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Is The Budget Deal On The Verge Of Collapsing?
Something rather troubling for the "kick the bankrupt (and only modestly radioactive, still way below the unrevised legal threshold though) can down the street crowd"- Commentary Magazine reports that the "Budget Deal", won after so much theatrics, soap opera, and Razzie nominations, may in fact collapse shortly. "The big news today is that the $38.5 billion in
budget cuts announced with such fanfare on Friday night mostly aren’t
real. A good deal of it involves money from previous years and previous
budgets that hasn’t actually been spent." Commentary refers to an AP article in which it is made clear that the proposed legislation is one 'financed with a lot of one-time savings and cuts that officially "score" as savings to pay for spending elsewhere, but that often have little to no actual impact on the deficit...cuts to earmarks, unspent census money, leftover federal construction
funding, and $2.5 billion from the most recent renewal of highway
programs that can't be spent because of restrictions set by other
legislation. Another $3.5 billion comes from unused spending authority
from a program providing health care to children of lower-income
families." And once the more vocal fringers realize they have been cheated once again by both parties, it is possible that the whole thing could just as easily fall apart, and just in time for the US debt ceiling to be breached within 1-2 weeks tops.
The bottom line is that even the woefully inadequate number of cuts previously cited, as great success for the GOP, is big fat lie:
The total amount actually cut appears to be somewhere between $8 and $14 billion.
The politics here are very complicated now. On the one hand, polls suggest the public is overwhelmingly in favor of there having been a deal, around 60 percent or so. On the other, politically engaged people on both the Right and the Left are profoundly upset by what they take to be unprincipled caving on the part of the leaders of the two parties.
That profound concern is likely to spur a populist revolt this week, over the next 72 hours, before the vote is taken. Already there are indications that a great many House members are going to vote against the deal. What we don’t know, or can’t know, is whether grass-roots velocity has sped up to such a degree over the past several years that we could be looking at a major meltdown of support when the votes are cast, as Republican members honestly balk at the clear deceit of the negotiators in making non-existent cuts in federal spending—and as they fear the wrath of the voters (particularly tea partiers). Meanwhile, Leftist Democrats who feel betrayed by Barack Obama and Senate Majority Leader Harry Reid might also decide to teach them a lesson by withholding support.
And then, all of a sudden, there will be a shutdown. And no plan to end it. And make no mistake—the public will blame the GOP.
Those who wish to replicate the math can do so using the GOP Summary of the Continuing Resolution.
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Agree, excellent comment. +1
I just don't know, will there really be a difference if the government is shut down or running ?
These guys practice the "fart of negotiation" as nothing but hot gases pass here.
Horse traders have higher standards than this bunch of clowns.
This whole budget ordeal seems to be nothing but politicians competing with DWTS and not being "Smarter than Fifth Graders."
When I think of these idiots, for some reason expensive paperweights come to mind.
Remind me again, why did these folks go to college ?
They really should just put "wants" & "cuts" on a wheel, take turns spinning it, and each side get 3 spins. Then they could get the shit over with and stop pretending to really represent the people.
The people pulling the strings are outside Washington, calculating how much money they can profit from each deal before sending their "Yes or Hell No" tweets. These guys are just enjoying pizza and boasting about their bailout money.
In any event, I am pissed.
I'm not sure why everyone keeps spouting the tired line that everyone will blame the GOP. All it will take is about 5 seconds to prove that the deficit has doubled during O's tenure to nix that falacy. Not to mention the man in charge ALWAYS gets the blame. The dems are in power and their man is in office. It will be seen as yet another failure of his leadership imo.
Both parties are one and the same. Anyone who can't see that now is retarded and deserves to lose everything. Both parties speak for the banks and the war machine, not you. Every incumbent will be voted out come 2012 and in every election hence forth until the reset button gets pushed (in whatever form that may be). Get yours while they extend and pretend and be sure to...
Hedge accordingly.
