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Several Inconvenient Truths About The Debt Ceiling And "Deficit Reduction"
Bill Buckler presents an amusing compendium of facts, let us call them inconvenient truths, in the latest edition of his newsletter, some of which would make for entertaining anecdotes if presented at the Biden "deficit cutting" talks, which also, and very paradoxically, aim to cut US debt by increasing it.
- Not one penny of US debt has been repaid for 51 years: the last time US government funded debt actually decresed on a year-over-year basis was 1960
- 97% of today's funded debt has been accumulated since August 1971 - the end of the Bretton Woods era by Nixon, and the terminal delinking of all fiat currencies from any and all hard assets, ushered in the era of modern-day hyper-debt insolvency
- Obama projects 2.5% Fed Funds rate in budget calculations through 2020. Average Fed Funds rate since 1980: 5.7%; Since 2008: 0.00%, If average 5.7% rate was used, projected US deficit would increase by another $4.9 trillion by 2020
- Obama projects 4.2% growth rate over next 3 years. If a normal growth rate of 2.5% is used, deficits would increase by another $4 trillion by 2020
- The US government borrows 40-50 cents for every dollar it spends. A balanced budget would mean cutting government spending in half.
- Implementing a balanced budget would not reduce current debt outstanding. It would merely stop it from growing.
- Over the past three fiscal years US debt grew by over $1.5 trillion per year: this is more than three times the record annual debt increase in any previous year in US history
- Last night deficit reduction targets were cut from $4 trillion to $2 trillion over the next decade, in exchange for a $2.4 trillion debt ceiling hike, which will last the Treasury until the next presidential election. Said otherwise, the Treasury needs to fund a $2.4 trillion hold over the next 15 months. Over a decade this come to $20 trillion: ten times more than the proposed deficit reduction.
And the most inconvenient truth of all:
The Global Financial Crisis (GFC) is said to have been precipitated by the Lehman failure in 2008 which froze inter-bank lending on a global basis and almost brought down the system. It is said to have been prevented by a massive and global increase in new money creation. In reality, had economic nature been left alone to take its course, there is a good chance that the world would be fast emerging from its financial black hole by now. At a minimum, most of the malinvestments would have been discounted to the point where they would no longer act as a dead weight on future savings and investment.
Economic “miracles” (so-called) have happened before. The US emerged from a deep recession in 1920-21 because the government and the central bank did NOT interfere. Germany emerged from the actual physical rubble of WW II for exactly the same reason. So, to a lesser extent, did Japan. In all these cases, debts which could not be repaid were not held on life support by central banks, they were written off. In all these cases, creditors took very severe “haircuts” indeed while many debtors literally had to start again from scratch. In all these cases, the LACK of government impediments or government largesse meant that a recovery took place in a much shorter time frame than would otherwise have been the case.
Economic distortions today are HUGELY bigger than they were then. That means that the recession will be deeper and the recovery phase possibly longer. But until it is allowed to begin, there is no way out.
None of the above will be noted anywhere by the great diversionary media spin machine over the next two weeks, since July 22 is the date by which Congress says it needs to pass the debt ceiling legislation so it can get it to Obama's desk for his signature by August 2.
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You nailed it man. Well said.
"Occult Forces" (1943) ~ National Socialist Anti-Freemasonry Film (English Subtitles)
http://www.youtube.com/watch?v=PLhpYJfB4X0 <-- (51:34)
http://www.redicecreations.com/article.php?id=15959 <-- (Summary / synopsis)
The best take on the 2012 thing I've seen was a book by Daniel Pinchbeck caled "2012: The return of Quetzacoatl." His point of view is that the end of the Mayan long count will coincide with a fundamental shift in the mentality of the human race. A dawning of a new age of consciousness, if you will.
I like it because, ever the cynic, I want to believe that humanity will realize the scam and throw off its shackles.
Agreed. I think 2012 will mark the widespread recognition and downfall of the Luciferian hive mind that currently rules America and Europe. It will (hopefully) be replaced by a freedom-loving people-power revolution bound together by the consciousness of a telepathic internet. Oh yeah, and aliens. It will turn out that aliens are common but any would-be spacefarers with a billion-year head start were inevitably destroyed by some apocalypse. There will be no galactic empire and many Tatooines. Eternal Chaos, from which the greatest creativity flows. The scientists will wonder why nobody broke out early enough to achieve hegemony. The truth will boggle their minds.
p.s. Five dry but semi-habitable planets (much better than Mars) in the Alpha Centauri system, and three wetter ones around Epsilon Eridani. Watch this space...
p.p.s. +1 distant waterworld in our own system, to serve as a steppingstone
2012, Revelations, China Syndrome or whatever your belief system tells you is cool but........
