, balancing the budget on expenditure cuts alone would mean nearly a 40 percent drop in expenditures. Moreover, the American political debate right now is not about taking responsibility for their fiscal dilemma but about politically deferring the problem in the hopes that it might go away. Fixing any problem requires taking responsibility and when it comes to American federal public finances, they are not there yet.

Click on over to WCI for some hot chart porn.

Are we still sitting around waiting for normal to come back from vacation? Ain't happenin' in our lifetime, people.

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.


Anonymous said...

I think a VAT is a tax that can be accommodated by most families as long as the necessities are not taxed: food, children's clothing, rent, etc.

elf2006real said...

why is 2.2 trillion in federal revenues on a 13-14 trillion economy not enough? Remember we have a Federal system - so every other level of government from municipal through State, water, sewage hits us as well. And f*cking schools so we can continue to take the children of morons and carry on the legacy of serf stupidity.

piss on VAT or any new taxes. These people are bankrupt gangsters. Let them hang.

LOL that VAT would not tax necessities such as rent, food..etc. You must be kidding. If you're not on food stamps, you are wrong in the Democrats eyes, unless you are part of the urban hipster/govt/academe complex. In other words we all answer to big manna. The only private sector they know exists is the one that's paying them off or the one in their sights (and sometimes it's both).

We are already being heavily VAT taxed - it's called INFLATION. Like VAT (would this be Value Inflated Tax) it is most regressive.

elf2006real said...

And Yes, the answer is NO. Not without a lot of pain, and pain is what the pols and their client class, and the banksters are trying at all costs to avoid. In doing so, they exponentially add to the reckoning, which is nigh.

malus Diaz said...


Fwap! Fwap! Fwap!

"What do you mean I don't have money, I still have checks!"

Anonymous said...

The big dog's going down. If you think any politician is going to save your a$$ you're nuts.

wcv said...

Does JDA have a press pass for tomorrow's ZB press conference?