Monitor writes of economic warnings!
The Christian Science Monitor writes about possible warning signs of economic trouble ahead, partly due to Congress.
The economy is switching from an expansion led by husky consumer spending to one led by business investment, says economist Nicocles Michas of Alexandros Partners LLC in Waltham, Mass. He sees the rate of real growth falling to a low 2 percent later this year. Then foreigners could become "more cautious" with investing in dollar-denominated bonds, etc. The dollar could tumble, interest rates rise, and stock-market prices could weaken.
Not
to mention the huge increase in taxes resulting from rising interest rates on our coming 11 Trillion dollar national debt, and the effect that could have on finding new foreign investors to float our riskier national debt. It is debatable whether the President has done enough to resolve our foreign trade deficits. But, there is little question anymore that the President and Congress are directly responsible for our national debt climbing to 11 Trillion dollars, double its 1999 level, by the end of the President's term. BTW, the 11 Trillion is a conservative estimate.
Comments
Thank-you BTW for having to courage to talk about the 11 trillion figure. One of my concerns about the national debt is how much of the cost of the Iraq war has been left off budget. Some sources claim that the phantom war budget can come in at over 1 trillion. Now this is ONE TRILLON above and beyond what has been reported to the OMB.
9 trillion? They are just getting warmed up.
Anyway, this is the subject of my cartoon strip this morning and I linked it to your post.
Posted by: Storm Bear | April 24, 2006 9:11 AM
Storm Bear, thank you for the comments. You have the same grasp on the severity of the problem as I do. Just getting warmed up? Absolutely correct.
And thank you so much for linking to this article. Much appreciated, Storm Bear.
Posted by: David R. Remer | April 27, 2006 9:53 PM