Common thread running throughout everything happening is incremental global consolidation of wealth and power to the elites.
It's all a big joke; too bad the joke's on us.
Forgive failure starting with the individual if you want to test the efficacy and morality of no consequences for choices.
Forgiving failure and rewarding malfeasance at the bank/investment house level is a complicit admission of controlled contrived markets and organized tyranny against the people.
This is why Grandma stashed her remaining fiat under the mattress.....and all along we thought she was crazy.
Umtil the house burned down :( no mo' fiat.
If she'd had gold, she would have been fine. A handful of semi-melted coins is still worth whatver quantity of gold it contains.
But you don't need fire to destroy fiat.
rainman,
Exactly.
I remember old folks from depression era cussing the banks and putting their money anywhere else. I too, thought they were a little wacked or backwards.
Amazing what some perspective and experience can teach you.
I have often wondered how many containers of gold/silver remain buried in the backyards of Europe for the last 1000 years.
http://www.bbc.co.uk/news/world-europe-14080228
And bombs.
Geology is recorded in a layer made by world war one some meters below the grass all over Europe.
Sometimes you unearth the dead and they need to be shipped to the Home nation for burial.
The world war one maps of village that existed dont exist today. You might be able to locate the positions carefully but...some of it is lost for ever.
Was there ever a year that war was not being waged somewhere in the world?
Are we savages ruled by elites.
One of the best comparisons and contrasts with respect to the great depression and the great depression... er, well, ya'll get the drift.... is found in the political cartoons.
They tell the exact same stories, what with the Fed, other central banks, currency hoarding by such, failure to lend and borrow, abusive practices of the financial community in bed with the politicians....
The words of history are frequently redacted, made politically correct so to speak and by doing so we risk Santayana's repetition of the past. But the cartoons and illustrations cannot be jury rigged. They remain wholesome in their alacrity.
Yup, Granny hid her wealth (fiat and gold) from the Barbarians Inside the Gates.
It takes a generation to unlearn the lessons of the previous generation. Also, even in hyperinflation some cash will be needed because of the likely bank holidays.
While working at a bank in the early 80s I had a customer who had lived through the depression; he had 13 "savings" accounts, each of which he kept $100K in, all drawing zero interest--by his directive. I asked him one time, why would you do that? His answer: "Fuck those bastards--criminals in Washington. They'll never get another fucking cent from me to run their criminal syndicate!" He then snorted and stomped off grumbling "fucking criminals. Fuck Reagan. Fuck Reagan..."
For those who may not know, interest payments must be reported to the IRS by the agency which pays its. Thus, the IRS has the bank account numbers of all accounts which earn interest and can confiscate the monies in them if someone were to, say, not pay their taxes. Non-interest-bearing accounts are not reported to the IRS, because no interest is ever paid. Thus, the IRS does not have the account number. That is probably why the accounts were non-interest-bearing at the owners directive.
And yet this old fool voluntarily surrendered and threw away who knows what significant fraction of his wealth by allowing its value to be confiscated by the ongoing process of currency depreciation (i.e., so-called "inflation"), without even the possibility of a nominal acrual of interest. Talk about cutting off your nose to spite your face! That old ignorant fool got everything that was coming to him --- or more precisely, lost everything that was going to his monetary captors.
you missed the point
i know a older friend of mine who invested a lot in various deals, while she was working. now in her retirement, they are paying her dividends. but the problem is that the paper trail is long and obvious and her broke uncle waits every quarter for his share. so now she complains about taxation and she has not worked since 1998. i told her, she should have been buying silver and gold coins all of those years and she would not have those tax problems........on the other end of the phone line.........silence.........
i told you so, does not go down very well for many.........too bad.........
Yes, what a silly old fool - think of all the money he would have made if he'd bought gold on Jan 20th, 1980!
:-P
So what exactly did I say in the above post that deserved to be junked, much less five times? Anyone who would ignorantly pretend that the ongoing, decades-long depreciation of the dollar does not exist, and hold their savings in cash while constantly thereby losing real and significant value in those cash holdings, IS demonstrably an idiot, or at the very least very naive and ignorant.
Just what the fuck is happening to this site anyway, when common-sense responses are junked, and the Keynesian filth of leo kovilakis is given actual respect?
ZH is slowly going to sh**, much like the rest of the country (US, for our international viewership).
