Dems Propose Big Spending Budget to Counter GOP

Scrambling to put something on the table to counter House Republicans, Democrats have released a budget relying on anticipated military drawdowns in Iraq and Afghanistan for cuts, while enabling the same type of failed stimulus spending most associated with the White House to drive more spending. 

The Chris Van Hollen-sponsored plan increases the deficit and leaves any positive conclusions to be drawn from imagined economic growth past stimulus spending has already failed to bring about.

House Democrats on Monday night introduced their 2013 budget plan to compete with the Republicans' proposal on the chamber floor this week.

Sponsored by Rep. Chris Van Hollen (Md.), senior Democrat on the House Budget Committee, the $3.6 trillion proposal is not expected to pass, but nonetheless provides the Democrats with a comprehensive plan from which to distinguish their policy priorities from those of Republicans this election year.

The $3.6 trillion budget isn't expected to pass the House, making it little more than Democrats trying to mark their turf, as opposed to putting forward workable solutions. It offers nothing to rein in entitlement spending, aligning for the most part with Barack Obama's thinking on big government being the answer to everything. It would grow the deficit by $6 trillion over ten years

Without enough support to pass in the GOP-controlled House, it's mostly politics as usual. Democrats never were much for putting forward sound budgets, even when they were in control of the House.


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The past several months have seen the price of gold slump even as the Fed and other central banks have accelerated their massive expansion of paper money. Gold is off about 20% so far this year with silver down almost 30%. The old adage--“don’t fight the Fed”--particularly comes to mind now because the US equity markets have been setting new highs during this same period. All of these gains are nominal, you understand, but for terrified American policy makers and investors, nominal is just fine.

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