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The Debt Ceiling Debate Goes Gossip Girl: Obama Tweets That Boehner Is Now His BFF
From Peter Tchir of TF Market Advisors
Teenage Girls
I am not sure when U.S. politicians changed from being elitist, self-serving, perk enjoying, hypocrites, to teenage girls, but it has happened. Boehner sends a Dear John letter. Obama complains that phone calls aren't being returned. Reid is pulling petals from a flower repeating, 'he loves me', 'he loves me not'. We have had to listen to stories about getting homework done on time and eating our peas. I have seen this story before, actually multiple times a day, just turn on Disney network and you can watch the same story unfold over and over. We all know how those shows end, everyone agrees that the other side wasn't totally wrong, there is an awkward group hug, and everyone is happy, until the next episode.
Happy Ending
This won't end any differently. Some form of agreement will come out of this. We will be told what a learning experience it has been, that we, the general public, are lucky that the fortitude of our leaders led them to a solution that 'although neither side got what they wanted' it is the best outcome for a bright and prosperous future. We will be told that it was only by bringing it to the brink that politicians could lose their partisan shackles and do what is right for America, but now that they have worked together so closely once, and found common ground, they will use that newly found bond to create an even better future. Never again will politicians cause unnecessary fear amongst the populace, as now they can all work together. Well, at least until the first presidential election campaign commercials.
Some Simple Problems that should be addressed in any solution
If anyone was truly interested in fixing the problem in the long run, there are a couple of things they could focus on immediately. First, let's remove the language that lets the Treasury, create IOU's of IOU's and not count it against the debt ceiling limit. It is curious that the government had the foresight to include such loopholes in various pension plans, but it is time to remove them. That is not the sort of sleight of hand trick that a AAA country needs. Let's just get rid of that language as that loophole should never be used again.
Then let's address why the Fed has so many treasuries on its balance sheet.
The treasury pays interest to the Fed which then in turn pays it to the Treasury? As far as I can tell, the Fed keeps the treasuries on their balance sheet because it allows them to pretend they aren't printing money.
Mr. Bernanke can mumble on about how he is creating electronic fractional reserves, but let's be honest and just admit that he is using the purchases and sales of treasuries as a way to create or remove money. Ron Paul has suggested that cancelling the treasuries on the Fed balance sheet would provide breathing room under the ceiling, and I have to admit I agree with him.
Finally, we should address what to do with Freddie and Fannie. Let's just nationalize them and assume their assets and their liabilities. Would the debt count against the ceiling? It should, but the assets should count against that. With the size of the infusions the government has provided to these companies, we should stop pretending they don't have the full faith and guarantee of the U.S. government. Just get it over with and assume all of their obligations and assets. If we want to be a true AAA country going forward, then we stop playing accounting games. The government should move all assets and liabilities on balance sheet. History has clearly demonstrated that entities that employ off balance sheet tricks are not good counterparties to lend to.
College Students
While U.S. politicians have regressed all the way back to their teenage years, European politicians have only gone back to their days in college.
Sitting around until the wee hours of the morning drinking, smoking, and discussing all the ways the world could be better. How many college nights were spent going to bed a little fuzzy but so certain that you had discovered something wonderful. Problems were solved and it all seemed so clear as you tucked yourself into bed. Yet, somehow in the morning, you couldn't remember some things. Other ideas, that had bordered on genius, in their simplicity the night before, now didn't stand up under closer inspection. Then finally, you cringe at the thoughts that now just appear stupid in the light of day, wondering how so many smart people could have thought the plan made any sense the day before. Maybe it is a co-incidence that Greece now likes to hold their votes well after the markets have closed (or maybe it is easier for the police to see the torches). Maybe it is a co-incidence that the latest EU proposal came after an all-nighter between Merkel and Sarkozy. Unlike teenage television shows, college students have to grow up and get a real job (or one on Wall Street). The plans and hopes have to get put to the test in the real world. Maybe Europe got it right this time, but I think the austerity Greece agreed to will continue to cause problems, and the latest EU bailout proposal may once again fail to live up to expectations as some things don't work as planned, some people don't react as expected, and some things just never made sense in the first place.
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Buy gold ! Buy Silver!
Beans and Bullets too!
All of the above and more!
During an economic crash a moonshine still will produce liquid currency.
