One fact that's been continually glossed over in the bailout debate is that Washington doesn't have money in hand for any of these proposals. Every penny would be borrowed. Estimates for what the government is willing to spend on bailouts and stimulus efforts for this year reach as much as $7.7 trillion according to Bloomberg.com -- a full half of the United States' yearly economic output.
With all the zeroes in the numbers, it's no wonder Washington politicians have lost track.
Bad business models are failing and the federal government is going further in debt to support them. Reasonable people are yelling "Stop it!" but the politicians have been deafened by the din of the Fed's printing presses.
No comments:
Post a Comment