SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : Liberalism: Do You Agree We've Had Enough of It?
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: rich evans who wrote (62357)4/2/2009 11:33:53 AM
From: TimF2 Recommendations  Read Replies (1) of 224754
 
The majority is spending not lending. Some of that spending may possibly be categorized as investment, but not in the sense that it will have a noticeable direct financial return to the government, but that it might help the economy, and thus eventually help tax receipts. For example a bridge built in a place where its very useful, isn't wasted spending, it has aspects of investment, but it is still spending it isn't a loan or a financial investment in the normal sense of that term.

Actually probably all of it is spending. Loans get accounted for differently, and loan guarantees don't show up as spending at all (at least not until they are exercised). Loans and loan guarantees are in addition to those spending figures. Even if the loans where counted as spending, the government loaned out a lot of money in the past as well, so you can't just subtract out the loans today when your making comparisons to past budgets. Also you have to consider how many of the loans are bad loans, or partially bad loans, that will never be fully paid back.

Also government spending isn't just an issue of fiscal balance, but also one of the size of the government. Government spending as investments of any kind, including actual loans including good ones, are an increase in the size and level of intervention of the government which should be accounted for.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News