Growing my own.. oh wait. That would make me a white, middle class, gun owning, vegetable grower. Fuck me twice.. my ancestry goes back to the first king of norway. Holy shit!! I'm so boned!
Man, that was funny. The Norway thingy put it right over the top.
You can be my BFF (whatever that means. I hope it's not a homo thing).
I prefer to avoid acronyms like that because of their amBIguity. Aside from that, it's all true; event the thing about being boned.. herky berky borky bork bork borky berky bone-dy bone-dy.. shitski..
They are no different than monkeys slinging their own poo at each other at the zoo dressed in clown outfits!
The shit slingers at the zoo are kept in cages where they can't reak havoc on the global economy. Perhaps the National Zoo in Washington could provide a cage and house Barry and Boner until they fix this mess. It would keep them both ot them off the golf course.
Pistols at twenty paces is far more civilized.
Did the 1100 meeting occur?
If you have an 11:00 meeting and the press doesn't show up, did it really happen?
"Did the 1100 meeting occur?"
Yes.
And Boehner was drinking...hot tea ;-)
Probably started at 11:25 OST (Obama Standard Time)
Girlz Bitchez!
I like the once that get economicly drunk!
That's easy if you have the proper equipment.
http://www.coppermoonshinestills.com/index.html
hmmm... and if you do it right they're blind...
You're a Pro he? :)
Going blind from drinking moonshine is caused from using chemicals to "dress up" the taste.
Also during prohibition inadequate equipment was used such as automobile radiators.
It is impossible to remove antifreeze from used radiators or radiators soldered with lead.
Proper copper or stainless steel distilling equipment used with sanitary mash will not cause health problems.
I had a uncle who brewed "jenever". A bit stronger stuff then you're moonshine.
He used a milk can, lead plumming pipes and a whole lot of potatoes and grain.
I remember that when we came over as kids and when we where a bit sick or something, his cure was always a good shot.
I burned your throat and you lost and taste like for a day.
reminds me of an incident while picking up a bunch of glass carboys for homebrew from a polish immigrant dude. He had something similar to this in his garage and was willing to sell it but I didn't want to pay more then the scrap value of the copper, which even at $150 was a steal.. I'm such a cheap bastard some *all* of the time. He had that piece hooked up nice.. I remember his wife was a stunningly sexy blond polack.
Which can be obtained here:
http://www.coppermoonshinestills.com/
Good music!
I know you are but what am I? - lol
haha
o also complained of being "left at the altar"
He should have been on the right of the altar.
And we all know that altar usually involves sacrifice. Who is going to get sacrificed this time? Of course, the American taxpayer. How many ever of those are left..
He was left at the cradle and hasn't changed.
Really?
http://www.washingtonpost.com/politics/health-care/obama-restarts-debt-t...
One day after a partisan blowup, President Barack Obama met for less than an hour Saturday with congressional leaders in crisis talks aimed at averting a national financial default in just 10 days.
Iceland has shown the world the proper way to deal with this type of financial situation.
You do realize the GOP (austerity main street pays for Wall Street) position is very close to what the IMF / Banker position was in Iceland, don't you?
That's a mis-representation . The GOP wants to cut spending, which benefits everyone in the long run.
Yes, there will be short term pain. Unavoidable. I suggest if you do not understand that borrowing 40% of your spending is a plan for disaster, then please do not reply.
Bullshit. The GOP wants to cut taxes not spending, tool.
Bullshit. The GOP wants to cut taxes not spending, tool.
If you really believe that, you need medication. I can't help you further.
Koolaide is full of sugar... you may want to back off a bit!
BTW... where were you and your friends when the GOP (under Bush) gave huge tax breaks to the top 2%, doubled the debt, and raised the debt limit 6 times in 8 years?
What makes you think I am a Republican or a Democrat?
I am a Southern Patriot ready for the coming economic collapse.
We are ready for this inevitable outcome, are you?
The dog ate my homework...
Excuse this dog while he returns to his own vomit . . .
' Maybe it is a co-incidence that Greece now likes to hold their votes well after the markets have closed (or maybe it is easier for the police to see the torches). Maybe it is a co-incidence that the latest EU proposal came after an all-nighter between Merkel and Sarkozy. Unlike teenage television shows, college students have to grow up and get a real job (or one on Wall Street).'
