People really don’t like deficits. Polls measuring national priorities tend to find that the deficit/debt is the second most important issue to voters, after “the economy” generally and ahead of health care, guns, foreign policy and immigration. Politicians don’t like deficits either. Both President Obama and the Republican leadership in the House pay lip service… Read more »
Posts Tagged: deficits
Don’t Be Fooled – Trade Deficits Are Just Fine
Newscom There is a major misconception in the United States concerning the balance of trade and jobs. Many equate trade deficits and increases in imports as bad for employment. They could not be more wrong. In fact, higher imports are a signal of prosperity and plentiful jobs. When a country’s economy is growing, more jobs… Read more »
Our coming deficits are driven by old people, not health inflation
You’ve heard — perhaps on this very blog! — that our long-term deficits are almost entirely driven by health-care costs. That’s true over the next 50, 60, 70 years, which is, absurdly, the time frame people often talk in. But over the next 20 years, it’s not quite right. A more accurate way to put… Read more »
Washington hates deficits. Why it hates them is less clear.
Rarely is the question asked: Why should we want to balance the budget? Deficit hawks tend to talk in general terms about not wanting to pass down a huge debt on to our children, or needing to avoid a debt crisis, but what this actually means is often left underspecified. The actual concern is much… Read more »