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birdshine birdshine is offline
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Old Apr 29th, 2009, 12:08 PM       
I would love to see this companies burn but I don't know if its realistic. The systemic risk is so large that if these business went bankrupt and were unable to pay off their debts then hundreds of other business would go bankrupt and be unable to pay off their debts and that cycle continues. Meanwhile the people that do have money to give loans are not going to give loans because they don't think any ones going to be able to pay them back. Ideologically, as a capitalist, I'd love to say just let them fell but if you do that everything is just going to fall down around our ears and if the economy has a complete fallout like that we have no chance in hell paying off our deficit, millions of people would be out of work and international markets would also crumble.

When the Economy is in recession there isn't less money. There is the same amount of money its just not circulating because everyone is scared to spend it because they're afraid they're going to lose their job or their house. Spending your way out of a recession is exactly what you need to be because you need to get all of that money circulating again so you need to make it "okay." The classic example of this is the New Deal. I know, I know, the popular thing to say now is its not the New Deal that killed hte depression it was WW2 but the reason why WW2 ended the depression was for that same reason - a huge spike in federal spending. We just spent it on weapons and not highways. Also all of Western Europes production abilities were demolished leaving us a huge gap to fill but I doubt we're going to start bombing Europe to get out of this one.

I hold by what I said about spending money on health care reform saving us money in the long term because if we leave health care the way it is the expense will continue to explode. Whether you like social security, medicare, or medicade is a moot point. The government now has an obligation to pay it out and they will. If we keep the healthcare system we have now pretty soon we won't have any money for Defense, Education, or anything other then Medicare and Medicade and we'll be fucked. No one thought long term when we were writing and signing these bills but we need to start now.

e: Don't take the comic too seriously, its a comic and there are plenty of people crying socialism because of taxes. Taxed Enough Already? Obviously not considering the size of our debt.
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