A scholar of the American Enterprise Institute, Kevin A. Hasset, writes in Enjoy Stimulus Now, Pay Your $14,000 Share Later that it is expected Federal Budget Deficit of 1.7 trillion. Compared to the Bush Era, who championed de deficit course, it means that Mr Obama is going to dramatically increase the public debt to to stimulate the economy. The decision implies each American taxpayer is going to pay a bill of $14,000 in the next years to support the injection of money now to fight against financial crisis.
«That is $1.7 trillion in future taxes. Nobody knows exactly when the tax hike will come. It might even be that we shall try to foist the costs on our children. Still, those planning their financial futures should account for the dramatically higher taxes that will be the result of this year’s policies».
From an individual focus, the economic perspectives are hopeless. People support the big financial support of mortgages and personal loans and they have to pay more taxes to maintain the financial system which is the main responsible of this irrationality.
Kevin Hasset thinks it is a non-acceptable policy and I agree with that. However, it is necessary to point out that American Enterprise Institute has promoted public policies which have contributed to a huge public spending, like oil wars or ubiquous counter-terrorism military strategies. Also, they have asked for the limitation of public control of financial movements. And now, where is the money?