Here are some appropriate pieces of an article I saw today. I hope Congress gives heed.
WASHINGTON – Federal Reserve Chairman Ben Bernanke is urging Congress and the Obama administration to start plotting a strategy to curb record-high U.S. budget deficits. Failing to do so could eventually erode investor confidence and endanger the economy's prospects for long-term health, he said.
Bernanke's comments, in prepared testimony Wednesday before the House Budget Committee, come as concerns grow at home and overseas about the United States' mounting red ink.
"Even as we take steps to address the recession and threats to financial stability, maintaining the confidence of the financial markets requires that we, as a nation, begin planning now for the restoration of fiscal balance," Bernanke said.
The White House estimates that the government will rack up an unprecedented $1.8 trillion budget deficit this year. That would be more than four times last year's all-time high.
The recession has taken a bite out of tax revenues paid by people and companies. At the same time, the government's spending has risen, paying billions to shore up banks, help the unemployed and others hurt by the downturn, the longest since World War II.
Bernanke said that such forceful government intervention to fight the worst financial crisis since the 1930s and lift the U.S. out of recession was "necessary and appropriate" even though it worsened the nation's budget deficit.
Bernanke acknowledged that Congress and the administration face "formidable near-term challenges" that must be addressed as they take steps to stabilize the financial system, reduce home foreclosures and spur banks to lend more freely. The success of these efforts will be crucial to turning the economy around.
At the same time, Bernanke warned politicians not to let those challenges "hinder timely consideration of the steps needed to address fiscal imbalances."
He cautioned: "Unless we demonstrate a strong commitment to fiscal sustainability in the longer term, we will have neither financial stability nor healthy economic growth."
(end article)
The numbers I shared in my post regarding the future as it relates to health care reform are not a false alarm. Our country needs to change course or we will all feel the pain that comes from "neither financial stability not healthy economic growth." Now isn't the time to increase the deficit for anything short of self defense & preservation. After all, this was the original & core intent for public credit.
The rest of this article can be viewed by clicking on the link below.
Found on June 3, 2009 at http://news.yahoo.com/s/ap/20090603/ap_on_bi_ge/us_bernanke
WASHINGTON – Federal Reserve Chairman Ben Bernanke is urging Congress and the Obama administration to start plotting a strategy to curb record-high U.S. budget deficits. Failing to do so could eventually erode investor confidence and endanger the economy's prospects for long-term health, he said.
Bernanke's comments, in prepared testimony Wednesday before the House Budget Committee, come as concerns grow at home and overseas about the United States' mounting red ink.
"Even as we take steps to address the recession and threats to financial stability, maintaining the confidence of the financial markets requires that we, as a nation, begin planning now for the restoration of fiscal balance," Bernanke said.
The White House estimates that the government will rack up an unprecedented $1.8 trillion budget deficit this year. That would be more than four times last year's all-time high.
The recession has taken a bite out of tax revenues paid by people and companies. At the same time, the government's spending has risen, paying billions to shore up banks, help the unemployed and others hurt by the downturn, the longest since World War II.
Bernanke said that such forceful government intervention to fight the worst financial crisis since the 1930s and lift the U.S. out of recession was "necessary and appropriate" even though it worsened the nation's budget deficit.
Bernanke acknowledged that Congress and the administration face "formidable near-term challenges" that must be addressed as they take steps to stabilize the financial system, reduce home foreclosures and spur banks to lend more freely. The success of these efforts will be crucial to turning the economy around.
At the same time, Bernanke warned politicians not to let those challenges "hinder timely consideration of the steps needed to address fiscal imbalances."
He cautioned: "Unless we demonstrate a strong commitment to fiscal sustainability in the longer term, we will have neither financial stability nor healthy economic growth."
(end article)
The numbers I shared in my post regarding the future as it relates to health care reform are not a false alarm. Our country needs to change course or we will all feel the pain that comes from "neither financial stability not healthy economic growth." Now isn't the time to increase the deficit for anything short of self defense & preservation. After all, this was the original & core intent for public credit.
The rest of this article can be viewed by clicking on the link below.
Found on June 3, 2009 at http://news.yahoo.com/s/ap/20090603/ap_on_bi_ge/us_bernanke
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