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Will The Debt Ceiling Standoffs Eventually End Up In Court?
As it appears the can will be kicked once again, we thought it worth reflecting briefly on the possibility that this farce eventually ends in court (whether in 3 months or some time after that). While the Obama administration has ruled out the use of the 14th Amendment (and the mint-the-coin idiocy has been dismissed for its lifting-the-veil reality), Tangent Capital partners' Bob Rice explains in this brief Bloomberg TV interview his perspective on the legal, political, and market responses to going down this route.
Crucially, Rice explains that while uncertainty is what is weighing on markets (T-Bills and repo specifically as stocks don't give a toss) any end solution is worrisome if it "undermines the fundamental confidence in the monetary system."
Rice goes on to discuss the 14th Amendment's implications (not great), and ends by pointing out the futility of what many are calling for..."The monetary system is a confidence game and if we get rid of the debt ceiling altogether, there is a realistic question (asked by the rest of the world) as to how much discipline we are going to have."
Must watch interview to comprehend just what a joke this is becoming and how no solution is a good solution... The sad reality is that this was made in January and the two discuss the fact that we will be discussing the same issue in 6 or 9 months...
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It would be the perfect ending to this banana republic if we hire cellino and barnes to fight over the debt ceiling
http://www.youtube.com/watch?v=ZvKlvtQCb9s
What Barry will not say:
My friends and fellow Progressives,
Today is a great day in history. We are moving forward toward our goal of crushing the United States and placing its people under the jack boot of tyranny. As Marx described three necessary phases toward achieving utopia.
Marx also detailed the 10 essential tenets of communism, namely:
Now that unlimited spending has been authorized, Michelle and I will now be going on separate vacations.
Eventually ends up in a New World Order, more like it.
BOOM!!! http://twoshortplanksunplugged.blogspot.com.au/2013/10/gold-backed-global-sdr-hegelian.html
Yeah, it's only an issue with socialism/Marxism/communism... tell that to the history books in which EVERY empire collapses.
Continue on with the Party Pussy-like play.
Better call Saul!
Are they national now? I thought they were just here in upstate NY.
The debt ceiling is a nothing-burger. Sorry guys the system is unable to generate the amount of new credit/debt it needs to sustain.... usually around 60-80 years or so. The Federal Reserve will continue to beat the horse until it lays down and even then the Fed will continue the beating... but when it's over it's over folks... liquidation time. Billions of walking unfunded liabilities are going to have to go, the only questions is how and when.
There is no out, there is only in.
It's the ONLY game, the only one they know. It's a contuing party for TPTB: and they sure need it knowing that this will all boomerang in their faces and they'll end up face to face with flag poles... Should have studied math, learned about the exponential function...
Hurray! Debt junkie Uncle Sam is about to get another fix.
Somebody needs to get sued from this debacle.
Great, yet more money to the lawyers...
Better to just shut the entire thing down and let NO other replace it.
One problem... WMDS. Someone is gonna control them. Someone will use them (threat or actual) to get what they want. There can be no letting it all just fall apart.
If the Federal Government can (for now...) borrow unlimited amounts at close to zero interest rates-why bother with collecting taxes? Just borrow and spend all the money given to you and forget income taxes......
With a no limit credit card who needs to work?........
I believe that this has been mentioned before, but I can't help but appreciate the concrete sense of logic that it provides. Wish that this question (first one) could be directed front and center to ALL politicians., letting none of them escape without a full answer.
Debt ceiling is dead man walking. Anyone remember Gramm-Rudman? Yeah, neither do I any more.
Forward!
Hey, there IS no problem otherwise the rating agencies wouldn't be giving the US an AAA rating! </sarc>
The most obsurd thing out of this was the ratings agencies declaring that they'd do downgrades if the US didn't commit itself to going farther in debt.
Party on!
BTW - Higher courts will refuse to uphold anything that smacks the US govt over "funding." Who pays the judges' salaries?
BTW2 - This sucker is going to keep on doing what it's always been doing right up until the very day that it all stops.
When is the "crisis averted" gold slam coming so I can exchange fiat for real money? Come on FED. Do it. I fucking dare you. Scumbags...
Obama called the print shop to have his "Mission Accomplished!" banner whipped up earlier today. So, I would say probably pretty soon.
Whatever gave anyone the idea Obama was a Marxist? He is a fascist through and through. The only interesting question remaining, if in fact anyone is finding any of this interesting, is whether Obama's handlers will lose control of him as did Hitler's handlers leading up to the second world war...
Glad to see that you got no down-arrows. If you want up-arrows you'll have to learn to call Obama "Barry" and call him a "Marxist."
I don't bother to classify Obama, as this does nothing to solve anything, it only serves the purpose of the ideologes, whose primary weapons of "debate" center around name-calling and the like.
NOTE: I very much dislike Obama (didn't vote for him- I've voted for Paul). But I HATE failed logic and I'l beat on anything that anyone comes up with that's a pile of shit logic.
I got to see my first new $100 bill today.
US currency is looking more and more like Monopoly money.
Perhaps that should be a big hint of things to come.
Court.. There will be no courts post Jan 15. Only printing offices
I have already lost confidence, I am just waiting for the sheeple to catch up!
Yeah, not a good idea to have any confidence in a bad design.
I like the notion of giving up hope. I'd taken on this view even before Hopium came on the scene.
I'm NOT waiting on anyone. If they cannot see the direction I'm going then stopping and turning around and talking about it ain't going to do a damn thing except waste my time. Set the example. Do it well enough that people have something to see by... those that refuse to see have chosen their destiny.
POTUS is on record saying he wants the ceiling to be automatically lifted (using some sort of hydraulic jack most likely). I fully expect forthcomng legislation that will do just that. I suggest that the distinction between an automatic ceiling and no ceiling is academic.
It's dictated by the exponential function. And in case it's not apparent to folks, things are happening at shorter and shorter intervals- we don't have time to waste, the System needs to be stocked! until, well, until we don't have enough energy to keep pushing it vertical any more and it all comes crashing down.
OMG, they are still clueless asking themselves - "how much discipline we are going to have ?"
the history of the world of fiat gives the definitive answer - NONE
"...undermines the fundamental confidence in the monetary system."
Too late for me.
No confidence in the monetary system, the judicial system, the government system, the financial system, etc.
I'm starting to believe that there are dwarves and dragons in the underground tunnels, pixies in the forests, and gnomes in the rocks.
It is as or more believiable than the insanity going on in the "real" world.