How do politicians predict this stuff?

The government deficit is supporting the private sector. Removing that support will collapse private sector revenues and investment, which will in turn collapse tax revenues.

 

I'm mildly flattered that I am the one who finally motivated you to post something.

 

Here's a prediction for ya:


http://cnsnews.com/news/article/rep-ryan-obama-s-budget-path-do-nothing

“I asked CBO to run the model going out and they told me that their computer simulation crashes in 2037 because CBO can’t conceive of any way in which the economy can continue past the year 2037 because of debt burdens,” said Ryan.

 

Here's some charts to go with the numbers...



http://www.ritholtz.com/blog/2011/04/ryan-v-obama-some-chart-porn/

 

Frank is right, I have that Texas school book with me and it says america is headed in the same direction as the Roman empire, on the road to destruction. The Texas school book says the main causes for the collapse of Rome was:

1. Teachers unions
2. Acorn
3. Community Reinvestment Act
4. Paulus Krugmanus adivising Rome to keep spending
5. Flagburning
6. Gay Marriage
7. Elected officials not wearing lapel pins of the state flag
8. Bill Clinton
9. Caeser not having a Roman birth certificate
10. Muslims
11. Hope and change
12. POMO started buying tulips, twisty sticks and that wax candy with the cool aid inside - dumest form of candle ever made but no doubt all Fed officials are addicted to it
13. Rebecca Black sang "Friday"

 

I have heard this argument before. But what about all those rogue economists and business owners who say that the government has priced them out of the Market on access to knowledge workers and pushed them out of the Capital Markets?

I mean what person in govt (in say - Canada) would bother to start a business themselves, or go work for a small business with limited wage and benefit structure when they could make 100k+ a year and get all sorts of additional benefits- health care, retirement plans, daycare... etc just for showing up 8:30 to 4:30 pm each day with an hour lunch, and never do any real tangible work - you just monitor and observe....

Additionally... you can argue that bankers are the first in line to put the rubber stamp on government projects because they know governments can always print money to pay the debt - while the private sector can't print its way out of trouble. So the private sector becomes a less than desirable object for the banking sector to invest in, further evidence that the private sector has been undermined by government debt.

 

All Politicians lie!!!!

Do you actually believe any of that garbage??

I sure don't....

 

Wow now the Heritage Foundation changed the projected unemployment number for 2021 to be 4.3% and nothing else changes! Republicanism at its finest.

 

From Krugman's blog, Housing unicorn



Update: according to the Heritage forecast, housing investment in 2015 would be back to its level in 2006 — at the height of the housing bubble.

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This is what happens when private money buys "think tanks." Although in some economic departments, this is just Wednesday.