My Response to Donald Luskin's NRO Article

I couldn't disagree with you more. I cannot agree that our government's obligation to pay back borrowings means a "crisis." Tax cuts were given which ate up our surplus and now we're incurred a huge deficite. It should not be the creditor's obligation to "forgive" debt to a debtor that took a voluntary cut in pay and then went on a spending spree. This government badly needs to get back to fiscal responsibility or we are headed to to the fiscal devastation of Argentina.

It's not SSI's fault -- it's the fault of politicians who are playing a shell game of smoke and mirrors pretending to cut taxes while stealing the insurance premiums. Get rid of the theft, balance the budget and collect taxes honestly, pay off the debt to SSI and suddenly the crisis is gone.

"Spend now, pay later" is the crisis and SSI should NOT have to pay the price for the reckless spending and revenue cutting that these last 4 years have been famous for.

You are misleading people by characterizing obligation to pay back debt as a "crisis" -- I bet Visa and Mastercard wouldn't agree with you.

Jane Johnson


U P D A T E

Here's his response back to me:


Date:
Tue, 11 Jan 2005 22:29:39 -0800
From:
"Donald L. Luskin"
To:
"Jane Johnson"
You may be entirely correct in your assessment of the moral nature of
the crisis. But don't kid yourself. It's still a crisis.
-=-=-=-=-
Donald L. Luskin
Chief Investment Officer
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