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The Fearmongering At The Top Begins: Obama Says "Can Not" Guarantee Social Security Payments Without A Debt Ceiling Hike

Tyler Durden's picture


It worked for Hank Paulson who showed up in Congress with a three page termsheet, delusions of grandeur, a scary story, and an easily frightened audience. Why should it not work for the president. As Reuters reports, "Barack Obama said in an interview on Tuesday that checks to recipients of the Social Security retirement program may not go out in early August if he and congressional leaders do not agree a debt deal. "I cannot guarantee that those checks go out on August 3rd if we haven't resolved this issue," Obama said in an interview with CBS, according to a transcript on the network's web site. "Because there may simply not be the money in the coffers to do it," Obama said." Is that so Mr. President? Please explain then how according to the most recent DTS the YTD (fiscal) amount paid out on Social Security is $469 billion, well below the amount collected from Federal Tax Deposits of $780 billion. As a comparison, this number is lower than the combination of Medicare and Medicaid ($638 billion YTD), and the combination of Defense and Education Payments ($480 billion). Indicatively, Federal salaries are a whopping $137.6 billion, or said otherwise, all of the SSN payments to date are just three times bigger than what the government pays its own employees. Perhaps a bigger issue is that the debt held by the public has increased by $720 billion YTD, a number which will soon grow to $1.5 trillion if the government does get debt hike it so desperately needs.

So please Mr. President, feel free to engage in your hollow rhetoric when addressing your political adversaries or staring at the teleprompter, but please don't pander to the general population. It didn't work for Hank Paulson, at least not the first time. We all know what happened with your all important stock market after that.


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Tue, 07/12/2011 - 13:32 | 1448251 element115
element115's picture

In Soviet Amerika - debt ceiling raise you!

Tue, 07/12/2011 - 13:55 | 1448389 NotApplicable
NotApplicable's picture


Tue, 07/12/2011 - 15:01 | 1448851 nope-1004
nope-1004's picture

Did our president say something?

Was it the truth, or do I need to just let the lie go in one ear and out the other -- AGAIN!


Tue, 07/12/2011 - 15:35 | 1449040 Sudden Debt
Sudden Debt's picture

for amusement purposes only

Tue, 07/12/2011 - 14:11 | 1448513 curbyourrisk
curbyourrisk's picture

It is Soviamerika


Get it right!

Tue, 07/12/2011 - 14:22 | 1448613 max2205
max2205's picture


Tue, 07/12/2011 - 15:01 | 1448845 eureka
eureka's picture

No! It is NAmeZIka - take from old people - pay PentaGun WarWhore.

Tue, 07/12/2011 - 15:58 | 1449161 Fascist Dictator
Fascist Dictator's picture

nahhh, it's the good ol' USSA

Tue, 07/12/2011 - 15:09 | 1448895 caconhma
caconhma's picture

Obama is a real POS.

OK Mr. President, go ahead and stop paying to Social Security recipients. I am eager to see the consequences for you and your Zionist masters.

Lately, you and your handlers both became too arrogant. I don't think you are really that stupid but you never know. American people are indeed very stupid but, I think, this time, you and your handlers are making a colossal mistake.

So, go ahead, try it. After all, the French oligarchy never planned for the French Revolution.

Tue, 07/12/2011 - 15:46 | 1449108 Sudden Debt
Sudden Debt's picture

If they fail to do so for 3 months I think Los Angeles will burn again. As will New York, Detroit, Chicago....

At least the wages of the soldiers and national guard will still be paid...

I wonder if they'll thow cola bottles like in Athens or piss full metal jackets...


Tue, 07/12/2011 - 17:20 | 1449530 thewhitelion
thewhitelion's picture

My guess would be much closer to 3 weeks.

Tue, 07/12/2011 - 15:15 | 1448929 Rick Blaine
Rick Blaine's picture


Tue, 07/12/2011 - 13:32 | 1448253 spartan117
spartan117's picture

And there goes gold.

Tue, 07/12/2011 - 13:33 | 1448255 ads56
ads56's picture

Hope and change! Yes we can!

Now turn the AC off for the old people.

Tue, 07/12/2011 - 13:58 | 1448398 Sudden Debt
Sudden Debt's picture

He did it... and all your hopes and dreams are now worth the change in your pocket...


Tue, 07/12/2011 - 14:24 | 1448626 Problem Is
Problem Is's picture

"Thank you Satan!"
"Yes we can!" played backwards...

CREEP -- Committee to RE-Elect the Puppet
The only fear mongering is that this worthless, incompetent asshole Wall Street puppet gets re-elected...

Tue, 07/12/2011 - 15:38 | 1449055 HileTroy
HileTroy's picture

Holy shit that please put a warning on that !!

I shit my self silly

Tue, 07/12/2011 - 15:43 | 1449096 Oh regional Indian
Oh regional Indian's picture

Tha was funny Hile.

Strange how an intestinal joke will always get a laugh.



Tue, 07/12/2011 - 19:23 | 1449840 FeralSerf
FeralSerf's picture

It's a Freudian thing.

