“The Democrats have to stop attacking Republicans for running federal budget deficits. I know it’s political fun and that the Republicans are hypocritical about budget deficits. Deficits are going to be “massive” when an economy the size of the U.S. suffers a Great Recession. We have had plenty of “massive” deficits during our history under multiple political parties. None of this has ever led to a U.S. crisis. We have had some of our strongest growth while running “massive” deficits. Conversely, whenever we have adopted server austerity we have soon suffered a recession. In 1937, when FDR listened to his inept economists and inflicted austerity, the strong recovery from the Great Depression was destroyed and the economy was thrust back into an intense Great Depression.”
“As the polling data showed her losing the white working class by staggering amounts, in the last month of the election, the big new idea that Hillary pushed repeatedly was a promise that if she were elected she would inflict continuous austerity on the economy. “I am not going to add a penny to the national debt.”“
One of my favorite writers, Bill Black, on what austerity has wrought.
Now it is perfectly legitimate to attack the manner of creating those deficits (financial kleptocracy) and how empty they are of any public ownership.
It is a long read and a challenge for some to recognize the reality of his history without becoming defensive. But pay-go should be DEAD for the immediate future.