Biden's boundless government spendathon threatens the world economy -IMF
For Joe Biden, government spending has no bottom.
There's always a student loan to 'forgive,' a green scheme to lose money on, or an illegal alien to offer a 'free' lifetime service package to. And bureaucrats to hire, lots and lots of bureaucrats...
As a result the U.S. deficit has hit record levels.
According to the Treasury Department:
A deficit occurs when the federal government’s spending exceeds its revenues. The federal government has spent $1.06 trillion more than it has collected in fiscal year (FY 2024, resulting in a national deficit.
And the national debt? The Treasury Department says:
The national debt ($34.60 T) is the total amount of outstanding borrowing by the U.S. Federal Government accumulated over the nation’s history.
The U.S. recently reached a milestone marker of paying more on the interest from Joe's borrowings than it does on defense.
According to Yahoo! Finance:
Americans are familiar with the impact of higher interest rates, which are making it more expensive to carry credit card debt or buy homes and cars. But the federal government is also getting walloped: Spending on interest on U.S. debt is now the fastest growing part of the budget, and even projected to overtake national spending on defense this year.
Federal spending on interest payments is forecast to hit $870 billion this year — exceeding the $822 billion that the nation will spend on defense in 2024, according to a recent analysis by the Congressional Budget Office. This year's outlay for interest payments represents a 32% increase from last year's $659 billion in interest expense.
That's money down the toilet, money that could have been spent on providing every illegal with an even bigger free ride from the taxpayers, or maybe money that could be spent on schools, roads, or most important, tax cuts, so that those who earned the money could decide for themselves how to spend it.
It's hard to get the public excited about these unheard-of numbers most of the time, though they do pay attention to its natural byproduct, which is inflation. Inflation, as Milton Friedman has said, is "always and everywhere a monetary phenomenon," and Biden actually believes that Friedman "isn't running the show anymore" and the laws of economics have somehow changed. More government spending, more inflation. And while Joe says he's whipped inflation now, polls show that the public can see that inflation is still with us.
And so is the spending. It's so bad even the International Monetary Fund is warning the world about us.
According to the Financial Times:
The IMF has warned the US that its massive fiscal deficits have stoked inflation and pose “significant risks” for the global economy. The fund said in its benchmark Fiscal Monitor that it expected the US to record a fiscal deficit of 7.1 per cent next year — more than three times the 2 per cent average for other advanced economies.
There also was this:
On Tuesday, IMF chief economist Pierre-Olivier Gourinchas said the US’s fiscal position was “of particular concern”, suggesting it could complicate the Federal Reserve’s attempts to return inflation to its 2 per cent goal. “It raises short-term risks to the disinflation process, as well as longer-term fiscal and financial stability risks for the global economy,” he said. “Something will have to give.”
As economist Herbert Stein put it in "Stein's Law": "If something cannot go on forever, it will stop."
Which is quite a statement, particularly since it now comes from the IMF, an organization filled with euro-leftists who hate conservatives.
The FT itself is in their intellectual camp, and tried to make the case that the big danger was President Trump getting re-elected and cutting taxes.
Nope, the problem is that Joe cannot stop spending. Tax cuts would create economic growth and more revenue with which to pay back the Bidendebt. More Biden means more Biden spending and more Bidenflation, gradually and then suddenly, taking the U.S. all the way down the road to Argentina.
So while Biden says he's got inflation under control, the claims are garbage. His other claim, that the U.S. is doing better than other countries' economies is even bigger garbage, because the IMF isn't warning the world about most of them. That the U.S. holds a benchmark dollar-reserve currency status is bound to keep dissipating as the value of the dollar falls and U.S. is no longer seen as a reliable place to park money. The Fed reportedly wants to get back to hiking rates again and back the new inflation will come, even before the old inflation has gone away.
Sound like a pretty picture? When you've got even the IMF warning about you and your spendthrift ways, there's little doubt there's a problem.
Republicans should hammer this home in this coming election campaign and stay as far away as possible from the spendathon. If we can get Rand Paul to lead the Senate come November, this lunacy will stop.
Image: Pixabay / Pixabay License
Biden’s influence-peddling is consistent with what I wrote in my book, 'Capitol Hills Criminal Underground'
More than three years ago, MedLaw publishing released my book, “Capitol Hills Criminal Underground” in which I, the book's author, describe a long-running “protection racket” being run by then-Vice President Joe Biden, as well as Attorney General Eric Holder and New York Senator, Chuck Schumer.
Joe Biden says things, and then there’s reality
Joe Biden is out in Pennsylvania saying that Trump got rich the old-fashioned way: he inherited it. At least that is an honest way to get rich. Trump inherited money, and he took a massive amount of risk and created a huge number of jobs.