Tue, 07/12/2011 - 13:59 | 1448417 Overpowered By Funk
Overpowered By Funk's picture

Despair and madness - same as ever. Go long Tabasco sauce - makes the cat food a little more palatable.

Tue, 07/12/2011 - 15:41 | 1449081 dark pools of soros
dark pools of soros's picture

catfood costs more than tuna...   it is still tuna, right??

Tue, 07/12/2011 - 15:47 | 1449112 Sudden Debt
Sudden Debt's picture

it's whatever you want it to be :)


Tue, 07/12/2011 - 19:25 | 1449850 FeralSerf
FeralSerf's picture

I thought the cat was the food.

Here kitty, here kitty, here kitty . . .

Tue, 07/12/2011 - 18:17 | 1449701 NuckingFuts
NuckingFuts's picture

Hey I love your western ways.

The only band that really mattered.


Tue, 07/12/2011 - 13:33 | 1448256 dcb
dcb's picture

nope, the obama has to make the little guy pay, social security, retirement. can't stop the bombing in foreign ands and bring troops home. he is such a jerk, and I ain't voting for him again. I just won't vote

Tue, 07/12/2011 - 14:00 | 1448421 TheTmfreak
TheTmfreak's picture

You voted for him? Or actually I should say you voted in the last election?

Tue, 07/12/2011 - 14:14 | 1448548 Shameful
Shameful's picture

Bob Barr wasn't to bad.  Got a chance to talk to him after he spoke at my school.  Early in conversation he was the one to bring up hyperinflation and collapse of the system, not me.  Voting doesn't do anything but can always vote 3rd party to shake your fist at the two headed one party system.  Voting lesser of two evils helped get us here "I won't vote for _______ because they can't win" and maybe not but at least letting the oligarchs know that we are out there.

Tue, 07/12/2011 - 14:44 | 1448759 TheTmfreak
TheTmfreak's picture

Perhaps. However, I would never suggestion that I won't vote for ___ because they can't win. But I tell you what I won't do. Vote for a person I don't like, nor vote for a person I dont' know enough about, to put my name on the ballot.

My girlfriend voted Obama. Boy does she regret it, especially since she has to hear it from me, and read about it herself everyday. Just another typical uniformed voter. Ron Paul all the way.

Tue, 07/12/2011 - 15:44 | 1449099 dark pools of soros
dark pools of soros's picture

is your girlfriend Leo?   how are her solars??

Tue, 07/12/2011 - 15:25 | 1448983 juggalo1
juggalo1's picture

I voted for Obama, and I am not sorry.  Was he better than McCain?  Definitely.  I can't think of any political figure I would rather have as President right now.  I include Ron Paul.

Tue, 07/12/2011 - 15:42 | 1449086 Tortfeasor
Tortfeasor's picture

Head in the sand

Tue, 07/12/2011 - 16:37 | 1449326 Ms. Erable
Ms. Erable's picture

Not in the sand, but in a dark, odiferous orifice.

Tue, 07/12/2011 - 16:03 | 1449184 Fascist Dictator
Fascist Dictator's picture

not surprising that you'd vote for the evil one, just look at the evil one you're using as an avatar. very telling....

Tue, 07/12/2011 - 16:40 | 1449344 rwe2late
rwe2late's picture

Indeed, so many fall for the “good cop, bad cop” routine.

And no matter how many needless wars, how much financial misery, or loss of freedoms, they’ll never be “sorry”

… because the horrors their “team” brings about are only measured against the worse possible they can imagine of the other “team”

- never against a standard of decency that would condemn both teams (of the plutocrats).

Tue, 07/12/2011 - 15:41 | 1449072 Sudden Debt
Sudden Debt's picture

If I where American I also would have voted for him.

He made people see what politics are. That's why everybody hates them so much now.

But there where just to much... to many things that needed to be handeled. To many problems.

I think Obama is a good guy, but he can't pick his battles.

He took on to many fronts and was never able to fix his attention to 1 goal.

If he would have been elected in a economic stable economy, he would have been the best American president ever.

But he's a crisis president now, and as history shows, these never get elected twice.


Tue, 07/12/2011 - 15:46 | 1449107 dark pools of soros
dark pools of soros's picture

Rahm made him.. Wall Street pulls his strings..  wish I knew that beforehand but the curtain is forever gone for me


the only politics you should worry about are local.  fight from the bottom up

Tue, 07/12/2011 - 19:27 | 1449856 FeralSerf
FeralSerf's picture

No, the CIA made him.  Rahm was only a mentor/baby-sitter.

Tue, 07/12/2011 - 14:01 | 1448428 carbonmutant
carbonmutant's picture

Time to file formal charges of Impeachment.

Tue, 07/12/2011 - 14:29 | 1448670 j0nx
j0nx's picture

This. ANY govt. official that uses their office like this to incite fear and panic in the people *cough* Paulson, et al should be tried for high crimes.

Tue, 07/12/2011 - 15:26 | 1448988 juggalo1
juggalo1's picture

Panic is a rational response in an insane world.