The old guy in question, who lived through the Depression, had experienced a deflationary economic crisis. We are all the products of our own experiences, and his had taught him that lesson. Unfortunately, this made him susceptible to the dangers of inflation, since in effect he was still fighting "the last war".
My Grandparents were always scrimping and saving, canning foods etc during the boom times. As a teenager I thought they were crazy.
Now not so much.
Your grandparents were ants, young grasshopper.
I have done the same, just as my grandparents have done.
The old stories passed down came in handy these last 30 years or so. The only regrets were three.
1-Failure to open a 15% CD 10 year term at the mid 80's just before the plummet (And failure of the very banks offering them)
2- 5.00 Silver when the prices barely moved until the first attempt to break $50
3- 200 Gold. Should have piled in at that point or earlier. However at the time, 200 was quite expensive.... or cheap to others who truly have power in money.
Something to think on.
I am old enough to have handled silver dollars, green dollar bills with silver certificiates on them also bills backed by gold should you be so inclined. After 1971, all that went away quietly into the night.
You can still own the coins out of Bullion Direct or some place, but forget trying to find any of the old greenbacks unless you had a uncle who collected them.
I can still get small quantities of silver certificates, but I can't see the point of it. It's unlikely that they could be redeemed for specie, so they're just a collectable. Rather have some swiss francs or similar, if I was going to hold paper notes.
Like holding a million dollars in redeemable Confederate Coupons, only nothing that existed in 1864 exists today and be able to redeem.
The best I think I can do is google those papers for the memories, be cheaper that way.
All the silver certificates you'd ever want:
http://coins.shop.ebay.com/Small-Size-Notes-/40028/i.html?_nkw=silver+ce...
I have dozens of them and they're worth about a buck since they're circulated.
They are still legal tender.
Deficit's do not matter...until they do.
http://www.youtube.com/watch?v=lQf-u2nCVSw
+1 Rusty Yen check the bottom of the thread...
I'm DocJ and I approve this message.
A democracy needs to be constituted with hard debt limits. Otherwise, candidates will appeal to voters by outspending their competitors.
We are a republic.
For which it collapsed, unable to pay our just debts.
Re: A democracy needs to be constituted with hard debt limits. Otherwise, candidates will appeal to voters by outspending their competitors.
A democracy (or Republic) can only exist under special conditions. A country this size can't be either, and never was one. The fantasy only lasted until the land and resources ran out. The political system was always owned by the rich, which is why corporations were declared people in the 1900's and we have a Federal Reserve owned by the nobility.
PEOPLE make a Republic. Of, by, and FOR the people (NOT the corporations).
If our current FRNs-fiat does what? Collapse? ...as it mathamatically must and the World is forced to fall back onto a Gold backed fiat and it pushes gold to $12.5K and oz, is it bad?
My frustration stems from the last three years of Banker largess and Those-That-Know this already having plundered thru TARP, ZIRP and the other bevy of acronyms, stashed their hoards of Gold and Silver for the reset and will be sitting pretty.
May Heaven help civility if the broken mobs figure that out.
What would be the stopping point of the slaughter? Corporate position, residence size, tipping-point income rate including bonuses, stock options and benifits? ...and who would judge the guilty? The witch-hunting mobs?
...or a neutral, apathetic, inappealable computer program determining someone's fate?
It may come down to you or I if we possess too much __________.
Is that not what it always comes down to? I will rely on myself and family. See ya on the other side since I'm sure you are doing the same.
It's all relative, and in the world we are about to enter, everyone is going to look undeserving to someone else. Answer to your question: There will be no rational stopping point; this is the holocaust soup the witches and warlocks of Wall Street are brewing; unbeknownst to them--as they're comforatbly ensconced in their golden cocoons for the moment--they will just be the first, most conspicuous targets, the rest of us being "collateral" damage.
Yeah, that's what I'm afraid of and was too reserved to say it.
While I protect my family from said event's progression, I fear not knowing how bad it could get. Will my comfortable, almost-paid-off house make us a target? A focus of majority aggression? I don't want to be put into that position. Appocolypse would seem easier with less population to deal with.
I wish this comment box had spell-check too.
"will my comfortable, almost paid off house make us a target?"
