RE: Underwater mortgages and the economy

Charlie wrote:

>...and judging by GDP figures, the USA is still fighting the Cold War.

Hmmm, I looked it up, and military outlays under GWB as a % of GDP were less
than they were under Carter, around 4% or a bit less. vs. Carter's 5%+.  And
he said that the US was going to have to increase defense spending.  Under
Kennedy, they were about 10% of GDP, Reagan close to 6%.  They've risen
under Obama, but that's due to the slowdown in the GDP more than anything.

So, only if you take the bottom of the Cold War spending, when anti-war
Democrats were in the forefront, and this year under Obama, which is a
special circumstance (defense spending rates are projected to fall to 3.6%
in the budget), is that close to true.


Dan M.