Double Voodoo Economics

Recovering from the Reagan/Bush I debt took some time, but it was mitigated by their willingness to acknowledge reality and occasionally raise taxes by incremental amounts when things got too scary-- and the Internet boom. Not so with this administration, which is still pushing for tax cuts to the tune of another $70 billion. Couple that with the popularity of offshore corporate offices and unprecedented government spending on things like a dual front war and pork barrel projects, Oh, and increasing energy costs. And increasing health care costs. And increasing education costs. And outsourcing. And all those other pesky matters that are being ignored by the Republican majority.

So here's something to give you nightmares as the GOP tries to nickel and dime working class Americans by cutting social programs:

To hear Walker, the nation's top auditor, tell it, the United States can be likened to Rome before the fall of the empire. Its financial condition is "worse than advertised," he says. It has a "broken business model." It faces deficits in its budget, its balance of payments, its savings — and its leadership.

Walker's not the only one saying it. As Congress and the White House struggle to trim up to $50 billion from the federal budget over five years — just 3% of the $1.6 trillion in deficits projected for that period — budget experts say the nation soon could face its worst fiscal crisis since at least 1983, when Social Security bordered on bankruptcy.

Without major spending cuts, tax increases or both, the national debt will grow more than $3 trillion through 2010, to $11.2 trillion — nearly $38,000 for every man, woman and child. The interest alone would cost $561 billion in 2010, the same as the Pentagon. (. . .)

The White House and Congress are trying to address the nation's short-term budget deficits, but their response pales against the size of the long-term problem. President Bush proposed nearly $90 billion in savings over five years in his 2006 budget. He also tried to trim future Social Security benefits for wealthier recipients. The Senate this month approved $35 billion in savings over five years. House Republicans tried to save more than $50 billion last week, but objections from moderates stalled action. Either way, the savings could be wiped out by $70 billion in proposed tax cuts.

The disaster is looming, just as it has been for the last five years. We have everything to fear, especially Bush Republicans-- the party of cut taxes and spend anyway. I've said it before and I'll say it again. You have to concede the sheer audacity of a party that's simultaneously racking up huge debts and attempting to ensure that when the bill arrives the poorest Americans will pay the price.

Oh, and just to really be a bastard, I'll point out that we haven't actually started paying for Iraq yet-- it's all on our federal credit card. 38 grand for every citizen, huh? Good thing they've fixed it so that bankruptcy isn't an option for the wily poor....