This ain't rocket science libs. Obama and the Democrats spent too much money, and then obligated even more still. Social Security and Medicare are not only approaching an insolvency date, but it has been moved up near a decade from where it was assumed to be just a year ago.
The deal on the table is $1 in debt increase for every $1 in cuts to current spending obligations.
We can do this the easy way, or we can do it the hard way. "Enough already" is the message. No more OPM for you
Look peeps....we're not necessarily going to default.
Debt payments are an executive priority and tax receipts are more than sufficient for interest payments. The government can continue to make payments to bondholders. It just means shutting down other parts of the government to offset those payments.
In fact, if there is technical default, US bonds might become a true safe haven investment. For the first time, America will take a step to indicate that it believes the relentless abuse of its fiscal situation is unsustainable.
Originally Posted by Josie
It's better to have a recovering economy that has to increase it's debt then to have no economy at all. Raise the limit, it's the only smart move.
Eat me, drink me, love me;
Laura make much of me
Just wondering Star. When you sit around the Kitchen table with your family, and discuss the household budget, and realize that you are paying out enough in debt at the moment, if that were to change, and your debt was out of control, would your answer be to increase it?
Americans are so enamored of equality that they would rather be equal in slavery than unequal in freedom.
Alexis de Tocqueville
Look...debt-based money systems operate best when they can grow exponentially forever. Of course, nothing can, which means that even without natural limits, such systems are prone to increasingly chaotic behavior, until the money that undergirds them collapses into utter worthlessness, allowing the cycle to begin anew.
On a pure debt, deficit, and liability basis, the US, ( and everyone else in the world) is past the point of no return. No matter what policy tweaks, tax and benefit adjustments, or spending cuts are made -- individually or in combination -- nothing really pencils out to a solution. If everybody owes everybody else, then kicking the can down the road only works if there's more wealth, more growth, and sufficient economic activity down that road to service the past debts. If any one participant drops the baton in the debt relay race, the absurdity of the situation becomes unavoidable and the cause is lost.
It's time to face the music. We need to get serious about debt.
Originally Posted by Josie
AUSTAN GOOLSBEE: I think the world vests too much power, certainly in the president, probably in Washington in general for its influence on the economy, because most all of the economy has nothing to do with the government.
The gov't is EXACTLY like Bob down the street. The numbers are bigger, and Bob needs his driveway patched and the gov't needs the highways patched, but its exactly the same thing.
Continuing to make excuses for the gov't spending isn't going to solve the problem, libs. Trying to make it more complicated than it really is is what separates the true conservatives from the spend spend spend liberals.
Last edited by dontworrybehappy; 06-08-11 at 12:10 PM.
We'll just ignore the 6 years that the Republicans had control of Congress AND the White House.
We'll completely ignore the spending mandated by TWO FULL INVASIONS.
We'll ignore that the Republicans' response to the increased funds that they decided to send off to be buried in a desert was to cut taxes, primarily for the rich.
We'll ignore the surplus that the Republicans squandered.
We'll ignore the Medicare additions that the Republicans signed into law.
We'll ignore the bubble economy that they sat around and watched.
We'll just ignore the $450,000,000,000 per year interest payments on the debt that the Republicans handed over.
We'll ignore that the TARP was actually signed by a Republican President.
And we'll especially ignore the fact that the Republican plan to "starve the beast" ie shrink the federal government to the size where it can be "drowned in a bathtub" has been motivating the right-wing's attack on America for the past 3 decades.
And now we're supposed to trust the Republicans when it comes to economic matters? After they sat back and watched the subprime market go into critical meltdown taking an economy that was weakened by Republican policies to the point of collapse?
We're supposed to believe that everything will be alright if we listen to the Republicans who want to take us back over the edge of economic destruction.