A couple of ‘green shoots’ of fiscal sanity appear
For those interested in a return to fiscal discipline, recent events offer a couple of signs of hope. First, there’s this, from the Wall Street Journal:
“WASHINGTON — President Barack Obama’s plan to give $250 checks to Social Security recipients next year is being criticized by some congressional Democrats worried that it could swell the deficit.
The proposal came a day after the Social Security Administration said there wouldn’t be a cost-of-living increase in payments for 2010 because consumer prices declined this year. The Obama administration has said the extra $250 is needed to help 57 million seniors, veterans and disabled people weather the recession, and could help stimulate the economy at a time of rising joblessness.
House Majority Leader Steny Hoyer has been among the plan’s most vocal opponents. The Maryland Democrat has been working to rein in rising entitlement costs, which he sees as a danger to the nation’s fiscal health.
“Seniors at the beginning of this year got a 5.8 percent [cost-of-living] adjustment. They also got a $250 payment in the Recovery and Reinvestment Act. So it is not as if the Congress has forgotten seniors,” Mr. Hoyer said after the plan was announced. Other fiscally conservative Democrats privately agreed, but expressed reluctance to voice their views publicly, for fear of angering seniors.”
Amen, Brother Hoyer. The $250 check is not a legitimate stimulus effort, it’s political appeasement of a powerful voting bloc. And if enough Democrats and Republicans in Congress stand up and admit it, maybe there will be enough votes to kill the idea.
The second cause for hope came yesterday in the Senate. A bill to spend $250 billion over the next decade to raise Medicare reimbursements to doctors was rejected, with 13 Democrats joining all 40 Republicans in opposition.
Most of the opponents apparently agree that the reimbursements are inadequate and have to be raised. Without a solution, Medicare payments to physicians would drop 21 percent, and that’s not feasible. But the vote was a protest over the fact that the measure included no way to pay for itself, meaning the $250 billion would just be added to the deficit.
As The Washington Post reported:
“Although Republicans participated in talks to find ways to offset the $247 billion, no single revenue source found consensus, and GOP senators decided to turn Wednesday’s vote into a referendum on deficit spending and the price tags of the huge health-care reform bills slated to come to the House and the Senate next month.
“Americans are increasingly alarmed by the expansion of our national debt and this spending binge that we’re putting on the national credit card,” said Senate Minority Leader Mitch McConnell (R-Ky.). “They’re asking us to do what they’ve been doing: They want us to take out the scissors and cut the charge card.”
I think that’s great. That’s the opposition party doing what it ought to do, and I’m glad 13 Democrats joined the Republicans in the effort. I just wish the Republicans had been doing this under the previous president.
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167 comments Add your comment
GoingBroke
October 22nd, 2009
10:33 am
As conservative as I am. I have to agree with Jay on his final comment. (Gasp) I am sick and tired of the excuse in Washington that R’s and D’s use when they like to point the finger at previous administrations and say “They spent more money than we did” Frankly, they ALL have spent too much money.
getalife
October 22nd, 2009
10:40 am
“The Senate must soon increase the national debt limit to above $13 trillion.”
Perhaps corrupt Congress should go on unpaid leave until this is paid down to 2 trillion.
Like a shopoholic, they need an intervention to stop spending.
USinUK
October 22nd, 2009
10:49 am
raucous applause for Steny Hoyer!! no increase in the CPI = no COLA
as it should be.
thomas
October 22nd, 2009
10:50 am
Can we get a list of those democrats who did not vote to reject this medicare bill, along with the 13 democrats who did as we were given a list of republicans a few weeks ago who did not vote the way you wanted them too Bookman.
I would hate for the AJC to be called out as NOT a NEWS organization like fox. I mean you guys must report fair and balanced, and it doesn’t matter if you are an opinion writer or not.
Equal reporting or its bad reporting.
Finn McCool
October 22nd, 2009
10:52 am
no single revenue source found consensus
that’s the GOP in a nutshell. Don’t buy something until you can pay for it, ya noobs.
USinUK
October 22nd, 2009
11:03 am
and, hey!! look at that!! the leading economic indicators is up AGAIN!!!
Six-Month Surge
The leading index over the past six months was up 11.8 percent at an annual rate, the biggest gain since 1983.
Eight of the 10 indicators in today’s report contributed to the gain, led by the difference between short- and long-term borrowing costs, an increase in consumer expectations, lower jobless claims and higher equity prices.