Have to disagree with that statement -- something truly monumental will have to happen to shock the Ignorati out of their complacency -- until such an event occurs, fsckstick Incumbents like John McCain, Harry Reid, Maxine Waters, Barney Frank and Nancy Pelosi have nothing to worry about.
... the deficit has doubled during O's tenure ...
See my post above. Bush kept the cost of the Afghanistan and Iraq wars out of the budget. Obama put those costs into the budget and made them visible. That accounts for most of the budget increase in the last two years.
More bullshit. Provide a source. DOD expenditures are always in the budget. The largest chunk of it, as a matter of fact. Fighting wars is expensive.
http://en.wikipedia.org/wiki/United_States_federal_budget
Scroll down to "Other Spending".
Obama put a stop to that by funding the wars through the regular appropriations process, "on budget". He made the costs visible.
Don't make more out of what I said than what I said - in this post and my previous one.
Shut the whole fucking thing down. Shut is all down now. The sooner we do, the sooner compensation will return to those that are actually worth a shit. 6 billion a day in monetization and these "elected" fucknuts can't find 38 billion to cut. END POMO dumbasses!
+1 Printing until the collapse!
Interesting read for all the excellent posters here.
http://www.gold-eagle.com/editorials_08/elliott040611.html
ABANDON SHIP! ABANDON SHIP!
Ray Elliott
The band is playing and the deck is filled with swirling couples. Champagne is flowing and the breeze hints of Spring on the distant shore. Needing a little cash, I move over to the ATM and put in my card. What a beautiful day, what a wonderful time, what a - - what is wrong with my card? Declined? Perhaps I entered the wrong pin. Try again. Declined. Is this a joke? I try again. Same result. I walk over to the bartender and mention that the ATM is not working. He assures me that he can handle the problem and asks for my card to increase my credit at the bar. Declined. He looks at me with an entirely new expression, something like seeing birdshit on my tie. I laugh and say that there must be some mistake and try to casually wander off. The band starts a new song.
We are too far offshore so my cell phone is not working. I go to the communications room and use the ship to shore phone to call my banker. Busy. I try my broker Smiley. Hey Smiley, whassup? "I tried to reach you Sam, but it's too late now". What's too late Smiley? "The market took out all your stops and the ones without stops have you owing us a considerable sum. I used your line of credit and your credit card, but apparently they're maxed out. We need as much as you can get to us immediately". I tell Smiley that I will call my bank and arrange a transfer. Smiley replies, "don't bother, your bank is closed, they are calling it a bank Holiday. There is a run on the banks and your bank was one of the first to close." I say, "Look Smiley, I have done a lot of business with you over the years, and I need a few bucks until I can get home and straighten out some things." Click. Smiley? Hello? Hello?
I think about all the plans that I have been considering. I was going to close up my 401K, pay the penalty, buy some silver and stop spending money. But my wife said, "honey, we have been planning this trip forever and what would the neighbors say if we cancelled this trip?" I wonder what the neighbors would say if they knew I couldn't buy a drink? I remember someone telling me that the economy was shaky and that it wouldn't take much of an earthquake to create a real crisis. I figured that I would have plenty of time to put something together and hunker down until the next boom. Why the hell didn't somebody warn me?
The ship's loudspeaker comes on, "Attention, attention, we have just been notified that our landing in New York has been cancelled due to food riots. The riots are breaking out in all major cities on the Eastern seaboard and we will be changing course for a safer port in Nova Scotia." Holy shit, Nova Scotia! How will we get home? I see my wife and she says, "Sam what are we going to do now? What are the neighbors going to say? I think, fuck the neighbors, what am I going to do now? I wondered if my social security check would still be coming in? Maybe not, if things are as bad as Smiley says. Or even if it does come in, what would food cost if there are food riots? Maybe there won't be any food to buy even if I had a shitload of money. A shitload of money is something I don't have to worry about.