Tue, 07/12/2011 - 21:26 | 1450139 bigkahuna
bigkahuna's picture

Fuck off.

Tue, 07/12/2011 - 14:26 | 1448633 DosZap
DosZap's picture

and I ain't voting for him again

So,you at least admit your not real smart.

Either would have been bad, but you slected the Devils OWN.

Shame on all who Voted for Hopey Changey.....


He's fearmongering, and putting the onus on the GOP,while another result he would very much like is the people hitting the streets.........armed.

Tue, 07/12/2011 - 14:35 | 1448706 j0nx
j0nx's picture

As much as I agree with you, it's not likely that anyone else would be any better under this two party bankster owned nightmare that we find ourselves in. Nothing except for term limits and complete lockdown of campaign finance can right the American political system. $50 should be deducted from every American's annual tax return for campaign funds to be split EVENLY between all prospective politicians. That way we take the big business and wall street special interests out of the equation once and for all. They won't do it willingly and the people need to get serious about it and give them no choice in the matter. Until that happens then you can forget about anything that remotely resembles representation.

As an aside, people that voted for Obama and actually were expecting change and hope and believing his campaign bullshit should be doubly flogged for being idiots.

Tue, 07/12/2011 - 14:50 | 1448788 TheTmfreak
TheTmfreak's picture

No questions asked MANY people were swepted up in the "going to fix it all." They needed to be made to realize how stupid of an assumption that is. There was absolutely nothing indicating this goon was "not like rest." Nearly everything this man has said and done has been a status quo to the extreme. This has to be one of the most comical (in a sad way) presidents of all time. The transparency award? Peace prizes? Nearly everything dealing with this clown is an onion piece in itself.

People who are "uninformed" shouldn't vote. I didn't say shouldn't be ALLOWED, but shouldn't vote. I can honestly say in the last election cycle I didn't know anything about Ron Paul, so I didn't vote. I think I even liked John McCain for a little while. *Shudder* Glad my laziness/didn't-give-a-fuckness didn't constitute a vote of confidence for him.

Tue, 07/12/2011 - 15:06 | 1448871 Rodent Freikorps
Rodent Freikorps's picture

McCain would not have given us ObamaCare, and I think his Supreme Court nominees would at least, have been pro-Constitution.

Tue, 07/12/2011 - 15:14 | 1448924 TheTmfreak
TheTmfreak's picture

With McCain we would be probably be at open war with many other countries for more humanitarian reasons. He is a fanatic moron. I thought he would probably be ok and maybe a bit more "middle ground." (i don't like middle ground, but its better than "far left"). However, its clear to me now what kind of a lunatic he is. I think it might almost be BETTER with Obama than him.

I'm not disputing the Osamacare point. However, I don't think it will necessarily stand the test of time, and has only opened a can of worms in so many places. Bankrupting the corrupt system faster, might also be a plus. Depends on how one looks at it I'd say.

Tue, 07/12/2011 - 15:17 | 1448943 Screwball
Screwball's picture

But he might have given us Phil Gramm and of course Palin.  That's not so good either.

Tue, 07/12/2011 - 15:27 | 1448998 juggalo1
juggalo1's picture

I'm in favor of Obamacare.  Obviously it could have been improved, but it is a step in the right direction.

Tue, 07/12/2011 - 16:40 | 1449350 j0nx
j0nx's picture

Get the fuck outa here. Said wholeheartedly with a Jersey accent.

Tue, 07/12/2011 - 20:38 | 1450024 Papasmurf
Papasmurf's picture

You obviously haven't tried to get capable medical care with medicare.

Tue, 07/12/2011 - 13:33 | 1448259 Everybodys All ...
Everybodys All American's picture

Obama is acting like a bananna republic dictator.

Tue, 07/12/2011 - 14:29 | 1448667 DosZap
DosZap's picture

Obama is acting like a bananna republic dictator.



Well, he's on the money, We (most) haven't figured that it is one.Plus, he's made it into one, with a lil hep from his friends at the Fedurl Rescrew.

Tue, 07/12/2011 - 14:42 | 1448739 francis_sawyer
francis_sawyer's picture

He IS a banana republic dictator... with a teleprompter

...& yes... we have no bananas


Tue, 07/12/2011 - 13:33 | 1448261 iDealMeat
iDealMeat's picture

Bazooka Bitchez

Tue, 07/12/2011 - 13:33 | 1448263 williambanzai7
williambanzai7's picture

Tue, 07/12/2011 - 13:38 | 1448281 GeneMarchbanks
GeneMarchbanks's picture


Tue, 07/12/2011 - 14:27 | 1448644 Problem Is
Problem Is's picture

+5... Nice beard on The Bernank Bag...

Tue, 07/12/2011 - 13:45 | 1448327 NumberNone
NumberNone's picture

Flaming paper bags full of dogshit left on our front step.  Appropriate.

Tue, 07/12/2011 - 13:46 | 1448335 MrBinkeyWhat
MrBinkeyWhat's picture

Dear Mr. Bill,

Please stay in hiding.