Yes, it will. Think about it. When most people will be hungry and homeless, having a home or a meal will be considered wealthy. Look at the Reign of Terror, after the French Revolution. As I became a young adult in the midwest in the 70's, I learned to not appear even solvent. If you had new clothes, a late model car, or looked a little too well fed or bred, you became a victim of crime. Anywhere/anyone/anything that had perceived "wealth", was noticed, became a target. Remember truck jackings? It did not even have to be wealth owned by "individuals". That's why I buy my clothes at Goodwill, drive a 21yr beater Honda Civic in town. In bad times, let your house and yard look a little shabby. Let yourself look a little shabby and if you are packing a few extra pounds, ya better lose it. Even today, certain cultures associate obesity as attractive, denotes wealth and status. Otherwise, you would be a starving toothpick like everyone else.
We are paid off and so are all our neighbors. However we are all challenges in one way or another. All of my neighbors on all the fence know each other in some way. Should the Society fragment, we will try and help each other a little.
We are already doing it.
The first thing you need to do is get out of the City. I don't care who you are or what you do. Get out. Relocate somewhere quiet. Maybe near a town or county seat of 2000 or so people. But never closer than two hours walking distance.
Stop chasing the almighty dollar you have been doing. Start living with a ... 8.00 hour job in Subway while your family lives on a budget within your means. Use the excess to learn how to grow crops, learn how to convert wood into gas (Austrian method) and learn reloading ammuntion or some other important trade from Colonial/Western/Amish eras and share with your new neighbors.
Finally.
Live in a free state. one without gun control or big city crime. There, you learn how to handle, shoot, clean and move with weapons. Home defense first, public self defense second. Train.
Then move on towards making your home a hard target. Plan on either dying inside the home (With your burial arrangments already paid for for everyone within) or being able to grab a go bag and evactuating to a peice of land out somewhere really quiet.
Lose your obesity, get fit and take the time to rely on your family within your home. Discard anyone who poo poos you off as a nut. They will learn the error of that judgement later. Avoid anyone who wants a fork in you.
Unless you live in the Hamptons or Manhattan, you'll probably be ok.
Re: Unless you live in the Hamptons or Manhattan, you'll probably be ok.
History shows you've got this backwards. The peasants usually turn on each other first. Sure, a few nobles get killed (AND, their deaths are greatly exaggerated in the histories to "prove" how much the poor nobility suffered)
Hell, the Krupp family is still going strong. Can't get much worse than what "that poor poor family" went through. (My heart weeps for the pain they must have endured. Good thing they survived tho, otherwise where would my coffee maker have come from).
I think you're proving my point. The poster is not a peasant (peasants don't live in comfortable homes, last I checked) nor is he a 'noble', if such a term could be applied to people like Blankfein without me losing my lunch.
I thought you meant: the places where the nobility lives would be invaded by the peasants first.
> Re: peasants living in comfortable houses.
Sure they can. Don't confuse the word "peasants" with a specific time and place. There's always a small group of nobility that own everything and large numbers of peasants paying the nobility "the rent". Just because ours are riding around in Beemers (with borrowed money) and McManions (with borrowed money) doesn't make them NOT peasants. They are debt serfs. Serfs are peasants. They pay interest (rent) to the nobility.
Since you mention it, I think we should have a mass trial by Internet. Crowdsourcing is the only way to get enough eyeballs on all the pieces of evidence that will come out after the revolution. Every IP address that can solve a captcha gets a jury vote on everyone tried before the junta. Everyone gets a few months to state their case and let Google and the conspiracy theorists crawl through their records. Facebook pages would spring up for/against. Bonus points could be given for finking on higher-ups, if the crowd wills it. I'm sure the media will spin like mad (many of their own will be in the dock) and the NSA/Rothschilds will try to farm out the votes but there is no way they can out-crowdsource us. The whole world would vote, because many of these people have committed crimes against humanity. Payback, bitchez.
Um, well, I really don't know how to put this but, it could very well be that the jig is up.
They missed the part where not spending like this is considered "fanatical".
If the government had not interfered after Lehman, there would have been no difference in result vs what has happened with that interference.
Oil decides all this. Not governments.
Is there any way to get the story straight before 5pm? Im going out to dinner.
Here's another inconvenient fact:
You could eliminate the ENTIRE defense budget, and not even reduce this year's deficit by half.
As Charlie Brown would say: "We're dooooomed."
Gnashing teeth will do nothing. The political system is designed to funnel the most worthless piles of human filth into positions of power. The imperial court is packed with obsequious syncophants, looters and power hungry slime bags. The imperial culture is poison and poisoned.
You forgot fat fucks, votox queens, and just plain weirdos.
You failed to see the famous Greek Obese Person leaning back in his chair recenty.
statue_of_zeus_at_olympia.jpg
The power elite and the MSM have decided to ignore and not report the inconvenient truths in this article. To do otherwise would imply that they can do something about it.
