The US Budget "Deal" Summarized (In One Cartoon)

Tyler Durden's picture

Context is key...

A greater-than $1 trillion (spending) budget heralded as a triumph on the basis that they raised $20 billion in additional revenue (oh and spent an additional $63 billion in anti-sequester outflows).

h/t Investors via The Burning Platform blog

And how the deal got done... Mother Jones explains... why military spending is the glue holding the budget deal together...

The House just passed the Ryan-Murray budget deal, signaling an unexpected end to the cycle of budget crises and fiscal hostage-taking. A few weeks ago, such an agreement seemed distant. Sequestration had few friends on the Hill, but the parties could not agree on how to ditch the automatic budget cuts to defense and domestic spending. Republicans had proposed increasing defense spending while taking more money from Obamacare and other social programs, while Democrats said they'd scale back the defense cuts in exchange for additional tax revenue. Those ideas were nonstarters: Following the government shutdown in October, Senate Majority Leader Harry Reid (D-Nevada) called the idea of trading Social Security cuts for bigger defense budgets "stupid."

 

Which explains why Rep. Paul Ryan and Sen. Patty Murray's deal craftily dodged taxes and entitlements while focusing on the one thing most Republicans and Democrats could agree upon: saving the Pentagon budget. Ryan's budget committee previously declared the sequester "devastating to America's defense capabilities." Murray had warned of layoffs for defense workers in her state of Washington as well as cuts to combat training if sequestration stayed in place.

The chart above shows why military spending is the glue holding the budget deal together. It also shows how any remaining opposition to the bill in the Senate may bring together even stranger bedfellows than Ryan and Murray: progressive dove Bernie Sanders (I-Vt.) and sequestration fan Sen. Rand Paul (R-Ky.).

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Zadok's picture

Rome all over again! Ugggg!

Sudden Debt's picture

The next empire will do better!!!

unless it's the chinese... they actually invented fiat paper...

Suisse's picture

Pro-tip: It's probably the Chinese.

Buckaroo Banzai's picture

Doubtful. The Chinese are historically and culturally non-imperialist. Their expansionism is limited to territories contiguous to their own borders.

insanelysane's picture

But they may decide to build another wall and it would be ironic if they imported Americans for the labor.

kralizec's picture

To Hell with the Giant Weeping Carrot!

And hey, that bubble chart is BS!  We all know 99% of these assholes are progressives of one stripe or another!  Who drew that?  Dr. Seuss?

GetZeeGold's picture

 

 

At the base of Niagara Falls.......John Boehner holds up a thimble full of water.

 

We saved you this much over 10 years.......not bad huh?

 

Next up Amnesty......cause it will be good for the economy........not your economy......our economy.

Oracle of Kypseli's picture

Peak population. in the wrong places.

TheRedScourge's picture

Proposed caption for above cartoon:

 

"Paul Ryan takes a break from sitting around with his thumb up his ass to put his finger in a dike."

HardlyZero's picture

+++  empty Chinese cities waiting in the European style....

new game's picture

PREPARE TO kill, kill, KILL, KILL, KILL

moar money to KILL, KILL, KILL.

kill or be killed...

SafelyGraze's picture

in the center of the diagram is an important region filled with those of us who want to massively increase military spending and social programs and regulation while decreasing taxes and ending the debt ceiling entirely 

call us utopians, call us prosperitians

thank you for your continued support, and keep on shopping!

hugs,
PK

ps - have you made plans yet to go back to school for another degree or certification? 

Midas's picture

PK said that state-run exchanges are mostly going pretty well--so am I suppossed to believe some anonymous poster on zero hedge or the eminent PHD?  I mean, he has  a "nobel" prize for cryin' out loud!  And they don't just give those out to any idiot that gets elect....hold on for a sec.,  oh nevermind.

TheGardener's picture

Natural ethnic borders I would add. After 5000 years of related cleansing they know who they can rape into oblivion
and otherwise kill all those races that just wont mix.

The Chinese are historically and culturally fully imperialist and their expansionism has been logically limited to related ethnic victims who's territories were within reach and contiguous attack`s broadened natural borders.

Fixed it for you B.B.

Buckaroo Banzai's picture

Well, technically, if you define an empire as a collection of non-contiguous territories controlled from a central point, then the Chinese are not imperialist.

But, yeah, I get your point.

UP Forester's picture

Good thing the Chinese aren't Mongolian, like the Khans....

Ghordius's picture

technically? technically China is already & still an empire for itself, with over 50 nationalities and hundreds of languages. and China's influence in Africa is already strong

are you sure you aren't mixing up colonialism with imperialism?

Learn more and know less's picture

The Chinese have considered themselves to be an empire for 1000's of years - although the Last Emperor was disposed in 1911 by the Nationalists, who were subsequently replaced by Mao and his Communists, despite rhetorical differences they have adopted many of the traditional trappings of Imperial Chinese power.

mick_richfield's picture

Half of the human race is inside China, or contiguous to its borders.

