Forget Balancing the Budget โ€“ Let's Think Big

Okay, so our pal Sen. Mitch McConnell (R-Ky.) has done a budget deal with Sen. Chuck Schumer (D-N.Y.) that does not do a thing about moderating spending, let alone balancing the federal budget. And this, we understand, is a Very Bad Thing. But how bad is it?  Here is a chart of U.S. deficits since 1950, in percent of GDP. The worst deficits were incurred after the Crash of 2008.  But that is a Good Thing, because after defense, the most important job for government is to be lender of last resort in a financial meltdown.  Oh, and the reason we had a crash at all is because Gentle Ben Bernanke choked in September 2008 as lender of last resort and decided that he didn't have the authority to bail out Lehman Brothers.  Ben, oh Ben.  How could you? Then there were the Reaganite 1980s with deficits of 4 percent of GDP.  But since Reagan was busy winning the Cold War while reviving the U.S. economy and killing...(Read Full Article)