One of the more infuriating aspects of Democrat behavior in the recent spending legislation were the vacuous defenses offered up by the party’s leaders. Unwilling to offer a detailed defense of the stimulus bill (although it must be conceded that it’s difficult to defend something you haven’t read), Speaker Pelosi and President Obama retreated to a “We won the election” mantra that, combined with the “failed policies of the past” chant, made for a chorus of stupefying ignorance and arrogance.
Finally a Democrat has emerged to comment on the recent legislation and also make some worrisome predictions that taxpayers would be advised to heed. Yesterday Warren Buffett, CEO of Berkshire Hathaway and a long time Obama supporter, released his widely read annual letter to shareholders. Buffett’s yearly missive to his investors is read on Wall Street and Main Street (by both Democrats and Republicans) and is noted for its frank and sometimes brutally honest commentary on business and economics.
In the preface to his discussion of 2008 Buffett made this observation:
This debilitating spiral has spurred our government to take massive action. In poker terms, the Treasury and the Fed have gone “all in.” Economic medicine that was previously meted out by the cupful has recently been dispensed by the barrel. These once-unthinkable dosages will almost certainly bring on unwelcome after effects. Their precise nature is anyone’s guess, though one likely consequence is an onslaught of inflation. Moreover, major industries have become dependent on Federal assistance, and they will be followed by cities and states bearing mind-boggling requests. Weaning these entities from the public teat will be a political challenge. They won’t leave willingly.
So, to break it down, we can expect massive inflation, bailout demands from cities and states and an expectation that those demanding tax payer dollars will not be content with just one round of handouts. If Republicans are to ever regain a majority in the House or Senate they should form an opposition around these issues and offer a solution because Democrats, if history is any example, don’t want to discuss or debate these issues.
