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Politics : John McCain for President -- Ignore unavailable to you. Want to Upgrade?

To: Little Joe who wrote (5857)	11/10/2008 12:29:27 PM
From: Kenneth E. Phillipps	Respond to of 6579

WW2 was the biggest government jobs creation progam of all. It worked.

To: Little Joe who wrote (5857)	11/10/2008 7:30:58 PM
From: RetiredNow	Read Replies (3) \| Respond to of 6579

OK, but why did WWII pull us out of the Great Depression then? We increased our deficit spending even further during WWII as our gov't paid the manufacturing base to convert to wartime materiel and hire more workers. The long and short of it is our gov't put people to work. So doesn't that also prove that deficit spending works? I don't think the answer is that clear cut, though. I believe that it depends on what kind of deficit spending you do. If you spend more on expenses like these ridiculous stimulus bills, then the money goes in consumer pockets and then straight to China. But if we spend on infrastructure and investments in the alternative energy industry, then those things will have a positive ROI over the long run. So my belief is that it's ok to run deficits in the short run, if they spend the money on the right things. Very similar to the way VCs invest in small start ups. They expect and get good returns.