The Patriot Post® · Keynesian Calamity
Despite the Obama administration and Democrats bewailing income inequality, it is their steadfast determination to expand government and continue embracing Keynesian economic theories that have done more than anything else to exacerbate that inequality. Without getting into the eye-glazing details, understand that this bunch fervently believes that shoveling trillions of dollars into the economy … is the ultimate solution to all of our economic problems, because it will create a “wealth effect” that in turn will spur the consumer spending necessary to “jump start” the economy.
Six years and $7 trillion later, we’re still waiting for liftoff. …
We’re amassing the largest “bar tab” in the history of mankind. And the only reason we’re still getting beer is because entities like the European Union, China and Japan are running up their own tabs, and we look like less risky drunks by comparison. Why don’t we stop? Because no one wants to deal with the pain of getting “sober,” aka living within our means. …
The course we are currently on as a nation is economically unsustainable. And anyone who tells you otherwise is an abject liar. And as I’ve said before, politicians and their media cheerleaders lie unabashedly. Mathematics does not.
In the Sun Also Rises, Ernest Hemingway had a character maned Bill Gorton who asks another character, the formerly affluent affluent Mike Campbell, “how did you go bankrupt?” To me, Campbell’s reply feels like a harbinger of the times. “Two ways…Gradually and then suddenly,” he answered. We already know what the “gradually” part feels like. The “suddenly” part appears when those dedicated to kicking the can down the road – run out of road.