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White House Saturday Night Special – Another $50 billion of Debt
Last night the White House sent a letter
to lawmakers asking them for legislation to (primarily) assist
states. The plan is to distribute the states money so that they can
defer job cuts of teachers, police and fireman.
-I hate it when these things get snuck onto the table in the dark hours
of a weekend. Doing it this way is a measure of just how unpopular the
“spend more” economic policies are both in D.C. and in the country.
-This request is about politics. The President wants to spend an extra
$50b between now and the November elections. The thinking is that that
the 300,000 state workers who will keep their jobs for another half year
will all vote for Democrats. That might be the case. My guess is
another million or so voters will pull a non-Democrat lever as a result.
-This additional spending bill will happen. The votes are there. It will
probably end up as a technical adjustment of the 2009 ARRA stimulus
legislation. The result will be a future year budget impact but nothing
new on the books in 2010.
The letter from the President strikes me odd. Last week the head of the
Fed, Ben Bernanke, went out of his way to tell us that things were on
the mend. The MSM pushed this thinking broadly. Many suggested that the
better tone to the markets recently was a product of the “soothing”
words from the Fed maestro. The President’s Treasury Secretary, Tim
Geithner has been on the airwaves as well, touting the recovery that he
and the Administration has created. Others like Christine Romer and
Larry Summers have been talking the same line. With that in mind a few
lines from the Presidents letter:
“We are at a critical
juncture on our nation’s path to economic recovery.”
“Given the urgency
of the continued economic challenges we face…”
“address the
devastating economic impact of budget cuts at the state and local levels
that are leading to massive layoffs of teachers, police and
firefighters.”
“if
additional action is not taken hundreds of thousands of additional
jobs could be lost.”
“Because the urgency
is high these provisions must be passed as quickly as possible”.
“We must take these emergency
measures.”
“ I know you
share my sense of urgency as we continue our efforts to jumpstart
job creation and restore fiscal discipline in Washington”.
The pundits (and political leaders) out there who are selling the story
that we are in a sustainable V shaped recovery are wrong. The economy
struggles to create 40,000 jobs a month. But budget cuts are about to
lay off 300,000 high paid workers. The President’s proposal will pass
the buck forward a few months on these layoffs. But by January they will
be back on the table. We are less than six months away from another
significant slowdown. The President no longer has the money to avoid
that reality.
»
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Not November. The Dems are dead in the water anyway. I would not be suprised to see another $200-300bn pumped in aswell. I think this sucker is going down harder than they initially thought it would.
Obama just needs to hold it together until he passes the Cyber Security and Enemy Belligerent Act. They wont pass unpopular laws if they think it threatens their political careers.
Then it's showtime for the fiat system.
Hdawg
"Obama just needs to hold it together until he passes the Cyber Security and Enemy Belligerent Act."
I have asked this question to numerous online groups and have yet to get a real response. Has anyone given serious thought into putting into place an emergency line of communication IF they were to shut down Internet talk? I am not sure we are as prepared as we think we are.
you mean people here would have to go outside and talk with their neighbors?? without being anonymous???
actually I think the world would tend to mend itself if we could get rid of the internet.. remember the L.A. riots? People had to come out and voice their position without a mask - those days are long long gone
I don't see it as a case of if but when...
I'm no tech specialist but i've asked this question before and i'm told Virtial Private Networks are a viable answer.
Probably have to go to smoke signals or drums at some point.
Short Wave Packet Radio ...
http://www.zetatalk.com/nonproft/99003002.htm7
You haven't been asking at the right places.
Ya. Combine your shooting with morse code.
Bam----bam bam-----bam.
Bam bam bam bam bam bam bam= I'm busy text ya later.
Amateur HF radio. Just don't keep the transmitter in one place very long, those JDAM's can be a real bitch...
Who cares, anyway. US Congress=everything for everyone!! 50 Billion, 50 Trillion, so what, it does not exist therefore will never be paid back. It is all meaningless. Don't worry. Just keep your PMs, guns and food buried and visit ZH often to determine the moment of collapse. Don't mean nuthin'.