I think about the food I was going to buy and put into the cellar. I thought that if I bought it now, it would just get old and I would have to replace it before I could use it. I know that Smiley has some stored away. I wonder if Smiley would share some with me and the wife? After all these years, Smiley should be grateful for the business that I have given him. Why should he care about giving a buddy a little food? Then I think, If people are rioting over food, it might be good to have a safe place to go and maybe buy a gun to protect me and the wife. I wonder where I could go for a safe place and then I think, hell, no one is going to be wanting strangers coming into their neighborhood when riots are taking place. I wish I had figured this out before I got on this damn boat.
I decided to rejoin the party and see what the people are saying about what is happening. It looks like the weather has changed and it is getting foggy out. I can hardly see ahead of the ship. Wait a minute, now I see something, looks like another ship out there, a big white one, seems to be sitting still in the water, Oh Shit!
7 April 2011
I can not get my head around the political calculus nor precisely how a shutdown in the government will impact the markets. I'll think out loud for a minute and maybe lucidity will befall me.
If the government shuts down the stock market will likely tank. But what of commodities and the dollar? Perhaps the dollar will collapse and commodities, especially gold and silver will fly?
The public would likely blame the Republicans and the tea party but if shutting down the government results in a major market collapse, the Republican can blame the Democrats in 2012. But then again, it goes both directions.
If the government shuts down and refund checks, social security checks and stimulus doesn't reach the economy, which is otherwise running on vapor, how long until the GDP along with the already plummeting consumer confidence levels turn the already ghost town retail real estate into a retail cemetery and who will benefit.
Whatever happens the biggest PD's with the inside scoop on the orchestrated and engineered market drama will be positioned correctly in the futures and derivatives markets are are sure to profit handsomely.
I think at this stage a great indicator of what is really going to happen comes to these questions:
1. What political and economic drama will most enhance the goals of the Koch brothers and those they represent?
2. What political and economic drama will most benefit GS and JP?
3. What political and economic drama will most benefit the insane military industrial and energy complexes?
For me, there are mixed motivations here and so the chances are that despite the rhetoric the government won't shut down but there may be an engineered market crash to keep the dollar above 72 and to provide political cover for QE3 ... QEN and if they can keep the market from crashing below Dow 9000 in the processes, things will be back to "normal" insanity for a few more months.
Duffminster
I can not get my head around the political calculus nor precisely how a shutdown in the government will impact the markets. I'll think out loud for a minute and maybe lucidity will befall me.
If the government shuts down the stock market will likely tank. But what of commodities and the dollar? Perhaps the dollar will collapse and commodities, especially gold and silver will fly?
The public would likely blame the Republicans and the tea party but if shutting down the government results in a major market collapse, the Republican can blame the Democrats in 2012. But then again, it goes both directions.
If the government shuts down and refund checks, social security checks and stimulus doesn't reach the economy, which is otherwise running on vapor, how long until the GDP along with the already plummeting consumer confidence levels turn the already ghost town retail real estate into a retail cemetery and who will benefit.
Whatever happens the biggest PD's with the inside scoop on the orchestrated and engineered market drama will be positioned correctly in the futures and derivatives markets are are sure to profit handsomely.
I think at this stage a great indicator of what is really going to happen comes to these questions:
1. What political and economic drama will most enhance the goals of the Koch brothers and those they represent?
2. What political and economic drama will most benefit GS and JP?
3. What political and economic drama will most benefit the insane military industrial and energy complexes?
For me, there are mixed motivations here and so the chances are that despite the rhetoric the government won't shut down but there may be an engineered market crash to keep the dollar above 72 and to provide political cover for QE3 ... QEN and if they can keep the market from crashing below Dow 9000 in the processes, things will be back to "normal" insanity for a few more months.
Duffminster
Shut down the government? Have you thought this through? Our endless wars would come to a grinding halt. No more money for the military-industrial complex. No more foreign aid to Israel. How would Homeland Security protect us from all the evil doers. They are producing Moslem babies faster than we can kill them. There are countries out there that need to be bombed for their own good. No we can't shut down the government!