Decreases in building permits and the factory workweek were the only two measures that subtracted from the index.
http://www.bloomberg.com/apps/news?pid=20601068&sid=aDXDtR1lrv48
Turd Ferguson
October 22nd, 2009
11:09 am
“Shootin up junk
He was a low down cheap little punk (Yea punk rock)
Taking everyone for the Ride
When Obobo said he didnt like his parents
Ya knew he was a no good kid
But when he threatened your life
With sorrow and strife
What a guy, makes cry and I did…”
deegee
October 22nd, 2009
11:11 am
I attended an Alzheimer’s support group meeting at the retirement home last week. The subject of the COLA came up in the discussion. One of the elderly residents said, “well, whadya expect, look who the president is.” Funny how these old farts scream with their palms wide open over passing national debt on to their grandchildren.
booger
October 22nd, 2009
11:13 am
As you said yesterday, Obama inherited a budjet with an estimated $1.2
trillion deficit. We can put that on Bush if you like. However, to know this and then go on an unprecedented spending spree is pure insanity, or a contious attempt to cripple the economy.
GoingBroke
October 22nd, 2009
11:15 am
USinUK thats awesome.. Now if we can just get those jobs that going out there that the stimulus was going to create.. right now its not looking to good.. most states have reported an increase in unemployment.. not a decrease.. but hey.. its all good.. the economic indicators are UP..
USinUK
October 22nd, 2009
11:17 am
” go on an unprecedented spending spree is pure insanity, or a contious attempt to cripple the economy”
yeah … because he bought those new sofas … and big screen teevee … and went totally nutty at Costco …
sorry, bub, but the TARP legislation and economic stimulus package was absolutly necessary to defibrillate the economy. without the stimulus bill (and, more importantly, the message that it gave the financial market), we’d be in MUCH sorrier state than we currently are.
Peadawg
October 22nd, 2009
11:20 am
Thank goodness this was voted down. We’ve done enough spending with the 2 wars and 2 “stimulus” packages.
jconservative
October 22nd, 2009
11:22 am
GoingBroke is entirely correct. National debt in 1960 $290.5 billion.
National debt 10/20/2009 – $11,956,584,748,608.58.
“…they ALL have spent too much money.”
USinUK
October 22nd, 2009
11:24 am
going –
“Now if we can just get those jobs that going out there that the stimulus was going to create.. right now its not looking to good.. most states have reported an increase in unemployment”
there’s way too much slack right now in employment – companies are going to be able to increase hours and/or implement overtime before they start to hire …
and for the scadzillionth time … unemployment is a LAGGING indicator – it doesn’t start to fall until the economic recovery is well underway for the reason I listed above.
Kamchak
October 22nd, 2009
11:26 am
As you said yesterday, Obama inherited a budjet[sic] with an estimated $1.2
trillion deficit. We can put that on Bush if you like. However, to know this and then go on an unprecedented spending spree is pure insanity, or a contious[sic] attempt to cripple the economy
HAS NO ONE HEARD OF JOHN MAYNARD KEYNES?
USinUK
October 22nd, 2009
11:28 am
Kam
“HAS NO ONE HEARD OF JOHN MAYNARD KEYNES?”
(hand raised, waving wildly)
oh! oh!! I have!! pick me!!!
booger
October 22nd, 2009
11:29 am
USinUK,
Of the major industrial countries, the US and the UK are experiencing the slowest recovery from the recession. These are the two countries who spent the most on a relative basis to stimulate their economy. Both France and Germany, whose economies are recovering the quickest, warned Obama that the stimulus could have an adverse effect on recovery.
GoingBroke
October 22nd, 2009
11:29 am
Well.. by estimates.. its lagging by about 6 million from where the Pres said it was going to be? That a pretty BIG lag.. As soon as foreclosures round two hits, I think we will see a true turnaround.. everything has to get flushed out.
Curious Observer
October 22nd, 2009
11:31 am
I dissent from Bookman’s view. The CPI recognizes a wide range of goods and services, many of which are not consumed by seniors. Seniors get hit the hardest by medical costs, which are soaring but only a small part of the CPI.
The problem is in the law itself, not the application of it.
USinUK
October 22nd, 2009
11:32 am
booger –
“Both France and Germany, whose economies are recovering the quickest, warned Obama that the stimulus could have an adverse effect on recovery”
bollocks. Both France and Germany have implemented stimulus packages of their own – including their own versions of cash for clunkers. In fact, EVERY major country – not just the US, UK and Eurozone – have implemented stimulus packages – including China, which was nowhere NEAR negative growth.
