Is there any example of defecits being reduced without cutting the budget?


If your goal is to reduce the defecit then there is zero doubt that cutting spending helps. Like I said before the major question is the economic benefit of not taxing and not borrowing to pay for the spending being cut.


In order to start talking about the facts to consider you have to understand why context matters.

 

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Aggregates rarely behave like individuals.


Would your cutbacks on toys and liquor encourage an expansion or a contraction by the toy/liquor industries? Probably a contraction.


If your income is completely dependant on the toy/liquor industry and its employees, your spending cutbacks will affect your income.





But this isnt the reality we find ourselves in. The US can afford its debt. We would be facing different options if we truly couldnt afford our debt right now.


We would also be talking about completely different options if invisible dragons had destroyed Boston and all of Virginia and were coming back for the West Coast next week. But there is no reason to enact dragon fighting measures if they are counterprodutive to economic growth and employment since this isnt actually a problem right now.


Our problems are slow growth and a lack of employment opportunities. There are no real short term or medium term debt problems visible.

There is much doubt. This blanket statement is not correct.


Budgets have two sides. The two sides will often impact each other.


A company with looming deficits probably cant help their situation by firing their production, delivery and sales staff. Although this might produce a temporary one time move in the right direction...there is much doubt whether this will actually help.

Just keep spending it! We'll print more!

 

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One of the keys to economic growth is for people to spend money.


Ive never once heard a business owner pissed off that people are spending more money at his business.


There is no finite amount of money.


0 for 2

For a government a lot of spending is long term investments. Education, roads, police, defense, etc or moral imperatives, medicare, medicaid, etc.


I did not mean to suggest that all cuts in spending are good but if the goal is to reduce the defecit then there is zero doubt that cutting spending helps.

 

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anyone who thinks its useless to reduce useless spending while trying to pay off excessive debt is a moron.


walk into your bosses office tomorrow and tell him you need to be paid more so you can continue your excessive online porn subscriptions going. see what he says.


then apply that to excessive salaries/benefits that politicians make

TSA and the rest of the free handouts from the government

....


youre right in that you probably wont save enough to cover the shortage but its definitely a start.
once the cuts are made, then you can talk about how much more you need to cover actual shortage

 

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Typical brain dead republican behavior.When times are good the first thing they want to do is cut the burden of the rich and then as soon as the economy starts to decline they want to put more of a burden on the poor and middle class.

 

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Does it count as deficit reduction if the deficit grew slower than inflation and GDP?

 

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