IMF and the Jobs Plan

Quote :

As growth lags, IMF shifts gears

BRUSSELS — The International Monetary Fund, known throughout its history for urging governments to slash their budgets, is now worried that a global round of austerity may trigger a new recession and is urging countries to look for ways to boost growth.

On Monday, the agency warned the world’s leading economies that belt-tightening by governments, companies and consumers has been become so aggressive that the global economy could falter because of anemic demand.

“The immediate risk is that the global economy tips into a downward spiral. . . . Even in a less severe scenario, key advanced economies could suffer from a protracted period of low growth,” the IMF said. The agency report urged all but the most debt-strapped nations to boost growth through expansive government budget and spending policies or through central bank measures such as lowering interest rates to stimulate the economy.

. . .

The IMF singled out President Obama’s $447 billion proposal to lift the economy and create jobs through a combination of tax breaks and new public spending. While the cost could add to the huge national debt, agency officials said the U.S. government should put an immediate priority on fighting unemployment, even if this means slowing the rate at which federal deficits are reduced. Obama’s plan, however, has poor prospects on Capitol Hill.

Interesting.

Heretic wrote:

Quote :

As growth lags, IMF shifts gears

BRUSSELS — The International Monetary Fund, known throughout its history for urging governments to slash their budgets, is now worried that a global round of austerity may trigger a new recession and is urging countries to look for ways to boost growth.

On Monday, the agency warned the world’s leading economies that belt-tightening by governments, companies and consumers has been become so aggressive that the global economy could falter because of anemic demand.

“The immediate risk is that the global economy tips into a downward spiral. . . . Even in a less severe scenario, key advanced economies could suffer from a protracted period of low growth,” the IMF said. The agency report urged all but the most debt-strapped nations to boost growth through expansive government budget and spending policies or through central bank measures such as lowering interest rates to stimulate the economy.

. . .

The IMF singled out President Obama’s $447 billion proposal to lift the economy and create jobs through a combination of tax breaks and new public spending. While the cost could add to the huge national debt, agency officials said the U.S. government should put an immediate priority on fighting unemployment, even if this means slowing the rate at which federal deficits are reduced. Obama’s plan, however, has poor prospects on Capitol Hill.

Interesting.

Yes indeed it is. A complete 180 from the IMF. Hopefully, Congress will get the message.

Thanks for the link.

Just more evidence that the problem our economy is having is a lack of demand, the lack of the average working family having enough to spend, rather than the rich not being rich enough as to finally trickle down to the rest of the country.

None of the Republican economic plans seem to take this into account, which is why I (and a lot of economists) don't think they'll work.

chuckmo48 wrote:

Heretic wrote:

Just more evidence that the problem our economy is having is a lack of demand, the lack of the average working family having enough to spend, rather than the rich not being rich enough as to finally trickle down to the rest of the country.

That is the whole thing in a nutshell...Which most cons do not understand...geez trickle down did not work 30 years ago...why would anyone would think it would work now?

SECONDED!!!!! Trickle down means everyone goes down.

What really never ceases to amaze me is this:

Not ONE politician GETS IT. All they care about is the campaign funding. Fluck everyone else. They shipped the jobs overseas and Americans can no longer afford their products.

Thank the off-shore banking industry, the lobbyists, all the way to the POTUS of any year after year.

You can't put your finger on it, but you know the many factors that led us to "trickle down economics".

I would like to thank President Obama campaigning on the taxpayers dime right now, in a Canadian built bus, yelling, "Congress doesn't understand the Jobs Bill, so we have to present it in little pieces".

You know how stupid he makes us look?

There is no such thing if you use common sense as a "job bill". Job Bills don't create jobs. Giving money away is his mentality, and sorry the STIMULOUS didn't work the last time! Didn't know he was so clueless that he still makes up excuses people are not buying.

He is the worst POTUS next to BUSH.

I don't know why people "elect" people now'a'days.

POTUS should know in his heart he let America down. (No, I sat back and anticipated it; I didn't vote for something too good to believe!)

He should just excuse himself from even trying to run on campaign money and empty promise. This time, I doubt all the money in the world could get this fool elected again.

He's wasting our time and HIS time on earth.

UrRight wrote:

I would like to thank President Obama campaigning on the taxpayers dime right now, in a Canadian built bus, yelling, "Congress doesn't understand the Jobs Bill, so we have to present it in little pieces".

You know how stupid he makes us look?

Is he making us look stupid or is it the Republicans who can't grasp evolution, global warming, economics, or the energy crisis?

UrRight wrote:

I don't know why people "elect" people now'a'days.

Because every four years we're given two choices. The last election was a really easy one.

Obama > Palin

Bad as he is, it's better than the alternative (and still continues to be, judging from the next round of GOP hopefuls).