A regional power in Eastasia has the same reach, relative to population, as a global power in the western hemisphere.

 

Antifaschistische's picture

The Chinese realize that senseless imperialism results in cultural dilution and ultimately destruction. GO CHINA!! Learn from the stupidy of America's "diversity is great" policy.

risk.averse's picture

Contiguous with their borders, eh? Well, logically, that could be the entire Eurasian land-mass -- from the Malayan peninsula to Normandy. Not a bad empire! <sarc>

SuperRay's picture

We live in a dissociated, unreal world, where the obvious controlled demolition of the three world trade center buildings is denied and ignored by the zombie population.  This is the logical outcome of mass communication, perfected by the CIA.  See The Century of the Self on youtube. We are so fucked..

mvsjcl's picture

The only reason I can see for the down arrows is the off-topic nature of your post. But I gave you an up one any way.

TBT or not TBT's picture

What's your take on the moon landings?

prains's picture

the MIC is gonna KILL you COMING or GOING, they've got both your holes covered.

 

cut off it's HEAD

evokanivo's picture

And here we have yet another idiot that doesn't know the difference between "its" and "it's".

General Decline's picture

Is that all you have to contribute to the discussion? A grammar correction?

prains's picture

sorry evokadicko, your delicate sensibilities have been hurt by a ZH drinker/typer,,,,let me make no mistake here then.....f.u.c.k.o.f.f

Cognitive Dissonance's picture

But....but....but debt is wealth. That would make the USA freaking rich.

<As a citizen can I add my share of the USA's wealth onto my personal balance sheet?>

Dagny Taggart's picture

Um... they already added it to your personal balance sheet, just not the side you were hoping it would appear lol.

Debits and credits bitchez.

eclectic syncretist's picture

They call the card you use to go into debt a "credit" card.

They call the card you use to prevent going into debt a "debit" card.

They call the debt the consumer is buried under consumer "credit" and say it's good to have more of it.

They call a reduction in the RATE of debt accrual a debt reduction.

And a whole bunch of other lies presented as facts/truths.  The list goes on and on.

Antifaschistische's picture

....but, but, but, isn't that how you get a good "credit score"? It's amazing. You can have enough cash in the bank to buy a house in Hawaii and new Ferrari, but your credit score may be lower than than the lady with three credit cards, a condo mortgage and a car note.   Blows me away.

BOTTOM LINE:   A CREDIT SCORE IS NOT A CREDIT CAPACITY SCORE.  It's a Banking POINT System.  The more money you give to the BANKING Industry...the more points they'll give you.  STOP PLAYING THE GAME!!

new game's picture

think of it as free, because no way in hell is it going to be repaid.

1 trillion for free and 1/2 wasted via gov wastefullness...

oh well...no biggie, back to the voice...

ArkansasAngie's picture

They can't cut spending.  What would the FED monetize?

The catch 22 is here.

Vampyroteuthis infernalis's picture

If they stopped spending, the wheels would fall off the cart. Unfortunately, gov't spending is a major portion of our economy today. Forward Soviet!!

Buckaroo Banzai's picture

DING DING DING we have a winner.

Spending must increase as the debt increases-- there are only two ways out of this trap:

1) total financial collapse and economic chaos.

2) ownership of every asset on the globe in the hands of the 400 families, and complete enslavement of the rest of humanity.

This will get sorted out one way or the other shortly. See you on the other side!

post turtle saver's picture

it will get sorted out via debt "jubilee" in the form of war & and associated debt settlements & reparations... this is why a coalition of tea party members and liberal hawks makes sense... spending drops when the debt goes away, the MIC needs to be fed to make sure the US wins any conflict involved, MIC jobs are saved and justified via this approach... result: end game is war and winner will take all

Jethro's picture

There is no solution to this problem, at least not one that doesn't end in bloodshed.

The government can print/devalue currency leaving the older generation in poverty (kill the middle class,and destroy any hope for the younger generation) and then forcing them onto the government tit.  Liken this to wiping out the buffalo herds for the plains tribes.  Get everybody on the "reservation".

The government can cut the SS, medicare, medicade benefits, instantly forcing the older generation into poverty.  Could happen.  Sort of like a slow motion version of the cyclotron on Logan's Run.

The government can cut military spending, pull troops stationed abroad (and hopefully put them on the southern border--never happen I know), and then subsequently lose prestige/market share abroad as we don't enforce the will of the US oligarchy.  Won't happen.  At least as long as there is a petrodollar.

