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Originally Posted by Iriemon  I definitately agree the Govt needs to cut spending. But what to do until that happens? Keep running up the debt? |
Don't forget about printing money, we seem to love doing that too.
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I reckon if taxes were raised enough to cover spending, and people felt the cost of the spending including the wars which now are painless to tax payers, you'd see a whole lot more focus on what the government is spending.
As long as the Govt just keeps borrowing from China, there is no pain to taxpayers and therefore no incentive to cut spending.
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I wish this were so easy, I would be all for it. Unfortunately a heavily progressive tax system also prevents a majority of voters from experiencing the real burden of this spending. In that regard, our debt (and printing of new money) is the great equalizer. The inflation it causes is shared by all (even foreign countries share this hidden tax
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