According to Reuters, Ron Dermer, who is a former ambassador to the US, said Israel would hear out US ideas for Rafah, but the city on Gaza’s border with Egypt would be taken whether or not the allies reach agreement. Dermer said there were four intact Hamas battalions in Rafah, bolstered by fighters who had retreated from other parts of Gaza, amounting to 25% of the group’s prewar strength. Detmer provides my Quote of the Day.
It will happen even if Israel is forced to fight alone. Even if the entire world turns on Israel, including the US, we’re going to fight until the battle’s won … and that’s why the determination to take them [Hamas] out is so strong, even if it leads to a potential breach with the US.”
“We’re not going to leave a quarter of them in place,” he said. “We’re going into Rafah because we have to … And I think what people don’t understand is that 7 October is an existential moment for Israel.”
There you have it. Israel is going to do whatever is necessary to eliminate Hamas without regard to civilian casualties. It is time for the U.S. to cut off financial aid to Israel. The. U.S. should not be funding any part of Netanyahu’s bloodbath.
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Per The Guardian, after days of delay, US congressional leaders unveiled a $1.1tn (trillion) bipartisan spending measure for defense, homeland security and other programs early on Thursday, giving lawmakers less than two days to avert a partial government shutdown.
The Republican-controlled House of Representatives will vote on the sprawling package on Friday, leaving the Democratic-majority Senate only hours to pass the package of six bills that covers about two-thirds of the $1.66tn in discretionary government spending for the fiscal year that began on 1 October.
This is not a way to run our government.
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As part of the above article in The Guardian, the following paragraph was included.
The Congressional Budget Office warned that US deficits and debt will grow considerably over the next 30 years, forecasting that the nation’s national debt, which now represents about 99% of GDP, could grow and rise to 166% of GDP by 2054.
I was appalled at the statistic and had to verify the accuracy. Unfortunately, the projections for 2054 are accurately reported. This led me to a question I posed to the artificial intelligence application Chat GPT. Here is the question and the response.
Me. How can the U.S. maintain the economy when the total deficit is greater than the U.S. annual GDP?
ChatGPT
Maintaining a stable economy when the total deficit exceeds the annual GDP is a significant challenge, but there are several strategies that the U.S. government can employ to address this situation:
- Fiscal Policy Adjustments: The government can implement fiscal policies to reduce the deficit, such as cutting spending, increasing taxes, or a combination of both. However, these measures must be carefully balanced to avoid stifling economic growth or harming vulnerable populations.
- Economic Growth Stimulus: Policies that promote economic growth can help increase GDP, making the deficit a smaller proportion of the overall economy. This can include investments in infrastructure, education, research and development, and support for small businesses.
- Debt Management: The government can manage its debt by refinancing existing debt at lower interest rates, extending the maturity of debt, or pursuing other strategies to reduce debt-servicing costs.
- Monetary Policy: The Federal Reserve can use monetary policy tools, such as adjusting interest rates or engaging in quantitative easing, to support economic growth and manage inflation. However, these measures may have limitations when the deficit is large relative to GDP.
- Structural Reforms: Structural reforms aimed at improving the efficiency and competitiveness of the economy can boost productivity and long-term growth, helping to alleviate the debt burden over time.
- International Cooperation: Collaboration with other countries and international organizations can help address global economic challenges and mitigate the impact of large deficits on financial markets and exchange rates.
- Long-Term Planning: Developing a credible long-term plan to reduce the deficit and stabilize the debt-to-GDP ratio can provide certainty to investors and businesses, fostering confidence in the economy.
- Balanced Approach: A balanced approach that combines prudent fiscal management with investments in key areas of the economy can help navigate the challenges posed by a large deficit relative to GDP.
Overall, addressing a deficit larger than the annual GDP requires a comprehensive and multifaceted approach that takes into account economic, fiscal, and structural factors, as well as the broader geopolitical context. Collaboration among policymakers, stakeholders, and the public is essential to implement effective solutions and ensure the long-term health and resilience of the economy.
The above response leads to my Question of the Day: Based on the current environment in Washington D.C, what are the chances congress can ever come up with a plan to address such a compelling economic issue?
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For as long as I can remember, I have always asked whether the incumbent politician has been good and successful and deserves my vote in the next election. As we get closer to the November election, I am starting to think seriously about this question.
To no one’s surprise who is a regular readier of the blog, compared to the previous president, I believe Biden has been a godsend. He has a strong moral compass, and he is what this country needed after four years of the previous president.
A strong moral compass is extremely important to me. That by itself, will get my vote in this coming election. However, it doesn’t answer the question as to whether Biden has been a good and successful president.
In doing my research, I found an article from Bloomberg Opinion Columnists dated March 7, 2024, which I found helpful. I have listed the ten major metrics below. In the full article each metric has verbiage and data supporting the metric. I have included a link to the full article below.
What Has Biden Accomplished? Look at These 10 Metrics, Not the Polls
Biden has outperformed Trump on a number of fronts, from inequality and green spending to stocks and crime. But not all.
1. Immigration reform is failing.
2. Millions have signed up for health care taking the number of uninsured Americans to an all-time low.
3. Salary increases are outpacing inflation. Job growth in Biden’s first three years outperformed any previous president.
4. The cost of living is going down.
5. Green spending is improving, but it is still not enough.
6. Families are richer than ever. Sentiment needs to catch up.
7. Inequality is narrowing. A real rise in lower income workers is bridging the gap.
8. The equity market is roaring.
9. Violent crimes, especially homicide, have fallen.
10. Biden is a successful president, but his approval ratings are dismal.
Here is the link.
There is still a large portion of voters who are undecided about this coming election. I hope the undecided do their homework prior to voting and realize as I have that the former president is unfit to be president again. After January 6, 2021, he has proven he is a threat to our democracy.
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Congratulations to the MSU Spartans men’s basketball team for their first-round victory today over Mississippi State in the NCAA tournament. Other than turnovers, it was one of the best games of the season for the Spartans. They earn my Orchid of the Day.
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Today is a two-for since I will not be writing my blog on Friday. Have a great weekend.
Feel free to share my blog. To receive it in an email, please see the subscribe button below the Video of the Day.
Quote of the Day: See the above article about Israel.
Orchid of the Day: Michigan State’s men’s basketball team
Onion of the Day: The financial long-term future of our economic outlook.
Question of the Day: See the above article about the GDP and deficit.
Video of the Day: If you’re watching the NCAA men’s tournament get used to watching Barkley.
Great blog. Not to worry The Donald will take care of that pesky deficit.