Saturday, September 5, 2009

Congressman Pete Stark gets it mostly right on the national debt

Watch this interview with Congressman Pete Stark of California as he tries to explain to an ignorant journalist some facts about the national debt.


googleheim said...

Floyd Norris almost gets it right also. However, he refers to "printing money" without difference between credits, issuance of debt, and physical paper printing.

It is a simple matter to see how people's learning curve is slowly understanding how deficits are meaningless to anxiousness, but really in themselves deficits are necessary and meaningful to recovery.

You need money to generate money, need fire to fight fire while not putting out the 'right' fire.

Look at snippets of many prognosticators of out of paradigm reaction to the recession and over time they are slowly moving paradigm.

Ishkbob said...

Stark, like yourself Mike Norman, once again fails to draw a distinction between good and bad debt. Good debt is used for capital investments (building factories, buying capital equipment, and investing in productive assets). This allows for the production and sale of goods, which eventually pay off the original debt. Stark is a dumbass. He thinks that debt is always good...period. The US is drowning its debt and instead of paying it off through production and real wealth generation, it pays it off with more borrowed money...plunging it even more into debt. US debt is used for consumption, not production. Hence bad. I can't wait till the final collapse of this economy finally purges the system of this kind of stupidity and ignorant mentality.

Mike Norman said...

hey, shishkabob, why don't you go purge yourself.

googleheim said...

Shishkabob or Souvlaki - doesn't matter still non-sense.

Mike Norman has always differentiated between good and bad debt -

good - that which increases capacity, capital, and legitamate businesses.

bad - that which supports wall street firms which do nothing to contribute to the good stuff - like femto-second trades and / or bailouts for zombies.

Now, getting back to Ishkabob's purging - this urge to purge or to purify the system via creative destructive republican't techniques is insipid.

We remember what happened during the 90's when Newt Grinch tried to shut down Barney & Sesame Street or Tom Delay suggested that the Dept of Education was unconstitutional - the urge of creative destruction is anti-USA.

Sure they cleared up the debt but the dollar spiked which is anti-thetical to the other urge to purge exports.

Republican'ts are inherently contrdictory.

With more and more folks finally getting in paradigm such as Floyd Norris, it will only be a short time when we realize why the historical shows of Frischberg and Lauffer are not available on an indexable podcast - because they constantly change and cover up their shannigans.

bubbleRefuge said...

I saw Art Laffer on CSpan pimping his book with Steve Moore.... OMG, he is an evil SOB. He comes off on mainstream TV as this nice guy but some of the stuff he was saying on CSPan was pretty crazy. One example was justifying the invasion of Iraq for oil.