Better to continue on the present debt spending path rather than awaken the masses to the doom that awaits them. After all this time its different and the masses do not want to hear the truth anyway. Life as we know it goes on. It has for thousands of years. Why upset the applecart?
The mouth breathing elites are running out of money. Expensive programs to develop new technologies are exceeding levels to pay off the old technologies. The fast and furious administration will unfold hidden facts thru mistakes not checked within collective control guidelines. Tiss, tiss, tiss…. LOL
Joseph Tainter; The Collapse of Complex Civilisations
Collapse of Complex Societies by Dr. Joseph Tainter (1 of 7)
Dr. Albert A. Bartlett's presentation on "Arithmetic, Population, and Energy."
The biggest joke in that list is the 4.2% rate of growth assumed by Obama over the next 3 years. That would represent an unusually strong economic rebound sustained over an unusually long period of time. It's very much like pensions assuming 8% earnings on their assets forever.
Yes it's a joke and this is for Pres hopium
Before I speak, I have something important to say.
- Groucho Marx
Great stuff, Bill
Here's a really really fun fact: While about half of government spending is funded by borrowing, they actually have to BORROW EVEN MORE THAN THEY SPEND to accomplish this, thanks to the never-ending rolling of short term government paper.
Last time I checked, total borrowing was about 116% of total spending.
Pretty awesome, huh?
Reminds us to update this article from January 2010:
US Debt-to-Deficit Difference Hits Fresh Record, As Treasury Continues To Issue 50% More Debt Than Needed To Fund Deficit
China boom boom economy turning into doom doom
http://gmbpost.com/investment-news/china-economy-in-charts-will-boom-boo...
China's economy is continuing to grow despite the global recession, helped by a massive government stimulus package of $585bn.
China has not been Boom Boom in YEARS!
yup. And the mafioso in the Fobidden City know it, too. Some indicators: banning all foreign films last 30 days (as if their usual censorship weren't enough), pushing their marvelous "Beginning of the Great Revival" (compulsory for schoolchildren), increased emphasis on nationalism, etc.
And Dum Dum has no monee for boom boom girl.
"...deficit reduction targets were cut from $4 trillion to $2 trillion over the next decade, in exchange for a $2.4 trillion debt ceiling hike, which will last the Treasury until the next presidential election. Said otherwise, the Treasury needs to fund a $2.4 trillion hold over the next 15 months. Over a decade this come to $20 trillion: ten times more than the proposed deficit reduction."
The pols still haven't gotten the message. They are going to sell this "deal" as some sort of move towards fiscal responsibilty - it is the exact opposite. Raising the debt ceiling, by definition, is moving the entire country in the wrong direction. And any promises of reduced spending will not be kept... if promises of reduced govt. spending were even half-serious, then the debt ceiling would not be raised to begin with. The two 'goals' of this deal are at odds with each other, and even the dimmest of voters can figure this out... it doesn't pass the sniff/laugh test.
The main players in this deal will be thrown out of office in coming elections. 2010 was just a preview - apparently already forgotten by remaining incumbents. They'll finally get the message as they pay for their flight home from DC with their own money - a new experience for most of these 'public servants'.
Government will not shrink until the 'house cleaning' is complete... all of these career corporacrats need to be voted out of office ASAP. 2012 will be another bloodbath for incumbents, imo.
I guess he's including intragovernmental debt. Debt owed to the public was decreasing as recently as 2001.
Funny how all the great emipires in the last 3000 years are all in the crapper. Greece had its day and now is a perpetual joke. Then came Rome, and they can can't make anything but fancy handbags. England was the last world power, but now their only good export is American Idol. Now we come to the last great empire - the U.S. Our lasting mark of the world now is McDonalds, KFC, and Coke.
Time is never on an empire's side. Sooner of later your resources get stretched too thin and the state gets morally and financially bankrupt. After the last three empires, you think this would not catch anyone by surprise.
Our lasting mark on the world? You forgot really good special effects in movies, incredible alternate reality video games and bat shit crazy weaponry. : )
And don't forget cool websites.
Yeah - I knew we were headed for doomsday when I found out, to my chagrin (naive as I was), many years ago, that all the most talented IT grads were going into fucking video games. Video games - our hope for tomorrow. Well, I guess if I'm gonna espouse capitalism....WTF is it to me? There's the quandry. Still looks like fast-forward to cliff-side, though
Some of which was star trek fantasy decades ago. The agonizer as expressed today in the Sonic pain ray on a humvee. The phaser on a laser system and so on.
