While the dollar hits a 15 month low, and gold hits an all time high, and the editorial page editor of the Washington Post (no less) is warning:

“The bill also could take America a step closer to bankruptcy. And for progressives in particular — for those who believe that government has a mission to help the poor and protect the vulnerable — that prospect should be alarming. If federal debt continues rising on its present path, hastened by a $1 trillion health-care bill, it is the poor and vulnerable who will be most harmed.”

This is also why some political risk analysts are connecting the dots between PelosiCare and the value of the dollar:

“If the Reserve Bank of India’s directors had any doubts about the wisdom of buying 200 tonnes of IMF gold — and likely dumping some U.S. Treasuries in the process — they had only to watch last weekend’s legislative activities on Capitol Hill. The proceedings provided plenty of reassurance that the move was a smart play.

“Nothing in the healthcare reform bill that passed the House of Representatives should give investors in dollar-denominated assets any confidence that U.S. policymakers are serious about tackling the government’s structural budget deficit.”

Amazing as it is that the Washington Post would be pointing out the obvious about the Democrats $1.2 Trillion health care spending plan, since liberal and progressive news writers have given aide, comfort and a criticism-free ride for those who are doing the spending.

It is apparent that there is no amount of money too high to spend for the House Democrats on health care reform. CBO confirms the amended House bill spends $3 Trillion.

But now Fred Hiatt has really stepped over the lines — he is “calling out” President Obama for his failure to cut keep his promise about the health bill spending and the deficit.

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The totals below, I am told by the Heritage Foundation, do NOT include the $250 billion extra spending on Medicare to buy off the American Medical Association for their support of the U.S. House bill.

The Democratic House Leadership has completely lost touch with fiscal reality.

The following is a cut and paste of a media statement by the ranking Republican on the Senate Budget Committee, Senator Gregg (R-NH):

Senator Gregg: Updated CBO Estimate of House Bill Pulls Back the Curtain on Majority’s Intent to Grow Government by $3 Trillion

Senator Judd Gregg (R-NH), ranking member of the Senate Budget Committee today commented on the Congressional Budget Office’s (CBO) more detailed cost estimate of the manager’s amendment to the House health reform bill.

Senator Gregg stated, “The CBO estimate released last night finally sheds light on the smoke and mirrors game the majority has been playing with the cost of their health care reform proposal. Over the first 10 years, this legislation builds in gross new spending of $1.7 trillion – and most of the new spending doesn’t even start until 2014. Once that spending is fully phased in, the House Democratic bill rings up at more than $3 trillion over ten years.

“Additionally, this bill cuts critical Medicare and Medicaid funding by $628 billion, accounts for nearly $1.2 trillion in tax and fee increases and will explode the scope of government by putting the nation’s health care system in the hands of Washington bureaucrats. The $3 trillion price tag defies common sense – we simply cannot add all this new spending to the government rolls and claim to control the deficit.

“If we continue to pile more and more debt on the next generation, they will never be able to get out from under it. The health care system needs reform, but this massive expansion of government, financed by our children and grandchildren, is the wrong way to proceed.”

James Pethokoukis (Reuters) cites two examples of why America is well down the road of a banana republic economy. Our record debt levels and deficits, combined the fiscal fantasy land the White House and Congress work and live in are writ large in both examples.

First, the White House announces a $250 payment to every senior for inflation that didn’t exist. “In effect, a COLA was paid on inflation that no longer existed,” notes Andrew Biggs of the American Enterprise Institute.

Second, the White House in its desperate attempts to get its health reform passed, has tasked the all-too-willing Majority Leader Reid to walk the plank by convincing him to push a $247 billion portion of health reform as an off-budget item, in a separate bill, to be on the Senate floor this week before moving to the merged ObamaCare bill. Even the Washington Post editorial board said “Mr. Reid proposes not to pay for any of it, not even $11 billion, but simply to write a $247 billion IOU.”

Pethokoukis correctly notes the considerable spin associated with JPMorgan Chase economist Jim Glassman’s attempt to convince the world that the falling dollar should rightly be interpreted as a sign of “new economic optimism” because dollar flight means the world economy is getting better and the world is pulling its money out of a safe investment. Really?

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Desperate men do desperate things, and those who have any doubt just how desperate the Dems are over passing health reform should read the Washington Post editorial that puts the lie to what the White House and Senate Majority Leader Reid are attempting to do — put $241 billion in new health reform spending off-budget.

Off-budget is Washington speak for lets-spend-the-money-but-not-count-that-we-are-spending-it. Taking ever so slight liberties with Senator Gregg´s recent comments, this is more bananization of our republic.

President Obama and Majority Leader Ried are lying to make their other lie about health reform not adding to the deficit a less visible lie.

It´s just like printing money, let´s all just pretend that we are not going to spend $241 billion to buy off the American Medical Association´s continued political cover for our politically failing health care reform plan. It´s easy, just declare its off-budget and it does not count.

When RedState starts quoting the Washington Post editorial board, the outrage committed by the White House and Majority Leader Reid must be so great, that even the WaPo editorial board cannot bear it:

IN THE WORLD according to Senate Majority Leader Harry M. Reid (D-Nev.), setting Medicare payment levels for doctors has nothing to do with health reform. Really.

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