Saturday, January 24, 2009

Debt Fret

1) Looking bad for Greece, in particular, in Euroland:
The omnipotent hand of the Greek state produced a public debt of more than 90 percent of Greece’s total economic output. The relentlessly rising demand of its consumers, who were able to put off the day of reckoning because they enjoyed the shelter of the low-inflation euro, has created a current-account deficit of 14 percent of its gross domestic product — estimated to be the highest in Europe.
2) There's also California's Tipping Point:
I think a threshold or tipping point exists in the ratio between the political power of those who pay taxes and those who consume taxes directly. After that tipping point is reached, those who pay taxes become the economic slaves of those who consume taxes.
I think California has passed that point
. [h/t
] Tax consumers now control the state government and can vote themselves almost any level of personal income and benefits they wish while taxpayers cannot muster the political capital to defend themselves. 

3) Maybe personal debt and sanity will reign in higher education costs, pricking that bubble. It might even force some universities to consider real diversity: of thought.

4) I didn't live the Bush years in the US, but The Atlantic posits they weren't so bad. The article tosses in words refreshingly true but rarely spoken:
No doubt the new guy, just like the old guy, will require unprecedented new powers to deal with the unprecedented threat to our well being. Obama is already asking for an unprecedented increase in the size of the national debt. Before we go back down that road, maybe we should stop and ask: "What crisis?''
5) President Obama has already ordered an airstrike on Pakitstani militants but the anti-war crowd's silence is deafening (but of course: our violence is OK, it's the others' whose is wrong).

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