Sunday, April 17, 2005
A Call for Treasury Secretary John Snow to Resign
Why? Incompetence. Hale Stewart states the case:
When asked by a Bloomberg interviewer if the 1-2 trillion dollars required for social security privitization would increase interest rates, you responded no. The markets would reward the US for effectively dealing with its problems and not demand a higher interest rate. This statement is wrong and demonstrates a basic misunderstanding of supply and demand.A treasury secretary ignorant of basic principles of economy and business. On the other hand, he won't be able to provide a contrary viewpoint to the president's likewise narrow and ignorant views.
... You have publicly stated the US will lower its fiscal deficit. At the same time, you have publicly supported a budget that does not include the cost of US operations in Iraq and Afghanistan. Considering the size of these operations and the obvious impact they will have on US budget policy, their absence from the budget is appalling. Support for a budget that does not include an expense of this magnitude is fiscally irresponsible.
... You have publicly stated support for a strong dollar, yet have also stated the market should determine the dollar’s value. Events over the past two years prove these statements to be diametrically opposed. The dollar has lost 30% since 2003. More importantly, the world economies no longer have a high degree of confidence on the dollar.