National Debt a Good Sign

“The fiscal 2010 deficit—$1 trillion and counting—is an encouraging sign,” says Daniel Gross at Slate. The business columnist says worries about a short-term American debt crisis are unfounded. “As Washington worthies contemplate the difficult choices needed to bring the budget into balance, the economy and the markets are already doing some of the heavy lifting,” says Gross. “So where’s the good news in the word of a $1 trillion deficit in just nine months? Well, consider how the short-term fiscal picture improved over the course of 2009 as the markets reflated and the economy revived. In February 2009, the government projected a deficit of $1.7 trillion for fiscal 2009. By mid-2009, the economy had improved a bit.”