With love,


Tue, 07/12/2011 - 15:43 | 1449097 Infinite QE
Infinite QE's picture

Pure genius!

Tue, 07/12/2011 - 13:33 | 1448264 Blagio
Blagio's picture

Bring it all down.

Tue, 07/12/2011 - 13:38 | 1448282 BeachBummed
BeachBummed's picture

Pull it!

Tue, 07/12/2011 - 15:04 | 1448868 eureka
eureka's picture

Blow it!

Tue, 07/12/2011 - 13:59 | 1448412 Sudden Debt
Sudden Debt's picture

As long as they do it in style, I'm oké with it.


Tue, 07/12/2011 - 13:34 | 1448265 Josh Randall
Josh Randall's picture

And so it begins

Tue, 07/12/2011 - 13:35 | 1448267 FeralSerf
FeralSerf's picture

He's already reneged on the social security payments.   There was a "guanantee" of inflation protection.  This year they decided they couldn't afford it.

Tue, 07/12/2011 - 13:41 | 1448299 Popo
Popo's picture

Exactly.  Why doesn't he acknowledge that they're skimming social security payments ALREADY via inflation.

Tue, 07/12/2011 - 13:45 | 1448331 Dr. Richard Head
Dr. Richard Head's picture

Well, diet COLA will reduce geriatric obesity. 

Tue, 07/12/2011 - 14:02 | 1448438 HungrySeagull
HungrySeagull's picture

(With a SMILE....) FUUUUCCCKKKK YOU!!!! (Now that is funny, I don't care who you are LOL.

Love it.

Tue, 07/12/2011 - 14:10 | 1448504 Dr. Richard Head
Dr. Richard Head's picture

I can tell you that joke would have gone over the head of the rest of Amerika's joe six packs.  God I love ZH. 

Tue, 07/12/2011 - 14:11 | 1448505 Dr. Richard Head
Dr. Richard Head's picture


Tue, 07/12/2011 - 14:04 | 1448455 FEDbuster
FEDbuster's picture

Lean dog food for older citizens?

Send out the "Federal Vouchers".

Tue, 07/12/2011 - 14:12 | 1448525 Rodent Freikorps
Rodent Freikorps's picture

I can get chicken cheaper than dog food around here.

Maybe dry dog food is what you mean?

Tue, 07/12/2011 - 19:33 | 1449874 FeralSerf
FeralSerf's picture

Chicken feed is even cheaper.  Cracked GM corn . . . yum!  Even better if you soak it for a while.

Wed, 07/13/2011 - 00:52 | 1450563 FEDbuster
FEDbuster's picture

"Let them eat Haitian mud pies", Moochelle Obama.  "With the right dirt, they taste great and are a low calorie, filling treat".

Wed, 07/13/2011 - 00:55 | 1450570 FEDbuster
FEDbuster's picture

"Let them eat Haitian mud pies", Moochelle Obama.  "With the right dirt, they taste great and are a low calorie, filling treat".

Tue, 07/12/2011 - 14:12 | 1448523 UGrev
UGrev's picture

Yeah, but the aspartame will chew the fuck out of your kidneys, cause calicium oxilate deposits in your kidneys and joints and that fucks up your day.. 

Oh,  you didn't mean that kind of COLA.. nvm 

Tue, 07/12/2011 - 15:16 | 1448941 Oh regional Indian
Oh regional Indian's picture

hah! Nice DocDic.

As per tame people.


Tue, 07/12/2011 - 20:22 | 1449989 FeralSerf
FeralSerf's picture

It's the Un-COLA.

Tue, 07/12/2011 - 13:36 | 1448272 ebworthen
ebworthen's picture


That's it; beat up on the the old folks or your soldiers.

I wonder when the "Widows and Orphans" card comes out?

Maybe it will be shuttering the monuments on the mall and non-stop videos frm the MSM of crying kids and veterans, Jefferson and Lincoln in shadow behind them.

Cutting Food stamps and welfare to the inner city areas will be last.


Tue, 07/12/2011 - 13:52 | 1448372 mtomato2
mtomato2's picture

Those who don't see this obvious attempt to foment a battle between the elderly and the "rich" making $250,000 per year deserve to be killed in the riots they instigate.


Darwin lives!

Tue, 07/12/2011 - 13:56 | 1448392 Dr. Richard Head
Dr. Richard Head's picture

Class warfare - it's what's for breakfast Amerika!

Tue, 07/12/2011 - 15:32 | 1449024 juggalo1
juggalo1's picture

I don't know if "foment" is the right word.  He is certainly trying mobilize a large constituency to his side.  What else would you expect a democratic politician to do?

Tue, 07/12/2011 - 14:35 | 1448707 Gert_B_Frobe
Gert_B_Frobe's picture

Pigford Settlement payments will continue.

Tue, 07/12/2011 - 22:09 | 1450264 James
James's picture

Over on todays pic is a truck hauling a 200 ton piece of coal.Seems they're going to put Obamas likeness on Mt Rushmore.

