Now Comes Boondoggle Don — Why Infrastructure Won't MAGA

by | Jan 30, 2018

Now Comes Boondoggle Don — Why Infrastructure Won't MAGA

by | Jan 30, 2018

America’s economy is faltering not from too little infrastructure spending, but from too much debt—-$67 trillion of total public and private debt, to be exact. So it appears that the bond vigilantes are returning from 24 years of hibernation just in the nick of time to put the kibosh on the Trumpite/GOP’s latest hare-brained scheme to balloon the public debt.
As if the impending FY 2019 collision between $1.2 trillion of new Treasury borrowing and the Fed’s $600 billion bond-dumping campaign (QT) incepting this coming October were not enough, word now comes that Tuesday’s night’s State of the Union (SOTU) adress will feature a $1.7 trillion infrastructure plan.
We’d say rechristen the Donald as “Boondoggle Don” and be done with it. On top of the $1 trillion + deficits already rumbling down the pike, the very idea of a massive debt-financed, pork-barrel driven borrow and spend spree 104 months into a business cycle expansion is sheer lunacy.
And don’t take our word for it—even if we have been smoked by the bond vigilantes up close and personal, and more than once. With this morning’s breakout to a 2.72% yield on the 10-year treasury note, it is more likely than not that the bond-selling stampede has commenced.
Read the rest at David Stockman’s ContraCorner.

About David Stockman

David Stockman was a two-term Congressman from Michigan. He was also the Director of the Office of Management and Budget under President Ronald Reagan. After leaving the White House, Stockman had a 20-year career on Wall Street. He’s the author of three books, The Triumph of Politics: Why the Reagan Revolution Failed, The Great Deformation: The Corruption of Capitalism in America and TRUMPED! A Nation on the Brink of Ruin… And How to Bring It Back. He also is founder of David Stockman’s Contra Corner and David Stockman’s Bubble Finance Trader.

Our Books

thisone

Related Articles

Related

Our Leaders’ Oppressive Moralism

Our Leaders’ Oppressive Moralism

As Deepak Chopra said, “God gave man the truth. Then the Devil came in and said, “Hey, let’s organize it and call it ‘religion’.” The bumper sticker version is more blunt: “Dear Lord, save me from your followers.” Yet there are secular (worldly) fanatics too. Because...

read more
Stop Trying to Rebrand Slavery

Stop Trying to Rebrand Slavery

When did slavery become so chic? From The New York Times to the Aspen Institute to a bevy of failed generals and weaselly ex-diplomats, the caterwauling for mandatory national service is rising. After decades in which political betrayals and federal failures destroyed...

read more
Europeans Prepare for a Very Cold Winter

Europeans Prepare for a Very Cold Winter

As the citizens of the European Union and the United Kingdom are increasingly struggling to make ends meet due to record levels of inflation, and as the winter draws closer, a serious cost of living crisis is set to spiral out of control. Skyrocketing energy costs,...

read more

Pin It on Pinterest

Share This