It is reported that the war in Iraq could cost 80 billion dollars in 2005. This is, of course expected, since in September we needed an additonal 87 billion to tide us over until fiscal year 2005. Then there is the missle defense system that is being deployed, at a cost of approximately 10 billion dollars a year and the damn thing doesn’t even work. Then there is the medicare drug benefit…which is going to be an assload.
How on earth does this administration actually expect to balance the federal budget? Someone is going to have to tell me. I see the currency just sliding against the Euro as our debt becomes a greater percent of GDP. Yes, I know the economic theory…as the dollar becomes cheaper, we will increase our exports and close the trade gap. However, should confidence be lost in the dollar and should the Asian central banks decide to divest their dollar holdings, we could be in a world of hurt. I know it worked in the past, but I am seriously concerned. Never before has there been such a threat to the dollar and I don’t think our economy and currency have been this vulnerable.






December 17th, 2004 at 11:29 pm
it doesn’t matter… I’ve been saying this about the dollar and the debt in general for a few weeks. I just had a long discussion with someone at work about how the social security situation didn’t have to be a “crisis” if we didn’t have the deficits we do now.
Let’s be honest, though. Americans don’t care.
Really.
Abortion and gay marriage are the only things a large population of people care about in this country. Nothing else matters because we have been and will always be invincible.
I’m just depressed about politics lately. Fear is all that motivates people to vote and it’s too hard to counter.