Truck driver said they could'nt find a 200 ton piece of shit!

Tue, 07/12/2011 - 13:36 | 1448273 chet
chet's picture

Just about everything but debt service would be on the table.  Without borrowing we have to cut 40% of spending. 


Social Security would probably be spared, but don't count on it.

Tue, 07/12/2011 - 14:02 | 1448433 Sean7k
Sean7k's picture

The problem is that social security is not the government's money. The only reason they need revenues to fund it is because they borrowed and spent it all. Therefore, to renege on payments is fraud and theft.

If the government is going to default on social security, then why pay it in at all? They are allowed to collect it under the premise that it will be released at a later date- much like income taxes.

However, as more states turn to IOU's and maybe the government as well, then there could be legal justification for the non-payment of taxes. 

Tue, 07/12/2011 - 14:11 | 1448514 chet
chet's picture

I agree with all your points, and I think that SS would certainly be one of the last things they would touch. 

But that leaves:  Medicare (also for them ornery seniors), Medicaid, and Defense.

All I'm saying is it isn't "fearmongering" to point out, if asked, that the failure of this legislation would likely be very very serious.  Not to mention that GDP would go negative basically immediately.

Tue, 07/12/2011 - 14:39 | 1448729 Sean7k
Sean7k's picture

I agree it isn't fearmongering Chet, but I also question whether default is bad for the country. Who loses? Holders of American debt. Who are the holders? 

Iceland had a very successful bond auction yesterday. While the IMF may be able to put a ring around Iceland, Greece or Ireland- America is a whole different animal. 

More important, how does continuing to raise the ceiling help? It doesn't. It merely creates a larger debt obligation and larger interest payments from money created out of thin air- and who benefits from that? 

Tue, 07/12/2011 - 14:47 | 1448776 chet
chet's picture

I don't think would default in terms of not paying our debt.  I think we would cut way back on entitlements and services first.  Ultimately, we are headed for some sort of calamity.  I just don't think that suddenly forcing it by not raising the debt ceiling is the way to go.  If you want to stop of the freeway, do you pull the emergency brake and come to screeching sliding halt in the middle of the fast lane, or do you work your way over the right lane and gradually slow to a stop on the shoulder?

In the long run, I agree with the GOP's approach.  Cutting spending is the best way to close the deficit.  And your right, raising more debt just makes things worse.

I just don't like the way it is being handled in DC right now.  We have the luxury of being angry absolutists here, but in DC people actually have to be adults and work with people they don't agree with.  We've condoned them, and even rewarded them, for acting like five year olds, and we're seeing the logical results of that.

Tue, 07/12/2011 - 15:04 | 1448866 Sean7k
Sean7k's picture

I suggest a different analogy: if you are drowning in the ocean, do you add another 50 pounds concrete? 

I don't agree with government at all, nor do I think you will ever find a governmental solution palatable, because government is tyranny. It has always been tyranny and it has never transformed or evolved into less tyranny- only more.

So, why not just cut to the chase and end the deficit all together? Eliminate government.


Tue, 07/12/2011 - 15:17 | 1448944 chet
chet's picture

Let me know how that works out.

Tue, 07/12/2011 - 15:41 | 1449030 fallout11
fallout11's picture

Indeed. Care to name a single instance of a civilization with "no government" in recorded  human history, aside from short periods of total anarchy/collapse/warfare?   

I've been to Somalia, and can tell you firsthand what appears 0.0001 seconds after you eliminate government - another form of government.

The tribal or clan chieftain/elder(s)/family patriarch was/were the first known form of government and dates to paleolithic times. Man has always had government, some just better (and smaller) than others.

Tue, 07/12/2011 - 17:00 | 1449457 Sean7k
Sean7k's picture

Pennslyvania colony, the "wild" west, Ireland before the British conquered it, Somalia pre 1963 and in the most of the country since 1993-read, "The Law of the Somalis" by Van Notten.The examples are legion. 

Anarchy as a a form of sovereignty has been discussed since the 1800's. It was considered a natural evolution from the tyranny of government.

You assume since we have government, there is no alternative, just as the Monarchists did not foresee democracy or republics. There is a huge body of work on the subject- try "anarchy and the Law" by Stringham. 

Government always results in tyranny and trying the same thing over and over and expecting a different result is textbook lunacy. Allowing a small minority of the population to rob you day after day for eternity, place you in a police state and create a society where it is impossible to own a house, charge you to drive a car, visit a park or open a business? This is your idea of how to live? 

What a slave mentality.


Tue, 07/12/2011 - 19:46 | 1449897 FeralSerf
FeralSerf's picture

Anarchism worked well enough in Ukraine until the Bolsheviks decided that it was too threatening.

Wed, 07/13/2011 - 08:47 | 1451190 fallout11
fallout11's picture

Yep, they lasted roughly two years during the chaos of a world war, a collapsing central government (the Tsar), and subsequent revolution. As soon as things settled down, they were violently crushed. The very definition of my caveat above (i.e. short periods of anarchy/collapse/warfare).  Thomas Hobbes called it.

