Debt and War

As our country enters its 4th year of war in Iraq, they are spending like mad men, and have approved another debt increase to prove it. It seems as though the "conservatives" running Washington, are anything but conservative in their approach to our country's fiscal status. As "managers" of America, they are indifferent to their projects' cost of capital, and when it comes to running the world's most influential nation, they take on debt like it's the last day of the world. Shouldn't leaders have some kind of accountability and integrity in regard to how they finance government projects? If every business the world over has to, why shouldn't the U.S.A. have to do the same?


zoe said...

I completely agree with Blake's comments on this subject. With such a large amount of debt that is continually increasing, it is beginning to spiral out of control. The "conservatives" as is stated, must realize that they cannot just keep approving debt increases as if America will never run out of money. The debt is going to be called due, it's just a matter of time, and how is the United States going to come up with such an enormous amount of money to cover the expense. I don't see how it can, unless some drastic actions are taken immediately to begin to resolve the problem that lies ahead.

will said...

War always generates money. The government may be increasing the nations debt but it is also paying more US citizens with defense contracts and military spending. Once the war is over the US will be in good terms because they will have first "rights" to buy the oil in the Middle East. I believe increasing our nations debt to pay for the war is not a bad idea.

Hannah said...

My opinion is that it doesn’t matter if the war will pay for itself or even if it’s needed. We voted in “conservatives”. That means less government, fewer taxes, and less spending.

They should be like fund managers. They should stick to the prospectus and do the best they can within that plan. If there is a war that needs to be paid for they should cut safety nets, cut domestic programs, and fund the war. If we really need to we can ration gas, plastic, etc. for the troops.

Vote for Hannah. I’ll be running in 08’.

Dr. Tufte said...

-1 on Zoe's comment for grammatical errors.

I couldn't have said it better (and I tend to support the war).

I do need to clarify two things:
1) It is Congress that controls spending. They could starve the Bush administration if they wanted to. They don't.
2) The increase in the debt ceiling is not something to worry about. This is a law they choose to have, not one that they must of should have. It is routinely increased.

The way the Republicans have run the legislative show over the last 12 years shows definitively that the problem is not with the parties but with having power.

I don't see an easy way to rein that in. It's helpful to recognize that the job of people in Congress is to spend other people's money - who wouldn't be profligate in that case.

Zoe: there is no sense in which a government that places its own debt through private issue can have the sort of crisis you envision.