The underlying theme in the various domestic moves made by the Obama administration so far is the appropriation of resources by Washington for redistribution to favored constitutencies. It is evident on both the spending and tax sides of the pork package. Rich Lowry measures the likely growth of “aggrandized government” under Obama and James Lewis gets a handle on the underlying animus in “The rapacity of Odacity.” One could add mendacity to the equation as well.
Government financing of Obama’s big plans raises a related question. What happens when the Chinese and Japanese stop buying Treasury bonds to finance the metastasizing deficit? George Melloan suggests why “stimulus” may mean stagflation. Melloan wonders “why no one in Congress or the Obama administration has thought of that as a potential consequence of their stimulus package.”
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