Thu, 07/14/2011 - 13:00 | 1451080 fallout11
fallout11's picture

Every example you cited actually had a government, just a small one.

Regarding the Pennsylvania colony, 

"The government of colonial Pennsylvania was made of the county seat. As the population grew, it became necessary to put people as the court of commissioners. These representatives were voted in by the people of Pennsylvania, and were given permission to govern over all matters, such as ones concerning public and commercial affairs."

Sounds like governance to me. See also-

Ireland had tribal/clan governance prior to Britain's conquest. I'll check out the book you suggested on Somalia, but from 1993-2008 most of the country was under the control of various competing warlords (some backed by the US) and various islamic militant groups, the Ethiopian-backed Transitional Federal Government (really a local dictatorship in Mogadishu proper) not withstanding. Like I said, I've been there personally working on various engineering projects (church volunteer work) and can happily provide copious print sources to back it up. Even the main airport still regularly comes under mortar attack.

Don't get me wrong, I subscribe to Jefferson's tennant that the best government is the one that governs least, and it sounds to me like you equate small, informally structured and/or local level governance (i.e. no CENTRAL government) as "no government" (not true). But to pretend that all government can be eliminated is naive and ignorant at best, and the vast majority of Somalians themselves will readily tell you that things after 1993 were not better than pre-1993, that even a corrupt and inefficient central government was better than warring gangs and warlords, multiple violent successions/breakups (Puntland, Jubaland, the Rahanweyn Resistance Army, etc), and 'private security forces' (militias/gangs by a new name) running their own territories.  Ask a random Somalian immigrant to the US next time you encounter one.  Now imagine the Zetas or MS13 running your local area.

True anarchy and subsequent lawlessness does not lend itself to a robust free market, enterprise, transparency, risk assessment, or proper price discovery, that requires stability. It also tends to be a destroyer of resources, rather than an effective utilizer of them. Further, human nature seems to abhor a power vacuum, anarchy is by its intrinsic nature unstable, with new would-be tyrants appearing to fill the void almost constantly. 


A very limited central government was tried in the United States as well, under the Articles of Confederation (1781-1789), but that approach did not endure.

Tue, 07/12/2011 - 14:45 | 1448765 francis_sawyer
francis_sawyer's picture

The only reason they need revenues to fund it is because they borrowed and spent it all

The Clinton 'Economic Miracle'...

Tue, 07/12/2011 - 20:02 | 1449937 Kali
Kali's picture

but, but, but I thought SS was solvent and had a surplus /sarc.

Let it happen, then maybe j6p will get that the money they paid in IS NOT THERE.

Just like those RI and AL public pensioners are finding out.  Reality bites.

Tue, 07/12/2011 - 14:52 | 1448805 DosZap
DosZap's picture

Social Security would probably be spared, but don't count on it.


If it's not, get ready for a possible armed revolt.( Nothern Command/Southern Command/Canucks, on full alert..........Defcon 2 and holding.

Operation "Geriatric Geritol Cleanse",bringing caseloads of Geritol, and enemas........LOL

10 million grey hairs,marching on D.C.,now that would be sumpin......LOL

The world would love that,carried into all the Worlds homes.

American's groveling at the feet of the Beast.

Tue, 07/12/2011 - 14:54 | 1448820 DosZap
DosZap's picture

Social Security would probably be spared, but don't count on it.


If it's not, get ready for a possible armed revolt.( Northern Command/Southern Command/Canucks, on full alert..........Defcon 2 and holding.

Operation "Geriatric Geritol Cleanse",bringing caseloads of Geritol, and enemas........LOL

10 million Grey hairs,marching on D.C.,now that would be sumpin......LOL

The world would love that,carried into all the Worlds homes.

American's groveling at the feet of the Beast.

Satanica Pandemonium.

Tue, 07/12/2011 - 15:20 | 1448959 Oh regional Indian
Oh regional Indian's picture

Chet, it's all mathematically unsustainable. And Fiat Ponzi is all mathematics. 

Simple maths too. Actually interest is the only 'real" concept in ponzi fiat land. Per 100, simple or compound.

There is no ceiling.


Tue, 07/12/2011 - 13:36 | 1448275 WallStreetClass...'s picture

it could be because tax revenues come in lumps, and the short term shortfall is borrowed? ever think of that, "bitchez"?

Tue, 07/12/2011 - 13:37 | 1448276 Dreadker
Dreadker's picture

So its gonna be benefits, followed by medicare/medicaid payments then the last resort of suspend the govt employees and don't pay the troops... but of course the troops have to still fight...

Did i skip back to may?  If so, then i'm selling my time machine for gold ;-)

Tue, 07/12/2011 - 14:03 | 1448408 Dr. Richard Head
Dr. Richard Head's picture

Even though I will pay for the debt increase through increased cost of living in general, I am soooooo grateful I don't count any of my paycheck as coming from ANY government agency.  Additionally, I have no plans on being dependent on these fucktards.

