Markets politics steve mnuchin

Steve Mnuchin On Deficit, National Debt: ‘We’re At War, Chris’

"And we're gonna do whatever we need to do".

"And we're gonna do whatever we need to do".
This content has been archived. Log in or Subscribe for full access to thousands of archived articles.

6 comments on “Steve Mnuchin On Deficit, National Debt: ‘We’re At War, Chris’

  1. Anonymous

    “…you’re going to see the economy really bounce back in July, August and September.”

    Again, based on the GIANT assumption that we can leave our homes and actually go places without fearing for our health and our family’s health.

    Granted, not in Steve’s area of responsibility, but looking at the ongoing 25K to 35K daily case count increases (…with lockdown measures in place!), I’d say we’re not going anywhere for a while.

  2. The same element in the Senate (Toomey and Co.) that capped SALT in the 2017 tax bill is trying to draw the line with aid to those “high tax Blue States.” Given that the Fed has, rightly in my view, given a backseat to moral hazard, adverse selection and free riding problems (While the house is burning down is not the best time to debate whether the house was poorly designed and how much those design flaws created a fire hazard), forcing states to lay off thousands of workers and slash essential services because the Turtle’s Minions want to make an emphatic point about fiscal rectitude and profligacy among the states does not seem particularly helpful at this juncture.

  3. Spending like we are in a war (we are) is the right thing to do. However, the problem is that almost none of the money that was allocated to go to individuals (other than UI) has actually been spent yet. The Coronavirus Relief Fund has spent only $104B so far….two months after the start of the crisis. It could now be too little, too late.

  4. McConnell is fighting for senate seats. His only care.

  5. I’m still not entirely clear what it is we are attempting to stimulate. The service economy will be a shell of what it was in February for probably ever. Manufacturing will continue to suffer. The entirety of the GDP will be funded by the government. And that is just us. Global economies are in most cases worse off than the U.S. The big difference between the Covid war and armed conflicts is there were things to build following past wars. What are we going to “build” with all stimulus that is magically being created? There is no way this all ends well. We may win the war on Covid but cannot even begin to imagine how we ever battle growing budget deficits without doing what most would consider unthinkable – significantly raising taxes.

  6. This is NOT stimulus. It is simply an attempt at maintenance. In order to maintain the base of the economic pyramid, they would need to spend $7-$8T on individuals and small businesses. It has taken them two months to start spending just $104B, so I doubt there will be anything left to maintain a couple of months from know.

    However, corporations have been given access to $2T PLUS trillions more of bank-created money. All that, while most individuals (without UI or even healthcare) become economically extinct. Like always, the rich get to the life boats first.

Speak On It

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Skip to toolbar