Originally Posted by Arkie
There hasn't been any shrinking due to spending cuts. If we actually did reduce spending, that would be positive for the economy because the government is draining the economy of the resources it needs to grow. The government is a growing expense on the economy.
What resources are you talking about? Is it labor? capital? raw materials?
There is more then enough slack in the economy right now that there is no problem to meet private sector resources demand