Priceless, though I wouldn't degrade college students. After all, we are talking about parasites. Comparing to cockroaches, or rather bedbugs would be more fitting. They are all scared of light, too.
I wonder who's in the "driver's seat"??
here it is again: Ron Paul has suggested that cancelling the treasuries on the Fed balance sheet would provide breathing room under the ceiling, and I have to admit I agree with him.
how? when? it is one thing to declare that roast beast should be served at dinner. but doesn't someone need to kill the fuker, first?
whoever read this and didn't like me asking for more info, is the chairsatan just s'posed to give us the ~$1.5 tril. or let us borrow it? loan it to timmah?
last i heard you needed to pay for stuff you wanted, even if you were the goobermint. but maybe all the nice folks who own the FED and these US Treasury instruments would like a little favorable press, so they are gonna kick it down to us. works for me!
i liked the idea when i first read it in nomi prins' piece. after all, the FED "created" much of the "money" to put these T's on its balance sheet, just as the US "created" the T debt instruments.
so, i'm sure when the good bansters, pols, and other folks get this all worked out, they'll let us know.
unless it's all pure fuking bullshit at this point, of course.
in which case someone on zH or someplace might ask them to back their "play" with more information, or just stop blowing smoke up people's asses and just shut the fuk up.
again: how does this work?
I am confused of how they can just cancel it, but at the same time, if the U.S. was a corporation, one wholly owned subsidiary just issued debt, which was purchased by another wholly owned subsidiary. At the holding company level, is there any net debt? If this was a company, the exact same debt would show up as an asset on one side and a liability on another. Weird. If the Fed had to do something to buy the treasuries, it would seem like a loss if they just wiped it out, but all the Fed did was place some zero's in the accounts of PD's. Is there another way they could have done it?
Since for the country as a whole, it is a net zero position, is there some way to get rid of it? Is the purchase of treasuries by the Fed necessary, or just a way to confuse the hell out of people?
ok, but the FED is a private corporation, whose chairperson is nominated by the prez and approved by the senate, like an ambassador, or a cabinet member, but the FED is s'posed to be, by law, protected from politics in its deliberations and decisions, and guided by its legal mandates. after all, deze boyz can create money for banking and for the monetary policy of the nation, which is why all the reporting and answering to congress; beyond all the bullshit, monetary policy is discussed at a very high level; just look at alan greenspan's tapes!
no, the banksters own the FED. and "we" owe whoever hold our bonds, which the US gave them when they loaned us their hard-earned (or printed-by-bankster) cash.
the congress in in charge of fiscal policy (budget: bal or unbalanced? how much? how will goobermint $$$'s be spent, and so on). the prez either signs or vetoes the budget bill, which also includes all the fiatscoes for what the prez runs: the military, and all the branches, agencies, and weaponzi endeavors of this nation.
we borrow from everybody.
obviously, r_paul and the benzelbub both have this here info. the question: well why don't you just forgive us the debt? makes a ton of freaking sense, doesn't it? unless...one owns the debt or is a fuking bankster and here, we're 0-for2!
analagously, why didn't central banks just "forgive" greece's debt? ireland's?
i don't feel too bad not knowing much more about how this wonderful wizardry works. like dorothy learned in oz: actually, it doesn't!
I'll have a slab of that roast beast (you did kill it, dintcha?).... with a side of hot buttered groat clusters
Like! OMG!
http://www.youtube.com/watch?v=489pO9q8guA
I think many of you just don't get it. The "radical, extremist, crazed, cult member, wacko, teabaggers" are in fact the real deal. Unlike most of us on ZH they became politically active and put the blood, sweat, and tears into this game. They are as serious as a heart attack and we will in fact default if president asshat doesn't fold.
The most likely scenerio? President asshat pulls the 14th admendment card. The "teabaggers" will not fold. These people are indeed extremist if you happen to be a looter within the regime. We are terrorist as defined by the regime.
If you believe that it is just business as usual then I respectfully suggest that you are wrong. Tactically, holding the battle here and now is dangerous and possibly reckless. It's what they have chosen to do though. Unlike the 'progressive' caucus (communist), the republicans don't have a dossier on each member to use against them as force.
I'm on record that either asshat pulls a 14th admendment stunt or we default.
