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Current Events => Politics => Topic started by: 5412 on August 01, 2011, 10:37:04 PM

Title: Best & shortest explanation I have seen on the deal
Post by: 5412 on August 01, 2011, 10:37:04 PM

Hi,
 
Courtesy of Eric Fry who writes for the Daily Reckoning:
 
First, a cut in spending, as Washington defines it, is rarely a reduction in current spending. It is usually a reduction in planned future spending increases. If you or I cut spending the way Washington cuts spending, for example, we would not save $10,000 per year by cancelling our golf club membership, we would "save" $10,000 by not joining the tennis club we were planning to join next year.

regards,
5412

Title: Re: Best & shortest explanation I have seen on the deal
Post by: rich_t on August 02, 2011, 05:16:52 AM

I'd say that just about sums it up.