Election And Controlling Debt
After the election we will be in a position to release the power of the "confidence fairy". There is allot of cash on the sidelines because Americans do not believe our elected officials have the determination to come up with a long term plan to gain control of out debt. This should be a high priority of the second Obama Administration.
I don't know whether the plan put forth by Simpson-Bowles is on solid footing, but it is a start and we should use it as a template. We should also take the opportunity to tweak the Affordable Care Act to make the health insurance and health care industries more free market oriented. These industries should never be totally void of regulation because the nature of these markets do not permit them to be totally free.
I am in favor of focusing on job creation; however it will be easier to accomplish if the nation is comfortable that we are controlling our debt rather then the debt controlling us. In 1933 the total U.S. debt, government, consumer and personal, to GDP peaked at close to 300%. Today it is 360% as shown by this graph. We need a plan to help loosen up the money on the sidelines.