President asshat pulls the 14th admendment card.
And I would expect the Supreme Court acts instantly and shuts that down. It's clearly BS. The President cannot borrow money, only Congress can. Article 1, Section 8.
If Hilary would just give back all the China she stole, we could resolve this rather quickly...
You seem to forget the make up of the supreme court. Kennedy( the swing vote) swings left on anything that expands government powers. He swings right on any decision that is beneficial to corporations.
So I guess that makes him a "big swinging dick"
He is a dick that's for sure.
Are raising your credit limit and borrowing one and the same, oh brilliant constitutional scholar?
If he declares an emergency, he can probably do whatever his handlers want. Bush didn't let the Constitution get in his way. Why would Obummer?
And besides, he's a famous constitutional law professor and knows the secret meanings of the Constitution. /sarc
Americans should wake up to the fact that they no longer live in a democracy or a nation of the rule of law. The federal government can and does whatever it wants regardless of the legalities
Default is the only real option. The debt is too high to ever repay.
Let loose the dogs of war and cry havoc Bitchez!
Real "change" is appon US and the outcome is not what most people expect.
The Union will be desolved along with the currency. States will reform around regional areas.
Think in terms of the Soviet Union collapse.
I'm having a hard time figuring out which way everything goes then. Does it all shoot to the moon because the currency means nothing? or do we have serious Greater Depression where prices drop to nothing because nobody can borrow any money to go try their hand at ring toss, er the stock market. Housing prices go belly up even more because nobody will lend.
Screw it. I'm getting rid of my USD and euros on principle. Gold and silver, bitchez.
[I'm having a hard time figuring out which way everything goes then.]---HoofHearted
Hi HoofHearted. Honestly, no one can know the future. However, history is our guide, and human nature is a constant.
IMO, we are having a deflationary great depression followed by an inflationary great depression. (The inflationary period may likely, and quickly, deteriorate to total destruction of the USD, i.e. hyperinflation.)
The question then becomes, when. Again, who knows.
Playing moves in the market is a fool's game at this point forward.
But, it won't last forever. Eventually, maybe a generation or so, we will hit bottom and enact meaningful solutions that return confidence to the market place. That's my more optimistic outlook.
Just my opinion. No one can know the future.
The first fiat was loaned into existence at interest. There has never been enough money to repay the debt. M1 now is at $2 trillion. National debt is at $14.3 trillion. Total debt is $XXX trillion. The whole thing was a scheme from the beginning.
ISEEIT,
I'm tea party. I wasn't hurling the insults, merely parroting the regime's. I actually veer more toward Libertarianism, but I'll take non corporate Conservatism over the regime in place today anytime.
Pretty curious that the 'extremist' demand accountability while 'the adults' in the room insist on looting the private sector in order to play Keynesian roulette. Even a freakin' progressive/communist ought to understand that the present trajectory is unsustainable and the longer we hurl down this path the more devastating the crash will be.
Personally I believe that for president asshat and his globalist commie ilk, a fantastic, spirit crushing crash is precicely what they want. Like one day the lights go out, and by the time they come back on we have a big ole happy global North Korea.
ISEEIT,
ISEEIT,
What happened is obviously what didn't happen, else it would say something negative about people who may or may not share my views but kind of, sort of, look like me.
Get your heads out of your asses you conspiracy twits.
"The debt Ceiling debt goes gossip girl", AWESOME!
+ the numeric value of the u.s. debt!
The answer to these and so many other "problems" is , of course, gold.
This nonsense will pass soon enough. It's no longer amusing or even mildly entertaining - if it ever was. It will pass only to be superseded by more fiat currency shenanigans and ensuing "crises". Only gold can check the greed and lust for power of the bankers and their political ass-clowns. This we learn and re-learn at our own expense.
