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Politics : PRESIDENT GEORGE W. BUSH -- Ignore unavailable to you. Want to Upgrade?

To: DMaA who wrote (205605)	11/29/2001 2:57:49 PM
From: DuckTapeSunroof	Respond to of 769670

Highly unlikely that the administration's combined budgetary outlays (defense + transfer payments + interest payments + all other spending) will decline in real terms at all during any of his (at least) four budgets... or even reduce the average annual spending growth rate sustained over the immediate past decade. More likely we will transition to a significantly poorer annual fiscal position because of continued high outlays and rapidly rising interest payments on the growing debt; exacerbated by long term interest rates trending higher, and increasing the carrying costs of the debt while simultaneously depressing growth rates and tax revenues. The White House Budget Director (and the CBO) both make this point about long term interest rates. The first decade of the 21st. century is likely to have economic performance that is wedged between the numbers produced in the '80s and the '90s... resulting in both moderate growth rates and rising deficits and interest rates. We likely will transition from deflation to significant inflation by the end of the decade, which by then will be the only way to finance ballooning social security outlays.