Quote:
Originally posted by sebastian_dangerfield
Ty,
What exactly are we borrowing from future generations?
|
The "borrowing from future generations" is just political hotair. It is a way to dramatize a situation and make it personal to get votes but has no basis in reality.
As long as the econony grows todays deficits will be chump change for the next generation. The deficits from 1985 are puny compared to todays deficits and todays deficits will seem puny twenty years from now, let alone forty or sixty years from now.
The reasons why deficits are bad is because they crowd out investment for private use. This in turn reduces growth. So deficits reduce growth. But if you just balance the budget for twenty years running any national debt will become insignificant for "future generations".
