Jun 01 2010

Who Ate the Dessert?

Deficit mania ignores growth of income gap

No sooner had the unemployment rate dipped from its January high of 10 percent than the media drumbeat began: What will the Obama administration do about looming deficits? The danger, it was made clear, was both imminent and mammoth: The federal deficit, warned the New York Times (2/2/10), was on pace by 2020 to “equal 77 percent of the gross domestic product, the highest level since 1950.” The Times (1/26/10) even alluded to “perceptions that government spending is out of control” as a cause of Obama’s falling poll ratings among independents. The “out-of-control spending” theme, in fact, dominated news coverage […]