Black swans include a dedicated, serious social unrest where the oligarchs start being hunted down and executed (or the low-level bureaucratic functionaries are hunted down and executed).  Could happen.  A sudden abandonment of the FRN by the world (China dumping all their US debt at once---kind of hoping for this actually).  A pandemic that is antibiotic resistant, or a highly contagious virus that has a high mortality rate--Could happen.  Civil war--Could happen. 

 

FreedomGuy's picture

I am going to take a contrarian stand on this. I don't think the government consciously has a plan to purposely impoverish everyone, at least permanently, even if you believe in Cloward-Piven. I think they DO want power and they really believe in their own infallibility. They are true believers in their own elitism. The problem is you cannot get complete power through central planning and prosperity simultaneously. Even though the Soviets, Maoists and two dozen other soft and hard socialist states have failed they believe they can make it work.

In other words, they would prefer prosperity but their ideas produce a poverty they will not admit to. In they end they will their power over our prosperity.

DaddyO's picture

I have a similar view. Cloward-Piven is a means to an end, Heaven on earth and the belief that Utopia is achieveable here is their Luciferian wet dream. Unfortunately, they never account for man's inate sinful nature.

Liberty and freedom are the antidote and when a man is deprived of these all hell breaks loose. Our current situation will continue to devolve until we reach the breaking point.

In my view, more and more are waking to the fact of the plan to usurp Liberty and Freedom, this will not end well.

It's just a matter of time at this point.

DaddyO

FreedomGuy's picture

Yes, I am on the same track. One of the several core weaknesses in leftist ideology is the very nature of man. Leftists empower men in government to do what they believe to be good which necessarily means all bad people are in the private-free sector and all good people are in the government sector. At least all government people must be good. It has to be this way in order to justify unlimited power for government. It is also why they offer their utopia in contrast to any number of bad things happening now. They cannot offer you any reality because no one has been able to make their ideas work and history shows powerful men become oppressive not benificent.

If you look at the endpoint of leftist ideology/theology all problems come from freedom. Bankers, pharmaceuticals, doctors, drivers, restaurants, and even private individuals will not do what yoiu want them to do or will screw you over and kill you the first chance they get. This argument works as long as you don't think past the surface. The argument works for government power because the trade is you give government more power and they give you safety and even security as in Social Security or Homeland Security. Both are actually lies and the premise is a lie. Virtually all...99.9999% of the worst abuses in history come from government/s of various sorts.

I believe there are historic forces building these days and I do not pretend to know how they will play out with any authority.

 

new game's picture

darwin rewards advanced engineering for alliance tech and other mic suppliers for their ingenious killing systems.

beware of incoming nukes...

we are so fucked :(

oh, and fuck a shima w/ radiation west to east...

JimS's picture

AA, you are correct. The FED is now monetizing garbage loans that went into numerous REIT's "back in the day", many of the mortgages being used 2,3,4.... times, as who the fuck even knows. Seconds, on houses that have short-saled, so there's no value, blah, blah..... The FED is monteizing total shit. This CAN NOT end well.

czardas's picture

What would the Fed monetize?  Why, the interest increase that will come with higher rates of course.  They will pull an Illinois - use bonds to pay interest on the bonds used to pay interest  ad infinitum.

TheGardener's picture

" As a citizen can I add my share of the USA's wealth onto my personal balance sheet?"

Well, yes and no. But we will tax you accordingly.

Kirk2NCC1701's picture

I rather suspect that the reason Dick Cheney claimed that "Deficits don't matter", is that as long as the USD is the GRC, we can force the global economy to subsidize our Deficits.

And as long as we have almost 200 DoD and CIA bases around the world, we can keep it that way far longer than would otherwise be the case. We can spy on, and intimidate, bully, blackmail, bribe, threaten, discredit, harm or kill just about any person or group.

So, no wonder that we "have" to keep this global act of Shakedowns going. Ironically, it is US who are locked into ever-increasing MISC (Military Industrial Surveillance Complex) arms race.

All that Russia and China need to do, is to maintain a strong Defense, avoid military entanglements (in spite of deliberate provocations), focus on the economy and infrastructure, and let the US self-destruct.

new game's picture

ad to that list brasil, australlia, canada, s korea, and host of other countries that are sick and tired of bully. everybody hateS a bully. we are the target of hate after the facade of friendship is removed...

THEY ALL SECRETLY WANT US TO FAIL. CAN YOU BLAME THEM. envious, normal behavior. they want what we have because they are humans too. they can fucking have it-imo. humans want  to rise to the top only to fail/fall. just the cycle of humanity. darwin was right and always will be. purge the dumb fucks by their own stupidity...only to be replaced by the survivers which in turn get stupid and fail by their own power/growth demise; see it in corporations too/micrcosm of human virtue.

our do good bull shit is not working anymore, because we are broke and on borrowed time - literally!!!

ramp the mic with free never to be repaid debt - last gasp...

before the fed prints this mess to hyper flatation DEATH...