[Rhodes22-list] Economics - More Good News

[DCLewis1 at aol.com]

Yeah Rob, but of the $7T national debt that has been accumulated over the  
nations 200+ years, how much of it can we attributed to our "new-conservative  
Republican" government with Bush over the past 6 years.  I think the number  is 
$3T and rising. Don't you just love Republican "conservatives"?  They  really 
are frugal aren't they?
 
But that's not the whole story.  If you are going to spend a ton of  money on 
useless wars and still cut taxes you've got to use every fiscally  
irresponsible dodge in the book.  Question:  how fast is M3  increasing?  The increase 
in M3 is tied to how fast your "fiscally  conservative" government is just 
printing dollar bills.  I believe M3 has  been increasing at about 10%/yr, while 
the economy has been growing about 3% -  the difference between the 2 is about 
how fast your dollar  is depreciating.  But it's such a great way to pay the 
governments  bills, just print more money!
 
Factoid: When Clinton left office you could get a little more than 1.3  Euros 
for a dollar, today, 6 1/2 years later, it takes more than 1.3 dollars to  
buy a Euro.  Averaged over 6.5 years, the dollar has depreciated against  the 
Euro more than 8.4%/year compounded.  Congratulations, your money is  worth 
about 60% what it was 6 years ago and is well on its way to being  worthless as 
the result of your "conservative Republican" government working the  printing 
presses non-stop to pay its bill - hey, it's not a tax increase and we  can 
still have our wars, it's a free lunch!  
 
Want to know one reason gas is more than $3/gal?  Check what's  happened to 
the exchange rate against the Euro over the past 6 years.
 
I believe this approach to paying the governments bills - just printing  more 
money - was tried after the Civil War and it precipitated a  depression.  But 
if they can just hang on for 18 more months they'll say  "it wasn't my fault".
 
Rummy is absolutely right, it's going to take decades to recover from the  
damage these fools have done.
And there's absolutely nothing fiscally conservative about "new  conservative 
Republicans".
 
Dave



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