Thread by @kurteichenwald

In 2017, I wrote that GOP tax cuts were a catastrophe for USA because they came at a time of economic strength and massive debt - something never been done in history of the world. The problem, I said, was that there would inevitably be an economic.../1

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...turn, one that could easily transform into a disaster because of the precarious nature of our fiscal house caused by the cuts. The big danger: The interest on the debt as a percent of the budget. We are borrowing more money to pay the interest, which means we are paying....,/2

...more interest, which means we have to borrow more, etc. Traditionally, during a financial catastrophe, government increases spending and cuts taxes. But, because of GOP recklessness, we did the *opposite* - increased spending and cut taxes during boom times. It is like.../3

...using the fire extinguisher when there is no fire. When fire comes along, there is nothing to put it out. Last night, @GStephanopoulos correctly asked Biden about raising taxes on wealthy during this economic crisis. The reality is, the recklessness of the GOP has left no.../4

...options. In order to pump up the stock market, they flooded economy with cash when things were strong, then the Fed did everything it could to prevent the bubble from popping by adding more cash (which it's continuing to do now, a big reason why the market is up) And Trump../5

...kept pushing & pushing for negative interest rates *in a strong economy* to keep BS valuations going. I never imagined one party would be so reckless, but there we are.

This will be *very* hard to get out of, and as usual, it is up to the democrats to fix this nightmare.../6

...but we can't cut spending without killing the economy. We cant raise taxes on the group that spends its money (middle class and below) without killing the economy. It would be best to have never had these ridiculous tax cuts, but there is no choice but to reverse the ones.../7

...for the rich. No economy can survive borrowing to pay interest on its borrowings in perpetuity. The short-term boom of the GOP will cripple this country if not managed. And they will not manage it because, like in everything else (Covid, etc) dogma trumps reality for them.../8

...I dont know if the democrats can maneuver out of this disaster. In 2009, the last time there was a GOP fiscal and economic disaster to unwind, I did not think Obama could pull it off, but he did. So I am willing to suspend my disbelief. BUT if the GOP takes the senate or.../9

...the presidency, ideology will continue to drive reality. We will be unable to fix this. And it all will come falling down because, as interest on the debt takes up more & more of the budget, investors in our debt will see what's coming & cut back on buying. We will have.../10

...to start chasing investment by raising interest rates because the risk of holding US debt will go up. (Particularly if the GOP starts talking about defaulting again, like they did during Obama.) So, on top of everything else, we are approaching a point of no return..../11

...if you are voting for your tax cuts, you're an idiot. Because this is unsustainable and what's the big deal about tax cuts when the market collapses as interest rates go up?

Vote to save this country, not for temporary and idiotic greed.