Obama: “We’re out of money now”

Posted on May 23, 2009



In a surprising interview with C-SPAN’s Steve Scully, Drudge is reporting that President Obama, when probed about the staggering deficits and when we might run out of money in the future, replied, “We are out of money now.” He then makes the argument that the failures of Medicare and Medicaid are in a large part responsible, pushing for – surprise! – more government health care. Read the transcript for more details – Hot Air has the video.

The President presents a false choice when he says we either have to adopt his health care “improvements” or do nothing and watch our deficit continue to skyrocket. It’s a form of rhetorical blackmail that leaves out all of the other failed functions of government, and in some ways is illogical. Health care reform is helpful, but universal government-funded health care is another massive entitlement program for which the President tacitly admits we have no money. And yet, we must adopt it, or else!

It’s one thing when pundits lament about the state of our nation’s finance, but when the President comes out and says we’re broke, you have to take notice. With all the money we’ve been spending, this is going to stoke the fears of inflation and higher taxes. I can’t see how this is going to help the financial markets, and maybe the hope is when the markets reopen after the long holiday weekend, the blow may have softened somewhat. To many, though, the President’s remark is a “No duh” admission which underscores the need to limit the size of spending and to make systemic changes in how our sprawling federal bureaucracy operates.

Posted in: News, Politics