Kamchak
October 22nd, 2009
11:33 am
USinUK
Saw this the other day and meant to share. I apologise for the tardiness.
USinUK
October 22nd, 2009
11:35 am
“The CPI recognizes a wide range of goods and services, many of which are not consumed by seniors”
the 3 largest contributors to CPI = housing, transportation and food (43%, 15% and 15%, respectively) … so, in other words, nearly 75% of CPI would apply to seniors – so, it’s a fair measure
Doggone/GA
October 22nd, 2009
11:36 am
“oh! oh!! I have!! pick me!!!”
Me too. Me too!
I Report :-) You Whine :-( mmm, mmmm, mmmmm!
October 22nd, 2009
11:37 am
The Obozo, mmm, mmmm, mmmmm, administration has said the extra $250 is needed to help 57 million seniors, veterans and disabled people weather the recession, and could help stimulate the economy at a time of rising joblessness.
If Obozo really thinks $250 will stimulate anything then we truly are without hope.
USinUK
October 22nd, 2009
11:37 am
Kam –
thanks!! I’ll have to read and forward to my brother (we have an economics book club thing going on)
Doggone/GA
October 22nd, 2009
11:38 am
“If Obozo really thinks $250 will stimulate anything then we truly are without hope”
Ummm…try multiplying that by **250 MILLION** – now you’re talking REAL money.
Doggone/GA
October 22nd, 2009
11:38 am
Oops, Sorry! I mean **57 Million** – got carried away!
Redneck Convert (R--and proud of it)
October 22nd, 2009
11:39 am
Well, we could save a bunch more if we just cut out this Social Security and made that bunch of old f@rts go back to work. I ain’t their mama or daddy. They needed to take Personal Responsibility when they were younger–save up a ton of money so they could retire and not leech off of the rest of us hard-working folk. I could do alot of good things with the SS money they take out of my paycheck.
Just keep the greedy guvmint’s hands off of my Medicare, is all I ask.
Have a good day everybody.
USinUK
October 22nd, 2009
11:41 am
going –
“its lagging by about 6 million from where the Pres said it was going to be?”
considering continuing claims IS 6 million, I don’t think so … but nice try …
USinUK
October 22nd, 2009
11:43 am
“If Obozo really thinks $250 will stimulate anything then we truly are without hope.”
hrm … so it WAS a stimulus when Bush did it (twice), but ISN’T a stimulus when Obama says he wants to do it …
thanks, whiner
Marsh
October 22nd, 2009
11:43 am
Grab a mop!
thomas
October 22nd, 2009
11:43 am
Jay a list………..which of our senator want our country deeper in debt?
Do I need to report you to the white house? Will have to do it some other time besides 5pm or 9pm though. Those are the hours that NEWS programming not Opinion entertainment, ya know.
any word on when that list will be coming out? Who voted to push us even deeper into debt?
I Report :-) You Whine :-( mmm, mmmm, mmmmm!
October 22nd, 2009
11:44 am
Now here are some real green shoots of hope-
WASHINGTON — The number of Americans who believe there is solid evidence that the Earth is warming because of pollution is at its lowest point in three years, according to a survey released Thursday.-Urinal
Not the fake poll results but the fact that the AJC has to admit the fallacy of man made global warming.
Peadawg
October 22nd, 2009
11:45 am
“hrm … so it WAS a stimulus when Bush did it (twice), but ISN’T a stimulus when Obama says he wants to do it …”
Ya I don’t know about Whiner, but I was against it when Bush did and I’m still against it now. Throwing more money out there has NOT created jobs or anything else for that matter. It has paid for executives’ bonuses though!!! That’s not the CHANGE I was HOPING for.
stands for decibels
October 22nd, 2009
11:46 am
Jeepers, Jay, did you wave a foam index finger around the office and shout “We’re Number One! U-S-A! U-S-A!” when you heard the news?
getalife
October 22nd, 2009
11:48 am
“Pickens: U.S. Firms Are ‘Entitled’ To Iraqi Oil
Oil tycoon T. Boone Pickens, in an address to the Congressional Natural Gas Caucus on Wednesday, noted that Chinese companies are winning contracts in Iraq while Americans have been left out: “They’re opening them (oil fields) up to other companies all over the world … We’re entitled to it. Heck, we even lost 5,000 of our people, 65,000 injured and a trillion, five hundred billion dollars.”
China’s economy grew and they said thanks for the oil w.
Geez.