Tue, 07/12/2011 - 13:37 | 1448278 espirit
espirit's picture

What? No mention of Federal Govt retirees pensions not being paid on time?

Go for SS, let mayhem begin.

Tue, 07/12/2011 - 13:42 | 1448309 espirit
espirit's picture

I might also add that disabled veterans are also paid with SS benefits, and BO is using this as a trump card?

Massive fail.

Tue, 07/12/2011 - 14:53 | 1448794 KCMLO
KCMLO's picture

double post

Tue, 07/12/2011 - 14:52 | 1448809 KCMLO
KCMLO's picture

While I agree with your disgust, VA disability is not paid by Social Security.  It comes from the VA directly.

Tue, 07/12/2011 - 13:44 | 1448326 redarrow
redarrow's picture


Tue, 07/12/2011 - 13:38 | 1448280 Van Halen
Van Halen's picture

We really need to start marching and then lopping off some heads.

Tue, 07/12/2011 - 13:38 | 1448283 Bastiat
Bastiat's picture

Hey it's not just old folks on SS.  Consider the payments to the children of gangbangers killed in the line of duty.

Tue, 07/12/2011 - 13:54 | 1448388 Bastiat
Bastiat's picture

Oh I notice now he's only talking about "retirement" benefits.  SOB targets a primarily republican voting block.

Tue, 07/12/2011 - 20:01 | 1449918 FeralSerf
FeralSerf's picture


Tue, 07/12/2011 - 20:00 | 1449934 FeralSerf
FeralSerf's picture

Make that the primary voting block.  There's a lot of them that depend on their SS check as their only form of income.

No SS check -- no heat, A/C, food, shelter, dog food.  "So sorry, but due to circumstances beyond my control I'm afraid I'm going to have to starve your granny.  I understand that your granny worked all her life at her low paying job and paid into social security for about 50 years believing it would care for her in her declining years, but frankly I don't give a damn."

Pretty fucking shitty, if you ask me.

Tue, 07/12/2011 - 13:38 | 1448285 Joe Davola
Joe Davola's picture

That box is less locked than Paris Hilton's.

Tue, 07/12/2011 - 13:40 | 1448291 Deepskyy
Deepskyy's picture

Tankz in the Streetz BITCHEZ!!!!


Tue, 07/12/2011 - 13:40 | 1448294 grunk
grunk's picture

He's shooting this wad a little early, imho.

Tue, 07/12/2011 - 13:41 | 1448297 GeneMarchbanks
GeneMarchbanks's picture

MEEEE-OW! Kabuki at its finest.

Tue, 07/12/2011 - 13:41 | 1448300 Internet Tough Guy
Internet Tough Guy's picture

Gold, record high price now?

Tue, 07/12/2011 - 13:43 | 1448303 Joe Davola
Joe Davola's picture


Never tell a joke twice, good or not.

Tue, 07/12/2011 - 13:42 | 1448304 Jim in MN
Jim in MN's picture

Side-splitters for contemporary living:

An old woman was arrested for shoplifting at a grocery store. When she appeared before the judge, the judge asked what she had taken. The lady replied, "A can of peaches." The judge then asked why she had done it. She replied, "I was hungry and gridlock stopped my eating money." The judge asked how many peaches were in the can. She replied, "Nine." The judge said, "Well then, I'm going to give you nine days in Gitmo--one day for each peach." As the judge was about to drop his gavel, the lady's husband raised his hand and asked if he might speak. The judge said, "Yes, what do you have to add?" The husband said, "Your honor, she also stole a can of peas."

Tue, 07/12/2011 - 13:43 | 1448319 MrBinkeyWhat
MrBinkeyWhat's picture

Been married for a long time 'eh?

Tue, 07/12/2011 - 13:52 | 1448374 Atomizer
Atomizer's picture


Tue, 07/12/2011 - 13:42 | 1448307 MrBinkeyWhat
MrBinkeyWhat's picture

SSI is the glue that holds the USSA together. Without that it is end game.

Think about it. Who are the predominant set of voters?

Tue, 07/12/2011 - 13:44 | 1448321 magis00
magis00's picture

Hence playing the strongest card first -- "we'll have to fire police and firefighters, and turn off the electricity and the water . . . everything bad will happen if you don't do what we say" [with gun pointed at head].


Textbook pussy fear-monger.

Tue, 07/12/2011 - 13:46 | 1448333 Bastiat
Bastiat's picture

"We'll have to lay off TSA granny gropers."

Tue, 07/12/2011 - 13:47 | 1448344 MrBinkeyWhat
MrBinkeyWhat's picture

Would you please.

Tue, 07/12/2011 - 13:51 | 1448366 Bastiat
Bastiat's picture

I would disband the TSA.

Tue, 07/12/2011 - 14:01 | 1448431 Dr. Richard Head
Dr. Richard Head's picture

If not disbanded, those who get the freedom taps at the airport should also be allowed to "touch" back.  What's fair is fair mother fuckers.

