Back on March 24, President Obama stated that the US Dollar is “extraordinarily strong”. However, since 2002, the US Dollar has lost nearly 30% of its purchasing power. Many financial analysts blame this devaluation on the Federal Reserve’s excessive money printing and artificially low interest rates, as well as the profligate spending and undisciplined borrowing of the Bush administration.

As the Obama administration borrows and spends even more, and the Federal Reserve artificially depresses interest rates and prints trillions of dollars out of thin air, what will the value of our Dollar be in another seven years? Will it lose yet another 30% or more?

Those who favor a deficit as an alleged anti-recessionary measure tell us that it will be “temporary”.  But there is no such thing as temporary large-scale deficit financing.

Senator Harry F. Byrd, during the 1958 recession

According to the Wall Street Journal, Obama is pledging to cut dozens of wasteful government programs.  At this time, there are no details.  Will he cut spending by 1%, 5%, 25%, or more?   With the nonpartisan Congressional Budget Office (CBO) projecting a nearly $2 trillion federal budget deficit this year and ten more years of annual $1 trillion budget deficits, it would appear that cutting “dozens” of programs is an empty gesture.  In addition, the CBO also projects that the Obama administration will double the national debt in five years, faster even than the Bush administration who achieved this ignominious feat in eight years.  So, while the current administration tinkers at the edges with assurances of a few token cuts, budget deficits continue to explode and national debt  skyrockets.

Who are these guys kidding?  The American people are wise to this act.  To get the federal budget under control, massive cuts are needed.  Painful cuts are required.  But, you know what?  We Americans are willing to suffer some short term pain in exchange for lasting prosperity.  Apparently, our government possesses neither the vision nor the intestinal fortitude to do the same.

Read the article here.