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Budget deficits, trade deficits and growth |
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Written by Stumo
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Tuesday, 02 February 2010 |
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Obama announced the new budget. It is a big one. Growing the past deficits.
Bush promised balanced budgets but never delivered one. Republicans are newly concerned about deficits after voting for them for eight years. Obama is doing a spending freeze in some discretionary areas, but spending on defense, Social Security, Medicaid/Medicare make those freezes miniscule.
We cannot pay our bills unless the economy grows. We cannot be a world player unless our economy grows. We cannot grow the economy if we offshore our production of food and goods and jobs with massive trade deficits. Massive trade deficits are mirrored by massive borrowing from abroad to finance our over-consumption.
As Obama said previously:
"Our prosperity provides a foundation for our power," he told cadets at West Point. "It pays for our military. It underwrites our diplomacy. It taps the potential of our people, and allows investment in new industry."
Obama's growth projections for the future are too optimistic. The government spends more than it taxes, and is projected to do so for some time.
If we fixed the trade deficit, our growth would be massive, and eliminate the public deficit problems, as well as the private debt problems.
The red area below is the growth that we could have if we fixed the trade problem. But we're shipping GDP overseas.
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In the news
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March 2-4, The Coalition for a Prosperous America
Legislative Fly-In
CPA will hold its Second Annual Legislative Fly-In on
March 2-4, 2010. This is a powerful opportunity for us to work
together to advance trade reform in the halls of Congress. We need to
bring the concerns of the grass roots to our legislators.
This is efficient advocacy, well worth your time. We make all the
meeting arrangements with legislators or their staff, we put together
materials, we plan a message, and we pack meetings together in a
concentrated period of time. You make a bigger impact with your time
using only three of the 365 days in the year.
Click here to sign up for the CPA Fly In.
CPA has a special offer--limited time only: the first 50 registrants
get a free copy of Ian Fletcher's new book: Free Trade Doesn't Work.
This is a highly acclaimed book about trade policy and the needed
changes therein.
Agenda:
March 2, 2010: 2p to 6p - Group meeting for training, talking points and team assignments
March 3-4, 2010: Hill visits
Place: Capitol Skyline Hotel, 10 I ("Eye") Street SW, Washington, DC 20024
Once you sign up with CPA, reserve your room at the Capitol Skyline
Hotel by calling 202.488.7500. You should book for the evenings of
March 2 and March 3.
If you have questions about the events, please call Sara Haimowitz,
Development Coordinator, at 413-203-1410 or email at
This e-mail address is being protected from spam bots, you need JavaScript enabled to view it
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