Tuesday, March 31, 2009

U.S. Spending 100% of GDP on Bailouts and Related Programs

From http://www.infowars.com/us-spending-100-of-gdp-on-bailouts-and-related-programs/


U.S. Spending 100% of GDP on Bailouts and Related Programs
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George Washington’s Blog
March 31, 2009

As I have previously pointed out, Paul Krugman is calling for the U.S. and Europe to spend an amount equal to 4% of their gross domestic products on the financial crisis.
Today, Bloomberg notes:
The U.S. government and the Federal Reserve have spent, lent or committed $12.8 trillion, an amount that approaches the value of everything produced in the country last year, to stem the longest recession since the 1930s.
In other words, instead of spending 4% of GDP, the U.S. is committing to spending close to 100%. This dwarfs spending during the New Deal:
For those who argue that much of the trillions being spent today is in the form of loans and guarantees, I would argue that taxpayers will never see most of this money ever again. It is spent, and gone. Indeed, most of the financial giants which the loans were made to are insolvent and will be out of business in a couple of years.
A d v e r t i s e m e n t

Research related links

Consumers cut back sharply on spending
Government Bailouts Herald New Era of Tax Payer Slavery
U.S. Taxpayers Risk $9.7 Trillion on Bailouts as Senate Votes
Misguided Spending Will Only Take Us Deeper Into Depression
Pentagon Spending Billions on PR to Sway World Opinion
Now that Banker Bailout is Almost a Done Deal, Other Bailouts Loom
Europe and Japan turn cold shoulder to U.S. plea for bank bailouts
Big inflation sinks spending
Pentagon Officers in Gallery as House Debates Iraq Spending Bill
The Kucinich 9/11-related Articles of Impeachment
“Financial Wizards” Look Into “Crystal Ball” and Predict End of “Recession”
Telecom Companies in Cahoots with Illegal Bush Admin Surveillance Programs

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