Wednesday, May 13, 2020

Beyond parody: Delusional Rush Limbaugh says red states are paying for all this emergency spending


"The red states are gonna create capital and money to transfer to pay these people their stupid welfare costs (and whatever else they’re using to bleed this country dry), while their population sits home, doesn’t work, waits for the federal check to show up — and they sit around and they trash the supposedly reckless red states. I cannot tell you how this irritates me".

No one is "paying" for anything. It's all borrowed. And Limbaugh's personal portfolio is probably buying a bunch of it, as is every portfolio out there, from individual investors to institutional, to sovereigns, etc. The entire world craves the safety and security of US Treasury securities and can hardly get enough of them, but Limbaugh thinks Republican states are carrying the whole world on their shoulders.

Even as Limbaugh was yammering away spouting stupid, 10-year Treasury securities were flying out the door at record low rates at auction:

"The U.S. Treasury held an auction for $32 billion of 10-year notes in Tuesday afternoon, selling them at a record low yield of 0.70%". 

Federal debt has soared from $23.5 trillion on March 16th to $25.1 trillion on May 11th, and it'll keep soaring.

The Federal Reserve Bank's balance sheet has soared from $4.1 trillion on February 26th to $6.7 trillion on May 6th, and it will keep soaring.


"The central bank had previously balked at direct aid to nonfinancial businesses, but is set to finance trillions in relief across nearly every sector of the economy amid a historic downturn".

Meanwhile Federal Reserve lending operations at ultra-low rates continue to keep businesses alive which should have died long ago. They were doing it before Trump came along, did it with Trump's assent after his election, and will keep doing it.

The Trump administration has signed off on this gargantuan repudiation of free market capitalism, but Rush Limbaugh thinks it's all paid for by Joe Sixpack.

Trump marks the end of Republicanism's "fiscal conservative" brand for at least a generation, and that's what really irritates Rush Limbaugh. He's hitched his wagon to a wayward horse and now it's in the ditch along with the rest of the country.

Stupid is as stupid does.

Don't catch a "cold" down there in that puddle.