Wrong More Often Than Dictated by the Laws of Chance

Wrong More Often Than Dictated by the Laws of Chance

Speaker of the House Nancy Pelosi, when asked if government spending is fueling the rise in government indebtedness as well as inflation, answered “No, it isn’t. The government spending is doing the exact reverse, reducing the national debt. It is not inflationary.”

This is quite a statement--maybe not the idiocy of the 'tilting Guam' worry, but close. There is nobody--or at least not many--who would say that increased deficit spending does not increase the national debt. And, unless you are a fan of MMT, deficit spending is inflationary. Adding dollars to the exchange market cheapens them. What one of the most important people in the world is saying is just gibberish.

An element of American politics is that a politician--with the exception of Trump--can say anything, regardless of how stupid, without the risk of correction or criticism. This says as much about the observers as the politicians themselves. Frighteningly, there is no reason for us poor working slugs to assume that these stupid statements do not correlate directly with stupid government. 

The inescapable camera and microphone may require the quality of these people to rise. Now that would be change.