Theoratically were approaching a point at which actual humans in actual military vehicles are irrevelant. War can now be fought online day or night at any time anywhere in the replicated world by those who have a fast computer specially built by themselves for the job.
the dinosaurs lasted 300 million years--without a central bank--top that
We will last another few billion before being consumed by our own Sun which will expand in it's dying years.
Not years - Eras.
Unless some giant space rock decides to just mess us up.
Maybe we'll grow feathers, and beaks out of our asses?
US debt is owed to the Fed.
Greek debt is owed to the troika.
Do we really expect our children to toil with nothing but the electrons conjured by these frauds as compensation?
The Shareholders of the Federal Reserve, EARN! 6% on any money printed out of thin air and loaned to the U.S. Lobby Whores / Sheepeople.
The 6% is collected off the top from Taxes Collected by the U.S. Government.
The Federal Reserve.. a Private Corporation.. has a Private Security Force that now has the same rights that the F.B.I. / C.I.A. / N.S.A. / Secret Service has.
Obama! NOT Bush!! signed into law the Protections of the Private Security Force!
On October 12, 2010 President Barack Obama signed into law S.B. 1132 the "Law Enforcement Officers' Safety Act Improvements Act", which states that police officers and law enforcement officers of the Federal Reserve are "qualified law enforcement officers" and thus are authorized to carry a firearm off-duty. This update to the Law Enforcement Safety Act, among other aspects, clarified that Federal Law Enforcement Officers working for Amtrak and the Federal Reserve (not funded by Congress) are specifically granted the same rights as publicly funded law enforcement officers as it relates to off duty concealed carry.
http://en.wikipedia.org/wiki/Federal_Reserve_Police
That is called LEOSA. That usually removes limitations otherwise imposed on weaponry.
And yes I hold a Concealed Carry License and only those Active Duty, Sworn Leos on Duty or LEOSA may go where I cannot.
I ran to the gas station today, and as I was leaving, a uniformed and armed person was walking in as I was leaving. I had to do a double-take, as I was not familiar with the uniform.
Turns out there are "parks and recreation" officers that carry Glocks now. W. T. F.? Where does a park security officer need to use lethal force- if someone doesn't pick up their dog poo?
Only bright spot there was that it was hanging off an obese woman. I could've taken that gun and dropped her in under five seconds, and she would never have had a chance to blink. Same goes for the local cops- a gun is only as powerful as the person carrying it, despite the common perception of it as an equilizer.
You should see the Parks Service that Patrols the White House.. those squirrels will run up and sit on your foot.. as well they are all 5lbs overweight.. considering a squirrels weighs 2lbs to begin with..
MP-5's, M-4 and H & K .45's as well in sub machine gun form. Once again, Parks Service.
as for a gun making a person or not.. the most dangerous person is a scared person, bar none.. scared people do weird things at weird times and are not controllable. as for trained or not? it is not about training as much as is the trained person paying attention? if not they are a useless as an un-trained person.
Guns dont kill people, people kill people. Ex-Wives dont use guns and they take their sweet ass time killing.... people would sell you the idea a gun is dangerous, deadly or something to be wary of.. fuck a gun! women are scary! Hell has no Wrath! given that, that saying has been around for 100's of years? DUUHH!
1 inconvenient truth is that it's not a debt ceiling. When the debt ceiling get's raised practically every year for a decade the term becomes oxymoronic.
Let's just start calling it was it is; a debt floor.
i get nervous when i hear: "Obama projects...".
the only thing this dude personally projects is his voice reading the teleprompter.
probably the only choices he actually makes are what's for dinner.
"...probably the only choices he actually makes are what's for dinner...."
I think Mrs. O has probably got that covered as well..
Congress sees a Big Bundle of Money ...just sitting there:
Congress takes aim at 401(k)s
http://www.bankrate.com/financing/retirement/congress-takes-aim-at-401ks...
Hungray, Argentina, etc...they have all appropriated the people's pension money...is the USA next? How will this policy affect people's desire to save for retirement?
Already doing that.
This government has been replacing the cash inside the worker's retirement money with IOU's About aug 2nd that money will run out.
time to ramp up the salvation army, toss the nickels into the drum and save all the truly dependent class and maybe a few drunken bums. those deemed non essential government employees have to figure out another way. the era of economic financial repression is upon the world, the sooner you come to terms with this the sooner a brighter future for all will be discovered.