BTW Tyler you can take 'theyll blame the GOP' and cram it! Damn it ENOUGH of this politics nonsense for SHEEPLE!
I'm shocked,.... shocked to find gambling in Casablanca....
Does this mean I can not haves more cheese doodles?
They manage to silence Martin Armstrong.. I think the only reason they released him was due to his well written reports from
behind bars... power of the pen. Your free to go BUT you can't express your views? Read some of them they are not Pro Govt of any kind..lol. criminal
The US is now a runaway train with a madman at the controls and a car or two full of criminals/ sociopaths of every kind
Martin is now free.
Hello World Martin Armstrong http://www.321gold.com/editorials/armstrong/armstrong040911.pdfI really dont give a shit WHO the stupid sheeple public blames! Within an hour they be back to Lady GaGa video downloads to their IPod anyway!
Billions for lies and jaw bohnen
.
They hate our freedom
May I suggest the Establishment Repubes, like Boner, get the blame?
Right. Because, we wouldn't want to portion the blame among establishment Dems, nor the 0.3 billion citizens for tax-paying complicity and collective laziness, now, would we...?
The only people the Budget cuts effect are the little people without a Billion dollar fucking lobby..
and for anyone that is stupid enough to quote some bullshit austerity measure squeeze the little guy bullshit I hope your children burn in front of you, slowly, to death.
the Corporations who pay NO fucking FEDERAL taxes... make the Country strung out like a fucking addict.. these same corporation who have a FED Window to draw down from, at fucking will. These same Corporations who have moved jobs off shore only to be given a pat on the back and a tax break for moving U.S. jobs off shore.. SHOULD PAY FEDERAL TAXES!! and then we would not need fucking Austerity Measures now would we?
It is not that there is not enough money to go around, those same corporation are sitting on Trillions in cash.. NOT paying taxes and moving American Jobs Off Shore only to enjoy a tax break..
It is NOT "We the Little Peoples" Fault.
It is our fault, the ones who know better and who have known better but sit on our hands like we are stuck on stupid.
Austerity is BULLSHIT!
Fuck the FED and their $15 Trillion in Loans to anyone and everyone!
Fuck the Government for the Lobby Whores they truly are!
Fuck anyone who is to fucking stupid to grasp these facts.
$15 Trillion Dollars since 2008 http://goo.gl/TMl74 in Loans to Everyone BUT! Main Street / Local Town’s & City’s
The United States Loans $$’s to Gaddafi in Libya! But no money for States, Unions or "We the People"! http://bit.ly/gJ6GFT
http://www.usatoday.com/money/perfi/taxes/2008-03-20-corporate-tax-offshoring_N.htm
Send U.S. Jobs Off Shore and get a Tax Break for Sending those Jobs Off Shore!
http://goo.gl/cgg4O General Electric $14.2 Billion in Profits, Pays $0 in U.S. Taxes
http://www.opensecrets.org/lobby/clientsum.php?lname=GeneralElectric $39M Dollar Lobby in 2010 $14B in Profits =’s NO TAXES PAID!
$10 billion sale of F.D.I.C.-backed debt http://dealbook.nytimes.com/2009/01/06/ge-capital-begins-10-billion-debt-sale/
Wall Street Entitlement Welfare! http://bit.ly/aBu9yF $15B a week 2 buy Lobby Whores with!
http://goo.gl/LpeCD Most U.S. Corporations Do NOT! Pay Federal Taxes!! For a good long while now!
and what we can all look forward too.. is the Government turning this Country into a Fucking 3rd world police state.
http://goo.gl/M4bcP FBI Don’t Need No Stinking Warrants! Personal / Civil Rights are a thing of the past!
and the next step.. will be to cause Towns and City's to default so that the Banks can own all the Public Property.. turn it all into condo's!
http://goo.gl/HO8Xb JP Morgan says 100’s Town’s & City’s will go Bankrupt at which point JP Morgan or like will sell them off piece by piece.
Privatize America into a Police State! keep voting Republican and Conservative.. or whatever suits you, but please put those fucking Bush stickers or leave those Bush stickers on your car so when the lights do go out that you will be easier to find.