Biden, on the other hand, got rich the same way a lot of politicians get rich. He used his powerful position in government and took his son around the world on government-paid transportation, collecting kickbacks from a number of adversaries, including Russia, Ukraine, and China. The only thing the Biden family had to sell was access to Joe. They did not take risks. They did not develop anything. They did not have a service or product to sell. They did not create jobs. They created shell companies to launder the money through. That is not an honest way to get rich, but a lot of corrupt politicians have achieved wealth the same way.
Biden also claims that Trump doesn't pay taxes. He pays a huge amount of taxes — whether it is real estate taxes, payroll taxes, or income taxes when the tax code shows he owes them.
That is unlike Hunter, who sometimes didn't file tax returns when he didn't feel like it and didn't worry about following the tax code. And it certainly appears that there were payments to Joe that were classified as loans with no documents to show they were loans. That means they were income. It also appears that Hunter paid a significant amount of Daddy's bills, which would also be a taxable event.
If I were advising Biden, I would also tell him to stop pretending his policies have brought inflation down.
Joe also claims that his policies have significantly brought down inflation. Maybe statistically, but average people’s inflation is still way up. The poor, the middle class, and seniors on fixed income are being decimated by the price of necessities that have skyrocketed due to Biden’s policies, especially on energy.
For example, I received my homeowner’s insurance bill this week. It is up over 15% from last year. I have never had a claim, have an excellent credit score, and have a $2,000 deductible along with a 10% deductible on earthquake insurance. We built our house 36 years ago, and in Springfield, Illinois, the value has increased only one or two percent per year, at most. It sure doesn't help to live in the state with the second highest property tax rate in the country.
If I were to sell my house, the result may be $350,000 or so. The problem is that due to skyrocketing inflation, the insurance company makes me insure it for replacement value, which the company says is $811,000, plus insurance for outbuildings, which I don't have.
There is also a story out there about caregivers having "diaper insecurity," which means they can't afford diapers because of high inflation.
I wonder why people look back at Trump's policies fondly. Could it be that we had a good economy with rising real wages, affordable energy, and inflation staying below 2% despite COVID?
I don't remember diaper insecurity stories while Trump was in office.
It's no wonder the media and other Democrats want to convict Trump of something, even if they have to create a crime. They sure don't want to run on Biden's disastrous foreign and domestic policies or the results.
In 2016, Hillary and the DNC couldn't defeat Trump based on their policies or results, and they must not have been able to find truthful stuff that would destroy him, so they paid to create a fictional dossier and used swamp creatures in D.C. to beat him..
It is a shame that Democrats are so jealous of families that develop businesses and create wealth that they want to confiscate a huge percentage of that wealth when these earners die. The Democrats are the greedy ones, who always play the class card, along with the race card. The Chinese would be proud.
Image: Gage Skidmore via Flickr, CC BY-SA 2.0.
“Protect and enrich.” This is a perfect encapsulation of the Clinton Foundation (TWO GAMER LAWYERS - OWNED BY GEORGE SOROS) (WHAT ABOUT THE CHINA BIDEN PENN CENTER?) and the Obamas (TWO GAMER LAWYERS - OWNED BY GEORGE SOROS) book and television deals. Then there is the Biden family (FOUR GAMER LAWYERS - JOE, HUNTER, JAMES, FRANK - OWNED BY GEORGE SOROS AND LARRY FINK OF BLACKROCK) corruption, followed closely behind by similar abuses of power and office by the (GAMER LYING LAWYER )Warren and Sanders families, as Peter Schweizer described in his recent book “Profiles in Corruption.” These names just scratch the surface of government corruption (ADD GAMER LAWYER KAMALA HARRIS (OWNED BY GEORGE SOROS) AND HER LAWYER HUSBAND AND THE BANKSTERS’ RENT BOY, (GAMER LAWYER) CHUCK SCHUMER, OWNED BY LARRY FINK OF BLACKROCK WHO OWNS A BIG PIECE OF THE ‘BIG GUY’ JOE, AND GEORGE SOROS’ RENT BOY (GAMER LAWYER) TONY BLINKEN, AS WELL AS CON MAN (GAMER LAWYER) ADAM SHIFF AND HIS CORRUPTNESS (GAMER LAWYER) BOB MENENDEZ STILL EVADING PRISON, AND NOT BE VERY LEAST, (GAMER LAWYER) ERIC SWALWELL, THE CHINESE SPY AND HO CHASING BRIBES SUCKER, AND OF COURSE, PREDATOR LAWYER AND COVID LIAR (GAMER LAWYER) ANDREW CUOMO.
BRIAN C JOONDEPH
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