Lyin' Ryan Has No Plan to Cut the Deficit - and if He Did, Romney Would Oppose It
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“Halperin: Why not in the first year, if you’re elected — why not in 2013, go all the way and propose the kind of budget with spending restraints, that you’d like to see after four years in office? Why not do it more quickly?
Romney: Well because, if you take a trillion dollars for instance, out of the first year of the federal budget, that would shrink GDP over 5%. That is by definition throwing us into recession or depression. So I’m not going to do that, of course.”
If Ryan actually had a secret plan that slashed social spending and tried to reduce the deficit dramatically the plan would be an austerity program as self-destructive as the European austerity program that gratuitously threw the Eurozone back into recession and the periphery into depression. Romney has stressed that adopting such a plan “is by definition throwing us into recession or depression. So I’m not going to do that, of course.” It’s a good thing that Ryan doesn’t really have a secret plan to reduce the budget deficit, because it would cost millions of Americans their jobs by throwing us into a recession or depression. Paul Krugman’s recent column explains how the House Republican budget calls for extreme austerity of the nature that Romney accurately warns would throw our nation “into recession or a depression.”
Ryan is the architect of this House Republican budget. The House Republican budget is not a plan, but a fantasy. It assumes that governmental spending cuts will cause a huge increase in economic growth, but as Romney admits it would do the opposite. Recessions or depressions cause budget deficits to grow massively as tax revenues fall precipitously. If you hate budget deficits avoid austerity like the plague. Romney admits that the House Republican budget would produce the Ryan Recession of 2013.