Salvation Army will not withstand the stormtroopers who were former Citizens now hungry, shirtless and desperate for anything to stay warm in the coming winter.
"toss the nickels"
better to hold on to those older nickels...
Each nickel now worth over 6 cents in metal value (www.coinflation.com). Give them all the garbage pennies (1983 on) instead.
Makes me wonder if you can source that metal into your Bearing cages and races.
+ 52100 grade steel!
If Korea wants to buy my $300 in nickels, well, let the bidding begin!
What is news about this article?
TARP. Worst. legislation. EVER.
Wrong! The bank bailouts have mostly been paid back. The worst legislation was the Stimulus bill that was about the same size and did nothing but add another $800 billion to the debt.
Paid back with....your purchasing power parity. What's the matter...didn't like your $80B in tax breaks?
Re: TARP. Worst. legislation. EVER.
Perhaps, but inevitable by the late 2000's. The nobility - decades ago - established that the government was run: Of, by, and for the corporations. That's why corporations are people. The next steps are to demote humans to sub-people status (just to make it official).
Maybe when there's no groceries at the local grocery store & no gas at the local gas station?
Been there, done that. Katrina is a example.
We lost our substation and ran on fuel reserves off our generator a while. The vehicles too. No need for the gas station which had no power.
TThe no groceries at the store which has been destroyed in the storm is not a issue either for about a time measured in weeks or months after the event.
The Churches fed the hungry and kept them taken care of, otherwise they would have rioted by now.
Oh, world war two blackout and light disclipine was necessary to prevent our one home from shining like a beacon in a entire dark neighborhood.
Too bad the facts presented above by Bill Buckler are oblivious to 99.99% of the U.S. population. Then again, would it matter anyway?
It is the nature of the human species to reject what is true but unpleasant, and to embrace what is obviously false but comforting.
H.L. Mencken
Re: It is the nature of the human species to reject what is true but unpleasant, and to embrace what is obviously false but comforting.
So true. We've got the only system possible in a country this size.
Default and start over.
All lies in jest, 'til a man hears what he wants to hear and disregards the rest.
We don't need no education...
At the sovereign country level, debt bas been accepted as being perpetual. Default is used as a concept of not being able to refinance said debt.
The ideal state is to continue to refinance the debt and raise it as needed. As long as countries can do that, then all is well. This is the reason the American people are not worried about the debt. Within living memory, none of us have seen a default. Most of us believe that it will not happen, cannot happen or will NOT be allowed to happen. Our power structure, (government, political, academic, MSM, etc.,) have convinced us that this is fact. IF default cannot happen, then why should we be concerned?
Most peoples lives revolve around family, work, sports, religion or politics. Anything else does not register.
Why can't the Government just get some new balance transfer credit cards and toll the debt over. I get offers like that from credit card companies every day. Problem solved.
I guess the author was implying we can forget the debits, they will pay for themselves in time. Party on.
I wish we could have Bill as a contributing author on this blog to replace Leo.......
Oh hell...........:)
Gubmint boys gonna need to shut you down, Tyler - you paint an ugly picture, inconsistent with the teleprompted script.....
Again IF YOU BELIEVE A DEBT CRISIS=LESS GOVERNMENT then you are wrong. That's why the democrats at a certain level don't care. The goal appears to be a simple "more government due to crisis" and "we'll figure it out after that" approach. (AGAIN: the irony of The Bernank through ZIRP being opposed to this should not be lost on anyone) Of course whatever happened to good government again? Obviously it's been getting downsized dramatically ever since Obama came to office--with NASA clearly on the chopping block now and "victory in Afghanistan" having been declared. In my view this approach is simply not workable and what is happening is we are in fact carreening towards a major conflaguration in the Middle East.
"Germany emerged from the actual physical rubble of WW II for exactly the same reason. So, to a lesser extent, did Japan."
Actually it was the U.S.-engineered Marshall Plan that allowed state-of-the-art factories to emerge in Germany and Japan supplanting the aging dynosaurs owned by U.S. Steel and Republic Steel and Bethlehem Steel ans whose inefficiencies caused a massive loss in market share after WWII. So - yes - government actions DID influence the recoveries in Japan and Germany.
http://www.youtube.com/watch?v=SuCMhQHb4FA
''there is a good 'chance' that the 'world' would be emerging from 'it's' financial 'black hole''.
