Opinion War Room Government Shutdown over/under predictions

[avenue94]

@Bwagster

We need more DOGE and Russ Vought cuts. Make the government smaller and more efficient. Eliminate the waste fraud and abuse.
Maybe one day we can have a balanced budget.

The tariffs are helping a lot.
Federal Reserve rate cuts would lower the cost of servicing the debt. It's costing over 1.2 trillion now. Could be less than half that.

Except DOGE literally cost the goverment more money than it saved.

Tariffs are a terrible way to balance budgets and waybless efficiency than income tax or other taxes aimed at higher income people.

 

[Bwagster]

@Bwagster

We need more DOGE and Russ Vought cuts. Make the government smaller and more efficient. Eliminate the waste fraud and abuse.
Maybe one day we can have a balanced budget.

The tariffs are helping a lot.
Federal Reserve rate cuts would lower the cost of servicing the debt. It's costing over 1.2 trillion now. Could be less than half that.

I’m 100% in agreement with you!

 

[Bwagster]

That is the downside to that approach. It's not perfect but I think it's the lesser evil. Not to mention you can integrate immigrants while technology develops more.

And what do you mean by health care shortages?

Healthcare workers.

 

[N13]

I’m 100% in agreement with you!

My Medicare theory would mean that it is budget neutral.

 

[N13]

Tariffs are a terrible way to balance budgets and waybless efficiency than income tax or other taxes aimed at higher income people.

Would you prefer that the government borrow that money from the federal Reserve plus interest instead?

Tariffs do not result in additional inflation. It's money that is already in circulation.

 

[N13]

Except DOGE literally cost the goverment more money than it saved.

What the hell are you talking about Willis?

Can't tell if you are serious.

Are you going to give me some "fuzzy" math?

 

[avenue94]

Would you prefer that the government borrow that money from the federal Reserve plus interest instead?

Tariffs do not result in additional inflation. It's money that is already in circulation.

We could raise taxes in less regressive ways than tariffs.

And yes tariffs result in inflation lol.

 

[avenue94]

What the hell are you talking about Willis?

Can't tell if you are serious.

Are you going to give me some "fuzzy" math?

They cut the IRS, which decreased revenue more than the spending that was cut. Not to mention a lot of the cuts lead to higher costs down the road.

 

[avenue94]

Healthcare workers.

You can target them but the US needs labor in many industries beyond it.

 

[N13]

@avenue94

Cliff notes: Inflation is a function of the supply of money.
When the government spends more than it is taking in, it has to borrow that money from the federal Reserve plus interest. More money means that it dilutes what is already in circulation.
Then there are the activities of the federal Reserve separate from government spending. The more money they create, the greater the inflation.

So far, tariffs have resulted in little inflation if any. Check the inflation stats over the last 10 years. You'll see.

Inflation was over 7% during the Biden administration. How did it get so high?
It's only 2.9% now. How did that happen?

 

[avenue94]

@avenue94

Cliff notes: Inflation is a function of the supply of money.
When the government spends more than it is taking in, it has to borrow that money from the federal Reserve plus interest. More money means that it dilutes what is already in circulation.
Then there are the activities of the federal Reserve separate from government spending. The more money they create, the greater the inflation.

So far, tariffs have resulted in little inflation if any. Check the inflation stats over the last 10 years. You'll see.

Inflation is a function of supply and demand, whether money, goods or services.

Inflation skyrocketed during Covid because supply fell while demand was steady, or even increased. Then it was falling again after Covid and should have continued this year, but Trump's asshattery reversed that trend.

Keep in mind 2025's inflation is after he walked back a lot of his most damaging ideas.

Why do you think home appliance and electronic costs increased this year? Just because the gods willed it?

 

[N13]

Inflation is a function of supply and demand, whether money, goods or services.

Inflation skyrocketed during Covid because supply fell while demand was steady, or even increased. Then it was falling again after Covid and should have continued this year, but Trump's asshattery reversed that trend.

Keep in mind 2025's inflation is after he walked back a lot of his most damaging ideas.

Why do you think home appliance and electronic costs increased this year? Just because the gods willed it?

Keynesian economics is bullshit. Inflation is 2.9% now. How did it drop so much from where is was prior to Trump taking office a second time?

Covid began under Trump. His covid policies were idiotic and horrific. Biden's were even worse. But inflation was around 2% when Biden took office.

Hint: look at government spending during this time. Excessive, and when you increase the supply of money like that, you get massive inflation.

 

[avenue94]

Keynesian economics is bullshit. Inflation is 2.9% now. How did it drop so much from where is was prior to Trump taking office.

Covid began under Trump. His covid policies were idiotic and horrific. Biden's were even worse. But inflation was around 2% when Biden took office.

It dropped as people slowed spending and supply improved. The US also vastly outperformed nearly every other developed economy with inflation.

If inflation was the result of money supply primarily, why does it impact some products more than others?

 

[N13]

If inflation was the result of money supply primarily, why does it impact some products more than others?

Example: when interest rates are high, it is more costly to buy a home or a car.

We can thank the federal Reserve for that as well as massive government spending.

 

[avenue94]

Example: when interest rates are high, it is more costly to buy a home or a car.

We can thank the federal Reserve for that as well as massive government spending.

Then why were GPUs, computers, and excercise equipment harder hit with inflation?

 

[N13]

Then why were GPUs, computers, and excercise equipment harder hit with inflation?

Why do you assume that inflation has to be the same for all goods and services?

It's never been that way.

Maybe those are inelastic goods.

 

[avenue94]

Why do you assume that inflation has to be the same for all goods and services?

It's never been that way.

Maybe those are inelastic goods.

You argued inflation is due to money supply. If that was the case, it would affect products similarly.

Now you're arguing its due to inelastic demand, which flies in the face of you ridiculous claim.

So which is it, is inflation due to money supply or some other factors?

 

[N13]

You argued inflation is due to money supply. If that was the case, it would affect products similarly.

Now you're arguing its due to inelastic demand, which flies in the face of you ridiculous claim.

So which is it, is inflation due to money supply or some other factors?

It's all connected.

 

[avenue94]

It's all connected.

Which wasn't your original claim, which you tried defending until you realized it was dumb.

Both in arguing money supply was the primary cause and that inflation hasn't happened this year.

 

[N13]

Which wasn't your original claim, which you tried defending until you realized it was dumb.

Both in arguing money supply was the primary cause and that inflation hasn't happened this year.