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21 January 2004

State of the Union

I know nothing about economics. I am an Alpha is there ever was one: I can speak languages and learn history and write essays. Just don't ask me to calculate ANYTHING.

But there is something I really think I understand. And yet I seem to be wrong. hat is it? It is the State of the Union by george Bush. He promised to do something about the unemployment in the US. He promised to boost the American economy, he promised to do something about education. However, he also said that he wants to spend considrable amounts of money on 'rebuilding Iraq'. And make sure more Americans can afford healthinsurance. And yet he wants more tax cuts.

I know my understanding of anything financial is limited but I always thought that if you spend money on one end, you have to make sure you get money back elsewhere. So if they cut taxes AND spend more money on Iraq, doesn't that mean the budget will be even more out of balance and the deficit will be even bigger than it is now? I remember when Bush started, the USA had the biggest surplus ever and now it is the biggest deficit ever. Something tels me it has to do with spending 87 BILLION dollars in Iraq AND sticking to taxcuts. And the loss of 3.9 million jobs means even less taxincome.

Now if I can see that, then why can the American voter not see that? Am I stupid? Is Bush a magician? Or is Bush stupid?

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