November 10, 2004

Wee little line-items

From the President's press conference:

...Asked about the growing budget deficit, he said he would like to revive the so-called line-item veto....
A line-item veto would be a splendid reform. Most state governments have them, and all those governors are glad they do. Go George!
...He also said the key to controlling the deficit was to have "spending discipline" and an effort to "grow the economy." He added, "As the economy grows, there will be more revenues coming into the Treasury. That's what you have seen recently. If you notice, there's been some write-downs of the budget deficit. In other words, the deficit is less than we thought because the revenues is exceeding projections.... The revenues ARE exceeding projections. Sometimes I mangle the English language, I get that."...
One of the problems with discussing economic matters is that most people are CLUELESS!

They hear that taxes have been cut and the deficit is increasing, and their response is: We're gonna CRASH! Aaaaauuuuggghhhhhhhh!!!!

It's useless to try to explain that our economy is growing more rapidly because there is less of a tax-burden clinging to its ankles, and that the debts will end up smaller as a percentage of our total wealth. That we are in effect borrowing money to buy stocks in a rising market. And also that a larger economy means higher tax revenues, which will shrink the deficit in absolute terms. Both these things are already happening.

It's not that they argue cogently against these ideas, they just don't want to hear them at all. In fact they don't even want to know that our economy IS growing. There seems to be a strong correlation with this sort of obtuseness and support of John Kerry and other Democrats. If a person of moderate intelligence wants to be a Democrat, they must cultivate economic ignorance.

(Thanks to BroJudd)

Posted by John Weidner at November 10, 2004 9:20 AM
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