The problem with gov spending is it has to be paid for. Either - TopicsExpress

The problem with gov spending is it has to be paid for. Either through taxing, borrowing, or inflation. All three of these are fundamental in assuring economic casualties and we have adapted the agenda of massive spending through each of these. Taxation reduces savings and undermines productivity. Less savings mean less investments, which means fewer employers are likely to hire. Borrowing does nothing but accumulate more debt. The gov borrows money just to fund deficit spending, leading to more debt. Inflation is the poor and the retirees worst enemy. Through quantitative easing and this fixation of printed money, the dollar has been stripped its purchasing power. Only the middle class are affected by these unsustainable rising prices. The U.S economy is based on cheap credit, debt-financed consumption, malinvestment, and inflationary booms.

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