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

To: TideGlider who wrote (662370)	11/24/2004 9:41:28 AM
From: DuckTapeSunroof	Read Replies (1) \| Respond to of 769670

"You certainly cannot compare the recent few years to any sort of grand rally." I didn't ('dead cat bounce in a Bear Market rally', remember?) Tonto was arguing that 'growth' would eliminate the federal budget deficit for Bush... and he used the true fact that federal tax revenues rose this year as his justification for the prediction. "...Of course once the markets are running well it it should increase the tax revenues," Yep... higher capital gains tax receipts, higher consumer spending (because of their perception of greater personal wealth), etc. "but the tax revenues don't kick start the economy." Didn't say they did. "Certainly the huge growth noted in the 80s was not associated with a grand rally." Not sure what you are trying to say with that last.... The early 'eighties benefited from the end of the stagflation of the 'seventies (after a fairly hard recession), and lower taxes (although there were Reagan tax increases also).... But, compared to the decade of the 'seventies (where the DOW finished nearly exactly where it had started) the 'eighties were halcion days for stocks. However, the budget deficits really started getting out-of-hand (spending was NEVER CUT as compared to the revenue reductions) in the second Reagan term, and into the first Bush term. The market rally of the Clinton 8 years exceeded the total size of the rally of the Reagan 8 years.

To: TideGlider who wrote (662370)	11/24/2004 9:46:57 AM
From: willcousa	Read Replies (1) \| Respond to of 769670

The markets revolve around the economy but in an extreme fashion. Thus the bubble market during the Clinton administration which they failed to do a thing about.

To: TideGlider who wrote (662370)	11/24/2004 9:46:58 AM
From: DuckTapeSunroof	Respond to of 769670

"The Federal government has maxed out its credit card," writes colleague, Dan Ferris. "So it's doing what any good American would do. "It's getting another card. "Congress is getting set to raise the federal debt limit $800 billion to $8.134 trillion. It cleared the Senate Wednesday night and went to the House last night. It's thought that this will get the government through Sept. 30, 2005." The Clinton Administration added to federal spending at a rate of 1.5% per year. George W. Bush got out the credit card and boosted spending nearly four times as fast - an annual rate of 5.1%. According to what we read, even if every ounce of gold ever mined had been available to it, the Federal government still wouldn't have had enough money to cover its deficits in George W. Bush's first term. And at the present rate, another $5 trillion in deficits is expected over the next 10 years - twice as much as all the gold ever mined. --- Daily Reckoning