Also, this post is an insult to teenage girls everywhere.
when did r_paul first suggest this? Ron Paul has suggested that cancelling the treasuries on the Fed balance sheet would provide breathing room under the ceiling, and I have to admit I agree with him.
slewie first heard of it right here on zH, but in a piece by nomi prins, and i don't recall r_paul being involved in what she was trying to put out there
plus, i'm too medicated to check my facts, right now
Now that would REALLY send Au to the moon... (Play those 'expectations' scenarios out in your head)...
you play them in the yours, i already had a laugh when i decided to post it that way
you mighta read the essay, tho i might be mistaken about who wrote it. too much info, at times
(nomi on zH, 6.22.11) maybe this is what i recalled, not exactly the idea to use the money, er, T debt? (paste):
Meanwhile, the budget bantering that drones on in Washington keeps missing the fact that part of the bank subsidization process remains on the Fed's books. This includes $1.6 trillion dollars in EXCESS bank reserves - i.e. reserves for which the Fed is paying banks 0.25% to NOT lend, about $900 billion worth of mortgage-backed securities, and $1.5 trillion worth of Treasuries, partly from the QE2 program. That's an awful lot of captive non-stimulus. It sure isn't helping drive job creation or small business expansion sitting there.
Fixing Four Key Fault Lines in the Global System
http://www.imf.org/external/pubs/ft/survey/so/2011/pol040711a.htm
Baaa Baaa
Don't shoot the messenger, be aware of the plans. G-20 wants to continue to borrow its way out of the problem.
Well they do get elected in a popularity contest...
Denial: US Massive deficit spending in this global era of insolvent countries has isolated the Obama administration from the entire world. The G-7, G-20, Chinese, Russians, Brazilians, India and the American people have all shunned, condemned, mocked, or otherwise tried to shield themselves from it's devastating effects. Only Obama and his remaining skeleton crew of economic advisers who haven't already left in disgrace think massive debt is a good idea. Only targeted deficit expenditures to the private sector job creators that aren't selectively redistributed can be justified.
Obama did always like his blackberry. Guess we shouldn't be surprised when he complains that his boyfriend isn't returning his call. And Boehner must be too old to realize he could have just texted obama that he was walking out :)
"In the dumps
with the mumps
as the adolescent pumps
his way into his hat..."
http://www.youtube.com/watch?v=OlBifX0H3yg&feature=related
Boner may have his faults,but I LOVED the part of him basically telling Hussein to FO.
Not calling back, and not being available was classic.
The same shit they get fed by His Majesty.About time someone said FU and Hoss U rode in on................
If Boner really had NADS he would not have made the 11:00 a.m. meeting.
Why continue to meet , and try and compromise w/someone who wants it HIS way,dude this ain't Burger Kang!!!!!!!!!.
Someone insulted the Mulatto's ass,Too bad.
Perhaps another beer summit on the whitehouse lawn. What no golf game today for Obama? Must be the heat cause he's always on the greens on saturday.
The deal is already made. What they are doing now is holding the public's feet to the fire for a little conditioning of the forced fed sewage plan.
Guess what though, pigs get fat while hogs get slaughtered. This hog's terminal.
Any how, enough about Obama and Boehner liplocking and becoming Best Fags Forever.
On to more important stuff:
http://hosted.ap.org/dynamic/stories/E/EU_OBIT_AMY_WINEHOUSE?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2011-07-23-12-53-42
Tyler you post some funny stuff. This has to be one of the funnier pieces I have read.
Man are the old fogies, soldiers, and doctors going to be pissed when they receive a savings bond instead of a check.
Nope, go cash the bitch, same day..................
Best of luck with that.
The reckless spenders haven't even mobilized their base yet. It will be Wisconsin/Minnesota times a thousand. We'll see how Congress acts when they have a million government workers marching in DC.
Not to mention a market that declines 10% in a millisecond and rumors of bank runs.
First paragraph was hilarious.
As for the second paragraph? I'm sure we'll all be sitting around the campfire soon, singing kumbaya and holding hands. /.
US Govt, thy name is "Kabuki!"
I am running to my Bank Monday,cleaning it out, buying another gross of Krugs, and lock and load.Watch a little T & V, eat some chittlins, and wait for my Savin's Bonz.
why, but, but...uh...WTF is wrong with these dope-heads? all's ya gotta do is just spin off all the various agencies, like they did with USPS! they're killin' it right? shit, we'd be fat in no time.....
Only a restructuring of the international monetary system and its underlying economic theories will help resolve the sovereign debt crisis in the US and Europe.
Check out the latest from the Capital Research Institute (CRI):
The Financial System - A House of Cards
I find your comparison of the Disney Channel to US Politics to be very accurate: Pure theater to distract the masses from the horror of reality.