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Strategies & Market Trends : Galapagos Islands -- Ignore unavailable to you. Want to Upgrade?

To: MulhollandDrive who wrote (11676)	11/6/2002 10:10:01 PM
From: Jorj X Mckie	Read Replies (1) \| Respond to of 57110

ok, so we continue with deficit spending we issue war bonds we get our tax cuts Does this have an economic impact? Is it good or bad? Why are US bonds considered low risk investments? Is it because the gov't can guarantee payment of the bonds because they have the ability to tax the people...or just print money? Ok, so maybe we get a tax cut (I do agree that it is the right thing to do), but without an equivalent reduction in spending, it will show up as a negative influence in the economy somewhere else.