Not all Liberals or Anti-Soulless-Corporation Folks are gay, tree hugging anti-violence.. some of us would love to fucking string you fucking morons up.. just to watch you fucking jerk around from the end of a rope for the treason that you have smothered this once Great Country in!
Bill Moyers at the Howard Zinn Lecture http://www.bu.edu/buniverse/view/?v=20ZaW9PO
What budget cuts? It's just unspent Stimulose funds.
Moyer, geez.
You in Mack's district? Bitch. Already did to Rooney.
Any who quotes Bill Moyers... LOL
There are 11 quotes.. if you cant find something of use.. it is not my fault.
Bill Moyers did some interviews with William Black that kicked ass!
http://www.google.com/search?q=bill+moyers+black&hl=en&client=firefox-a&...
Ross "WHO"? What sucking sound?
"Insanity: doing the same thing over and over again and expecting a different result."
nuf sa(i)d
Einstein was a physicist not a psychiatrist.
From my Father who retired from the beast.
An appropriate budget for next fiscal year would be a simple bill:
1) Approved Federal positions would be returned to the level on January 1, 2006.
2) The budget total would be set to the total Federal revenue received in the fiscal year ending October 1, 2011.
3) The President would be authorized to set the priorities as to how this money would be allocated among the agencies and departments with the restriction that the military budget could not decline below their actual expenditures for Fiscal 2010.
4) The President would be required to present to Congress by January 1, 2012, the agency-by-agency and department-by-department spending allocations or the agencies not so allocated would have their budgets set to $0.00 for the fiscal year.
5) All moneys would be assumed to be appropriated for only one fiscal year with no money being allowed to be rolled over to another year if not spent.
6) The Judiciary’s budget would be set to the same amount as appropriated for fiscal 2008.
That budget would start us back to the road of sanity.
Thoughts?
Executive Order 11110
http://en.wikipedia.org/wiki/Executive_Order_11110
why are we the people stuck paying 6% to the FEDERAL RESERVE when the Corps Borrow @0%?
Our Taxes Pay for 6% interest back...
Why pay it at all? why not go to a silver / gold standard?
I guess my ignoring your question and answering the larger problem is not what you wanted to hear?
Those waskally wepublicans!
"SHUT IT DOWN", I AM RUNNING OUT OF PATIENCE.
Cannot comment any more than this song:
Cash Stuffed Heads - ex VRWC
V1)
Who can find the cronies?
You don’t have to look so hard
Just follow the money
They don’t even hide it anymore
There’s no need to fear the law of cash-stuffed heads
(Chorus)
The rich man has his credit
And the commoner his debt
And the cronies grow so bloated on legalized theft
At election-time, whose millions put them in our face?
All these cash-stuffed heads – the puppets of all our disgrace
V2
Who can find the cronies?
Just follow the bailout trail
The ones with their hand out
Extorting us - since they’re too big to fail
Fat returns are guaranteed by cash-stuffed heads
(Chorus)
V3)
Who can find the cronies?
They are there on the Right and Left
No matter what the party
They take your vote – then they give you the shaft
All we do is change the cast of cash-stuffed heads
(Chorus)
breakdown, shutdown, we're busted
I see a lot of people complaining about the government and insulting stupid sheeple and ranting about this or that. Well I sure hope none of you file tax returns or do business with any large money center bank and tell all your friends and family do the same. It'd be awefuly hypocritical of you to be saying these things if such wasn't the case.
I am not going to starve or go on a hunger strike to prove a point.. ever.
I guess it would be worse if, I.. was the benefactor of an off shore trust? nothing self directed.. of course.
wrong is wrong and we all will suffer sooner or later.. I have a feeling you dont even comprehend what I just said.. which is why you made the stupid fucking comment to begin with..
never mind..
Or, as I read someplace, it's like a family which has an income of $50K a year, spends $100K a year, arguing over whether they should order a pizza.