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GDP does NOT = Federal Deficit, it is Federal SPENDING.. They arent the same thing..
You dont know what the hell you are talking about..
Quote:
Originally Posted by pghquest
Exactly, its Opin who said that you require federal deficits in order to grow the GDP, thats ridiculous..
If that held any truth to it, the higher deficit, the higher the GDP..
Quote:
Originally Posted by Hoonose
One can engage in all sorts of accounting shenanigans to show other purpose, but a surplus at the Federal level in essence simply reduces our National Debt by that amount. i.e as you say, pay off your treasury bills. And that exchange itself is zero sum. Now that exchange may yield more or better future GDP if the money is redirected successfully to a more productive venue.
I never said GDP = Federal deficit, did I?
Quote:
Originally Posted by Opin_Yunated
They are the same thing.
Money creation = deficit spending
GDP = Federal spending / money creation + private sector spending + net exports
One can engage in all sorts of accounting shenanigans to show other purpose, but a surplus at the Federal level in essence simply reduces our National Debt by that amount. i.e as you say, pay off your treasury bills. And that exchange itself is zero sum. Now that exchange may yield more or better future GDP if the money is redirected successfully to a more productive venue.
Exactly, its Opin who said that you require federal deficits in order to grow the GDP, thats ridiculous..
If that held any truth to it, the higher deficit, the higher the GDP..
No actually strong GDP requires more deficit spending (higher public deficit).
GDP = Federal Spending + Private Sector Spending + Net Exports
Here is where you werent COMPLETELy wrong..
Because Federal spending comes at the expense of the private sector, not in partnership to it..
Federal spending, or deficits as you post, requires the federal government to issue treasury bills which removes money from the private sector, it doesnt just poof out of thin air..
GDP = Federal SPENDING, not deficits.
+ private sector (which is public sector - federal deficits, because public sector cant spend the money they just spent on Tbills into the economy)
+ net exports
You have no idea what the hell you are talking about
So basically, you're incapable of reading a formula?
Oh I read the formula just fine, you're just WRONG.. You said Federal deficits, I even BOLDED it for you.
GDP isnt at all related to federal deficits, because deficits at the federal level come at the expense of spending in the private.. You completely ignore that tbills have to be bought by the private sector and thus no longer spent there.
Because Federal spending comes at the expense of the private sector, not in partnership to it..
Federal spending, or deficits as you post, requires the federal government to issue treasury bills which removes money from the private sector, it doesnt just poof out of thin air..
Actually, it does. The private sector doesn't issue treasury bills.
Quote:
Originally Posted by pghquest
You have no idea what the hell you are talking about
Oh I read the formula just fine, you're just WRONG.. You said Federal deficits, I even BOLDED it for you.
GDP isnt at all related to federal deficits, because deficits at the federal level come at the expense of spending in the private.. You completely ignore that tbills have to be bought by the private sector and thus no longer spent there.
GDP is absolutely related to federal deficits.
Federal deficits don't come at the expense of anything in the private sector. Federal deficits = federal spending.
I just quickly browsed a couple of pages, expecting to see the same old partisan rhetoric, and I was not surprised.
I also didn't expect to see the obvious, and again I wasn't surprised.
The obvious:
Obama is the LEADER of the nation. EVERYTHING that happens (or does not happen) on HIS WATCH is HIS FAULT. Even if he was "outside the loop" (which he should never be), and he knew nothing about it, it is HIS FAULT!
THAT is one of the penalties for wanting to be THE LEADER!
HE wanted it, HE got it (twice), now he has to man-up and accept the pain and heartache that goes with the job. If he can't take the heat, he can always get out of the kitchen.
But he won't quit (resign). He will stick it out if it kills him. It just might, it is a killer job. I sure would never ask to be put in that position!
Actually, it does. The private sector doesn't issue treasury bills.
You have yet to prove any of the formulas wrong.
of course they dont issue the treasury bill, they have to BUY THEM, which REMOVES THE MONEY FROM THE PUBLIC SECTOR..
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