PLEDGE NOW
Simon Johnson on Debt and Deficit

We’re looking at American debt and deficit and how to really, responsibly, bring it down, with economist Simon Johnson.

House Budget Committee Chairman Rep. Paul Ryan, R-Wis., holds up a copy of his budget plan entitled "The Path to Prosperity," Tuesday, March 20, 2012, during a news conference on Capitol Hill in Washington. (AP)

House Budget Committee Chairman Rep. Paul Ryan, R-Wis., holds up a copy of his budget plan entitled "The Path to Prosperity," Tuesday, March 20, 2012, during a news conference on Capitol Hill in Washington. (AP)

In the War of 1812, two hundred years ago this year, the young United States went out into the world without its finances in order – and got its White House burned down.

Flash forward two centuries.  The US debt and deficit are huge.  President Obama is talking up the Buffet rule this week, to get the rich to pitch in more.  Republican Paul Ryan wants to take an axe to the federal budget, and tax rates.

Former chief economist to the IMF Simon Johnson says both fall short.  It is high time for the US to get real, he says.

This hour, On Point:  how to really, responsibly, bring down the US debt.

-Tom Ashbrook

Guest

Simon Johnson, professor of entrepreneurship and economics at the M.I.T. Sloan School of Management.  Co-author with James Kwak of “White House Burning: The Founding Fathers, Our National Debt, and Why it Matters To You.” He blogs at The Baseline Scenario.

 From Tom’s Reading List

USA Today Ever since George Washington became the first president of the United States, politicians, economists, bankers, philosophers and citizens without titles have been arguing about the deficit and the national debt. The issue has been whether the nation should avoid deficit spending, engage in deficit spending and, if engaging, how much national debt is too much.

Economix Blog  There are two competing narratives about the federal government budget in the political mainstream today. The first is that we are, or soon will be, in crisis, because of runaway government spending. To avoid this crisis, we should cut spending by a great deal and as soon as possible.

The Huffington Post I have enormous respect for Simon Johnson. I first recall seeing him one late evening on a Bill Moyers segment in the middle of the financial crisis. I couldn’t quite believe that the former chief economist of the International Monetary Fund was complaining about the oligarchs in the financial industry using their control of the U.S. government to bail out their bankrupt banks.

Excerpt: “White House Burning”

[Use the navigation bar at the bottom of this frame to reformat the excerpt to best suit your reading experience.]

Please follow our community rules when engaging in comment discussion on this site.
ONPOINT
TODAY
Jun 30, 2015
A woman uses an ATM of a closed bank in Athens, Monday, June 29, 2015. Greece's five-year financial crisis took its most dramatic turn yet, with the cabinet deciding that Greek banks would remain shut for six business days and restrictions would be imposed on cash withdrawals. (AP)

Greece closes its banks as debt negotiations reach a crisis point. We hear the latest on the debt crisis and its threat to the Eurozone.

Jun 30, 2015
In this image provided by NASA/JSC, astronauts Steven L. Smith and John M. Grunsfeld are photographed during an extravehicular activity (EVA) during the December 1999 Hubble servicing mission of STS-103, flown by Discovery. The Hubble Space Telescope, one of NASA'S crowning glories, marks its 25th anniversary on Friday, April 24, 2015.

Global plans for outer space. We’ll look around the world at who has what agendas for out there.

RECENT
SHOWS
Jun 29, 2015
Bacteria under a microscope.

Can bacteria in your gut influence your brain? Your mood? Your emotions? Top scientists say yes.

 
Jun 29, 2015
People walk on the steps of the U.S. Supreme Court in Washington on Saturday April 26, 2014. Two Supreme Court cases about police searches of cellphones without warrants present vastly different views of the ubiquitous device. Is it a critical tool for a criminal or is it an American’s virtual home? How the justices answer that question could determine the outcome of the cases being argued Tuesday, April 29, 2014. (AP)

Same-sex marriage. Obamacare. Lethal injection. Voting rights. Redistricting. A big look at the Supreme Court term.

On Point Blog
On Point Blog
Our Week In The Web: June 19, 2015
Friday, Jun 19, 2015

Why our broadcast changed in different markets this week, and a closer look at a puppet theatre vandalism in rural Norway. (Really).

More »
Comment
 
Quick Note On Rebroadcasting Today
Thursday, Jun 18, 2015

A quick note regarding today’s shifting schedule of broadcasts.

More »
2 Comments
 
How To Follow Team USA At The Women’s World Cup
Monday, Jun 15, 2015

Good news! You can watch the 2015 Women’s World Cup on basic broadcast TV. Bad news: we can’t quite predict if the American team is going to make it all the way to the July 5 championship game.

More »
2 Comments