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| Economy |
| Senator Gregg: 'This country will go bankrupt' |
| 2010-04-06 |
| WASHINGTON (CNN) -- Even though he was almost a member of the new Obama administration, New Hampshire Republican Judd Gregg Sunday slammed President Obama's approach to handling the country's fiscal outlook. Gregg, known as one of the keenest fiscal minds on Capitol Hill, also told CNN Chief National Correspondent John King that he thought it was "almost unconscionable" for the White House to continue with its planned course on fiscal matters with unprecedented actual and projected budget deficits in the coming years. "It is as if you were flying an airplane and the gas light came on and it said 'you 15 minutes of gas left' and the pilot said 'we're not going to worry about that, we're going to fly for another two hours.' Well, the plane crashes and our country will crash and we'll pass on to our kids a country that's not affordable." Despite his criticism of Obama's approach to the long-term finances of the country, Gregg praised how Obama's top economic lieutenants are trying to get the sick banking system back to health. "They're doing the right things," Gregg said about embattled Treasury Secretary Timothy Geithner and White House economic adviser Larry Summers. "They haven't done it as definitely as they should have . . . but they are moving in the right direction and the Fed is moving in the right direction," Gregg said on CNN's State of the Union. Gregg broke ranks with some of his fellow Republicans and said he did not think Geithner should step down from his Cabinet post. On the recent scandal of more than $150 million in bonuses paid to the AIG employees whose work pushed the financial giant to the brink of collapse, Gregg criticized the plan afoot on Capitol Hill to tax those bonuses at very high rates. But, Gregg pointed out that the Obama administration and, to some extent, the Bush administration before it failed to "discipline" the bonuses paid out by AIG, which is now 80 percent owned by the federal government. The Republican senator was appointed to be Obama's Commerce Secretary but then bowed out unexpectedly, citing policy differences with the Democratic administration. "The practical implications of this is bankruptcy for the United States," Gregg said of the Obama's administration's recently released budget blueprint. "There's no other way around it. If we maintain the proposals that are in this budget over the ten-year period that this budget covers, this country will go bankrupt. People will not buy our debt, our dollar will become devalued. It is a very severe situation." |
| Posted by:Besoeker |
| #8 known as one of the keenest fiscal minds on Capitol Hill Which means what? It means he can win on "Are You Smarter Than a Fifth Grader?" about half of the time. |
| Posted by: DMFD 2010-04-06 20:16 |
| #7 Not to bash Gregg in particular but do we elect morons to Congress or does Congress change them? Im betting on the later. |
| Posted by: rjschwarz 2010-04-06 12:28 |
| #6 Problems will strike at the state & local level first: April 5 (Bloomberg) -- Los Angeles will run out of cash on May 5, city Controller Wendy Greuel said today in a release in which she requested a $90 million transfer of reserve funds to pay bills. |
| Posted by: Anguper Hupomosing9418 2010-04-06 11:48 |
| #5 Sen. Gregg is a day late and a dollar short with his brilliant insight. This Congress has systematically destroyed this economy and its currency. Too bad there is no accountability for congress. |
| Posted by: Alaska Paul 2010-04-06 11:37 |
| #4 Moe's was the keenest mind among the Stooges. |
| Posted by: Fred 2010-04-06 11:27 |
| #3 known as one of the keenest fiscal minds on Capitol Hill Which means what? |
| Posted by: g(r)omgoru 2010-04-06 11:20 |
| #2 P2K is right. Bankruptcy is looked at if you owe 50% of your yearly income and can't pay it back in a timely manner. The US is pretty much bankrupt since our "earning levels" (see tax income) is tanking thanks to a depression. It will get worse. A lot worse. |
| Posted by: DarthVader 2010-04-06 10:40 |
| #1 Senator Gregg: 'This country FIFY Senator. You're already borrowing at levels that you can't pay now, or ever and still have a viable economy or government. That is bankrupt. |
| Posted by: Procopius2k 2010-04-06 10:23 |