USinUK
October 22nd, 2009
11:52 am
“Not the fake poll results but the fact that the AJC has to admit the fallacy of man made global warming”
um. just because fewer people believe that climate change is man-made doesn’t make the facts untrue any more than just because 30% of americans believe in the literal version of the creation story DOES make it true.
stands for decibels
October 22nd, 2009
11:53 am
Oil tycoon and Swift Boat Liars bankroller/welcher T. Boone Pickens
fyt.
Sunshine and Thunder
October 22nd, 2009
11:54 am
Think about it. Everyone in congress generally agrees that deficit spending is bad. Yet that is the one thing congress never puts a stop to. They can’t accomplish something that they all agree on. Why should they be able to accomplish anything worthwhile?
USinUK
October 22nd, 2009
11:57 am
Peadawg –
“Throwing more money out there has NOT created jobs or anything else for that matter”
sorry, but the economy is turning around, whether you and going broke and booger want to admit it or not.
thomas
October 22nd, 2009
11:58 am
USinUK,
But didn’t France and Germany use much, much lower amounts of money in their stimulus packages?
Also I believe with less money they were also able to do a much better job with the “shovel ready” thing? Seems their employment did see an upturn. So maybe, just maybe not all 800 Billion was needed for this stimulus?
But I would never in my wildest dreams expect you to be able to admit that much of the stimulus bill was not to stimulate the economy, but instead was a way to not let a good crisis go to waste (gee have I heard that before)and was a backdoor to get some money diverted to organizations and causes that they(the adminstration) saw fit.
Partisianship is your bag baby!
Taxpayer
October 22nd, 2009
11:59 am
It’s odd that we had to elect someone that the Republicans hate in order to get them to re-start the spewing of their fiscal responsibility mantra. Why it seems as though it was only yesterday when they were claiming that debts and deficits were good.
thomas
October 22nd, 2009
12:00 pm
USinUK,
Economy turning around, wait until all of the Prime Mortgages start to default. Which a close friend in the banking industry said is going to be a big problem.
Why do you think that the PRIME mortgages are now starting to forclose?
I Report :-) You Whine :-( mmm, mmmm, mmmmm!
October 22nd, 2009
12:00 pm
Peadawg- I dislike all government bailouts, porkuluses and take overs, no matter who perpetrates them.
~~~~~
al-Gitmo: There are no more oil companies stupid enough to call the United States home, where they will be taxed and whined at by legions of dimwits.
Who’s fault is that?
Turd Ferguson
October 22nd, 2009
12:08 pm
“Obobo weighing ninety-eight pounds
Will get sand in his face
When kicked to the ground
And soon in the gym
With a determined chin
The sweat from his pores
As he works for his cause
Will make him glisten
And gleam, and with massage
And just a little bit of steam
He’ll be tan and quite clean
He’ll be a strong man
Oh, honey! but the wrong man…”
Peadawg
October 22nd, 2009
12:09 pm
“sorry, but the economy is turning around, whether you and going broke and booger want to admit it or not.”
How many are unemployed again? mmmmmmmm
Turd Ferguson
October 22nd, 2009
12:10 pm
Prime mortgage default and the upcoming additional 11.3% of decline in home values should help offset any progress.
The Master of Disaster, Obobo, has yet to really get moving…be ready.
USinUK
October 22nd, 2009
12:13 pm
thomas –
“But didn’t France and Germany use much, much lower amounts of money in their stimulus packages?”
considering they have smaller economies, I should hope they used smaller amounts of money. additionally, they had other programs (such as paying companies a %% of their payroll costs in return for not laying off employees).
French unemployment is at 9.1 and rising – German unemployment is at 8.3 and stable
“wait until all of the Prime Mortgages start to default”
prime mortgages have BEEN defaulting (you should tell your banking friend to pay closer attention)
“But I would never in my wildest dreams expect you to be able to admit that much of the stimulus bill was not to stimulate the economy”
considering only about a third of the stimulus has actually been spent, I’d say keep your shorts on …
I Report :-) You Whine :-( mmm, mmmm, mmmmm!
October 22nd, 2009
12:16 pm
The Labor Department said Thursday that new jobless claims rose to a seasonally adjusted 531,000 last week, from an upwardly revised 520,000 the previous week. Wall Street economists had expected only a slight increase, according to Thomson Reuters.
mmm, mmmm, mmmmm!
Yo'momma Obama
October 22nd, 2009
12:16 pm
The only “green shoots” out there are rolled up into joints that Barry and his pals Ayers and Chomsky are smoking…….especially now that he’s made them legal