Glenn Beck has been derided for declaring on his radio and television shows "the worst is yet to come"
Yet, even a person with half a brain can see this coming. Everytime the Federal Government enacts a "stimulus" policy that props up state governments, props up failing portions of the economy, all it does is delay the day of reckoning.
From this article by Reuters,
"The situation is fairly poor for a lot of states around the country. In fact, most states," Vermont Governor Jim Douglas, who is chairman of the association, said at a press conference at its annual meeting.
"What we're finding out from a fiscal standpoint is that the worst is yet to come," Douglas said.
In a survey conducted last week of 45 of the 50 states, the group found that states have $18.8 billion of budget gaps yet to be closed in fiscal 2010. This comes after they have already imposed measures to eliminate budget imbalances totaling $87 billion in the fiscal year, which for most started last summer.
Either we stop with the stimulus payments which will cause a harsh reset in State government spending, or we continue printing money to prop up unsustainable spending in which case we will have a huge national reset when foreign countries quit buying our debt, or we monetize our debt and the value of our currency goes into the toilet.
Gee, which of these great options to choose from???????
No comments:
Post a Comment