..well, the words ''chance'' ''world'' ''it's'' ''black hole'' physically ignore the new world nature of the beast in the context of the new age upon this generation , which has crossed the ''global market'' event horizon at a time where HFT Super AI Algo Nova 911 American Arline Shorts and wireless instant total information awareness has come upon this generation. We are not in Kansas anymore Toto, nobody is holding the love line, and yes Dorthy, all we are is dust in the wind ...as we are living on the Devil's Dime. http://www.youtube.com/watch?v=rpLJEKuaSZ8&feature=related
''none of the above will be noted anywhere by the great diversionary media machine''
...this is quite a telling quote. Big surprise coming for the mass media morons in Mc Manson Mansions. http://www.youtube.com/watch?v=mKmzZCajuWw&feature=related
The debt level is no longer serviceable. And the day is quickly approaching when everyone figures this out. Much like everyone has realized that Greece cannot pay back their debt. Once Greece looses the ability for someone else (other people’s money) to pay their pensions, they are going to have to make deep cuts. So far, the bailouts have been there, but for how much longer? The dominos are getting ready to roll. Perhaps not this year, but 2012 or 2013 are looking precarious.
Our financial systems are so integrated, that once the dominos start falling, it will impact everyone. The debt monster is squirming in the bag, and the bag is starting to tear apart.
+1
Guess I don't have the privilege to post an inline picture.
Here's the handiwork I wanted to show off.
http://www.extraprofessional.com/Share/Too_much_gov.jpg
anyone see the AP quote for Timmy boy: Treasury Secretary Timothy Geithner (GYT'-nur) says "many Americans will face hard times for a long time to come."
need any other item to say it so nice..so concise hard times for a long time.
you numba 10 mr tim numba 10.
Wuddnt surprise me at all in the next election if the mantra was anyone but a Dem or Repub. Just throw every last one of them out - good, bad, whatever, they just all gotta go.
I have posted all Euro Bond chart in picture format so you can just scrolls through them.
Check it out
http://oahutrading.blogspot.com/2011/07/euro-bond-yields-going-up.html
I remember being told in High School in the 70's that the surplus and paydown of debt in 60 was the cause of a recession and therefore a good example of why this should never be allowed to happen again.
True or not, it was an early indicator of which way things were going.
China will keep the party going until their Navy is strong enough to kick our ass. Than it will fall. Trust is money and money is trust. Indians used shells we use vinyl, and electronic entries. In ballistic submarine fleet we trust, this is our legal tendor ,no nice way to say it. I hope the media can keep generating a fresh crop of military people to keep the Murdochs safe at night.
I used to worry about China rising but now I take solace in the fact that MIC has some really new destructive toys.
Is it better to live inside the evil empire... or out?
Ask yourself this.
You want the Super Deluxe edition toy
Or do you want the proven old fashioned toy in lots of ten thousand?
The Chinese used forest fires to conceal thousands being moved into Korea prior to escalating the fighting.
So it is all absurd and has been so beyond my own life span. I knew this already, but knowing we have not paid down any principal on debt since 1960 is quite a clear way of expressing the absurdity of the situation.
Why do we keep coming to this website, talking to each other, trying to figure it all out? We know the truth. Everything else is a way of storying some facet of the truth that we, from our own individual perspectives, or from the perspective of the charts, see that others may not.
I, for one, think I find fellowship here and also get a feel for how many more might be figuring it all out too. I guess I don't know why I keep coming here, I know it is fucked and that it has been fucked before my birth. Existential angst I guess here.
Love ya'll regardless.
Peace, you fuckers.
ZH is a place to exchange ideas without recourse. Except in Leo's case... chuckle.
The Tylers are brilliant if not, savant. MsCreant you add your spice from the Hamptons and we thank you.
I don't know about you all but, I am at a point where nothing either party says is believable and that scares me.
There is a bit of blood in the Marble at the Capitol where people backed up what they believed in with action prior to the Civil War.
Fear is merely a annoyance as you work through your own decision making when faced with the true horror of the oncoming train.
http://www.cnbc.com/id/43701863
Fucking insane bureaucrats!
We could have saved 4 billion by leaving all the space shuttles in low earth orbit and having the crews hitch rides back to Kazakstan aboard Russian re-entry capsules ! We would have eliminated the the re-entry risk and we would be able to sleep better knowing we would never have to spend money on those falling stars ever again ! Wait to see how much it's going to cost to put those suckers in museums and maintain them forever ! Don't doubt me ! Monedas 2011 His zany analysis often does end runs around highly paid think tanks !
Govt debt won't destroy America.
Ccollapse of the US dollar will.
Is anyone listening to this CNBS rhetoric? Where is Santelli? CNBS is soo far behind the Curve!!!