Tue, 07/12/2011 - 14:37 | 1448722 Bastiat
Bastiat's picture

No child's behind left!

Tue, 07/12/2011 - 13:49 | 1448353 magis00
magis00's picture

Imagine that.  And EPA good-for-nothings.  And 100,000s of "clerical workers" and "admins" with union benefits.  And "administrators" to siphon off all the funding for the aforementioned automatons.  And 13,000 new IRS revenue agents.  And ATF agents better-suited to open new books of business for gun manufacturers than to be Gov't Ee's.  Fucking despicable.

Tue, 07/12/2011 - 15:27 | 1448993 John_Coltrane
John_Coltrane's picture

So true.  This would be my "threat":  I'm going to close down the dept. of energy, education, homeland security,  bring back all foreign troops and eliminate all payments to the UN and IMF and foreign aid, stop all the fraudulent SS "disability" payments and fire 50% of the federal "work force".  Most of these disabled frauds suffer from "work aversion" psychosis due to obesity.  Then I'll block grant medicaid with anything left over from revenues.  Let families take care of their own for a change.

Apparently, Obummer doesn't think families should take care of their elders (or their children for that matter).  It only "takes a village" in places like Africa.


Tue, 07/12/2011 - 13:44 | 1448311 bankonzhongguo
bankonzhongguo's picture

Trillions for War.

Billions in no-bid contracts and mercenaries.

Trillions in private bank bailouts for fake gambling debts.

Trillions for inflated subsidized medical and prescription medicine costs.

Trillions for government pensions.


Social Security - paid in monthly by American Citizens for the last 76 years - 'Fuck You! You're Old and Poor!''

Oh thats right, "eat our peas."

What an absolute disgrace.

Maybe Obama is the Anti-Christ.

Tue, 07/12/2011 - 13:45 | 1448328 SirMike
SirMike's picture

Just remember president Sotero, the passengers of the ship usually blame the captian, not the deckhands or the midshipmen.

Tue, 07/12/2011 - 13:46 | 1448336 NumberNone
NumberNone's picture

You guys and your facts....

Tue, 07/12/2011 - 13:46 | 1448338 Sofa King
Sofa King's picture

I think it's more on the fair side if the incompetants in Washington not get paid until they can straighten this shit out.  I think the Sheriff has got his pecking order all screwed up.  How much does it cost taxpayers for every golf outing? What's the hit for every "official" trip that the President makes that ends up at fund-raiser?  These Jackals need to take a deep hard look at their expenses first, before they ask us to pony up more cash.

Tue, 07/12/2011 - 13:56 | 1448396 youngman
youngman's picture

Eliminate the Secret Service first and foremost...then the limos and jets...the spa.....then watch things get done fast..

Tue, 07/12/2011 - 14:05 | 1448460 NotApplicable
NotApplicable's picture

HA! Fair? Since when does the mafia care about fairness?

Tue, 07/12/2011 - 13:47 | 1448339 Bastiat
Bastiat's picture

HOPE!!  . . . and that's ALL you'll get.

Tue, 07/12/2011 - 15:10 | 1448901 francis_sawyer
francis_sawyer's picture

More like... "COPE!"

Tue, 07/12/2011 - 15:25 | 1448981 Bastiat
Bastiat's picture

or MOPE if you're DOPE who voted for the fraud

Tue, 07/12/2011 - 13:47 | 1448342 Jim in MN
Jim in MN's picture

I bet a quick survey of voters would help prioritize things real quick-like.  Just lay out the line items and start shopping.

Congressional and WH compensation being highlighted in the question of course.

Tue, 07/12/2011 - 13:48 | 1448351 redarrow
redarrow's picture

But... there was money to bail out fat cats on Wall St?

Tue, 07/12/2011 - 13:49 | 1448356 ForWhomTheTollBuilds
ForWhomTheTollBuilds's picture

And so, selective default is telegraphed.

Tue, 07/12/2011 - 13:50 | 1448362 Silverhog
Silverhog's picture

He could make a better pitch to the public with a pair of hand puppets and two TelePrompter's.

Tue, 07/12/2011 - 13:53 | 1448377 carbonmutant
carbonmutant's picture

I can guarantee he won't get reelected if he tries to pull that shit.

Tue, 07/12/2011 - 14:05 | 1448456 Commander Cody
Commander Cody's picture

I can guarantee that the banksters will off him if he doesn't.  Otherwise, they may have to chip in.  And that ain't happenin'.

Tue, 07/12/2011 - 14:08 | 1448482 NotApplicable
NotApplicable's picture

Besides, they will just replace him with the next wannabe savior/charlatan. I'm sure Hillary wouldn't mind ascending the throne ahead of schedule.

Tue, 07/12/2011 - 14:07 | 1448470 Dr. Richard Head
Dr. Richard Head's picture

Nothing to pull.  Consider the debt ceiling passed regardless of the threats of cutting off those dependent on the Feds for their end years.  Obama is really telegraphing the end to Social Security anyway.  The payments will come to those on SS, the problem is cat food will cost more than their monthly SS check. 

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