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Boehner Releases Revised Plan: To Cut $91.7 Billion Each Year For A Decade, Buys 4 Months Before Next Debt Ceiling Hike

Tyler Durden's picture




 

The epic revision in the just revised Boehner plan is to cut a grand total of ... $91.7 billion per year for 10 years (back-end loaded of course: 2012 will see just $22 billion in cuts - can't have any real cuts too early or else). The spin is that this is sufficient because the $917 billion in cuts is more than the proposed $900 billion debt ceiling hike, so all shall be well. Of course that is only part one of the two-part debt ceiling hike process. The next step is a $1.8 trillion cut to "protect programs like Medicare and Social Security from bankruptcy."  The problem is that Boehner continues along the path of a two-step debt hike, a formulation that Obama will never agree to, since it effectively guarantees him no-reelection chance, as the last thing the people will want is the same bickering as we are experiencing every day again some time in 2012, when the current $900 billion in incremental debt capacity runs out. And actually, with the US debt already $300 billion below trendline and with the government's two pension funds already plundered by a like amount (which means they have a net IOU position), it means that the Boehner plan really buys only $600 billion of dry powder. At a burn rate of $150 billion a month, this means the first step of the Boehner plan buys precisely 4 months before the debt ceiling has to be raised again! Oh yes, this plan also guarantees at least a one notch downgrade to the US debt, with more notches coming up before the end of the year when this whole farce is repeated.

Full release:

BREAKING: Independent CBO Confirms Spending Cuts Exceed Debt Limit Hike in Revised GOP Plan; Bill Now Includes $22 Billion in Deficit Reduction in First Year

Posted by Speaker Boehner's Press Office on July 27, 2011

The Congressional Budget Office (CBO) has released its analysis of the revised Budget Control Act of 2011 today, and CBO’s analysis confirms that the spending cuts are greater than the debt hike – affirming that the House GOP bill meets the critical test House Republicans have said they will insist upon for any bill to raise the nation’s debt ceiling. Specifically, the CBO analysis confirms the Republican plan will:

  • Cut and cap spending by $917 billion over 10 years – that’s more than the $900 billion debt hike;
  • Cut $22 billion in spending for FY2012 and hold spending below FY2010 levels until FY2016;
  • Continue reducing discretionary spending each year compared to President Obama’s budget (by $96 billion in 2012, $118 billion in 2013, $115 billion in 2014, $117 billion in 2015, and so on); and
  • Require Congress to draft proposals that produce reductions of at least $1.8 trillion that help protect programs like Medicare and Social Security from bankruptcy.

Republicans adjusted their spending cut bill after a lower-than-expected score from CBO. This updated analysis confirms what others are saying: the Republican plan “changes the trajectory of spending” and “would keep the debt cutting process going.” Unlike Senator Reid’s gimmick-filled plan, the Republican proposal includes real spending cuts and reforms that will restrain future spending – and the spending cuts are larger than the debt limit increase.

This bill is far from perfect, but it’s a positive step forward that denies President the $2.4 trillion blank check that lets him continue his spending binge through the next election. Learn more about it here.

 


And here Paul Ryan explains how this grand plan will cut a whopping $22 billion in all of 2012.

 

 

The Budget Control Act has been updated to make certain that House Republicans fulfill their pledge to cut spending more than we increase the debt limit.  Congressional Budget Office numbers confirm that the updated legislation adheres to this pledge: no new taxes; no blank check for the President; spending cuts greater than the size of the debt limit increase.

The bill has been revised to increase outlay savings, according to the Congressional Budget Office.  The Budget Control Act caps budget authority each of the fiscal years from 2012 to 2021.  Budget authority – the authority Congress provides to agencies to spend each year – is set at a fixed level for the next decade under the Budget Control Act.   Budget authority eventually results in the actual spending of money, which are recorded as outlays.  Outlays are recorded when agencies spend out the money they’ve been provided through budget authority.

The updated legislation makes no changes to the annual budget authority caps, but removes a limitation on outlay calculations that was included in the first version of the bill. This adjustment allows the Congressional Budget Office to provide a more accurate measure of the likely rate of spending.  In their new analysis of the Budget Control Act, the CBO estimates that the bill will reduce the deficit by $22 billion in FY 2012, and by $917 billion between 2012 and 2021. Under the bill, the President is given authority to increase the debt, under certain conditions, by up to $900 billion.  Based on CBO estimates, the spending savings exceed the amount of this debt increase.

The revised bill will also include a point of order against consideration of a measure that would violate the discretionary spending caps put in place by the bill, which in the Senate would require a three-fifths vote in the Senate to waive.  In addition, three provisions from the original bill are modified to address technical timing issues with respect to resolutions of disapproval.

For a review of discretionary spending next year under the Budget Control Act, showing real cuts relative to FY2011, and spending cuts far closer to the House-passed budget as opposed to the President’s request to increase government spending:



And from the revised CBO score (link here), here is the only table that matters:

 

 

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Wed, 07/27/2011 - 18:13 | 1499599 mynhair
mynhair's picture

Replace Boner as Speaker now!

The idiot refuses to learn.  Crush the Libs!

Wed, 07/27/2011 - 18:29 | 1499666 oh_bama
oh_bama's picture

Why no one is talking about CHINA'S NEW BOAT THAT IS DESIGNED FOR EDUCATION AND TOUR GROUPS ONLY?

Wed, 07/27/2011 - 18:32 | 1499684 mynhair
mynhair's picture

Cuz Libs can't figure out how to use their Tomtoms to find the embarkation area.

Wed, 07/27/2011 - 20:36 | 1500015 Ahmeexnal
Ahmeexnal's picture

JPig and GS about to get busted in Brazil:

http://avilacmg.wordpress.com/2011/07/27/bn-brazil-charges-1-tax-on-some...

 

As part of currency measures unveiled today, the government levied a 1 percent tax on some net short dollar positions by investors in the country’s futures market. The government may increase the tax up to 25 percent if needed, according to the decree signed by President Dilma Rousseff and published today in the Official Gazette.

 

 

Thu, 07/28/2011 - 08:47 | 1500661 GetZeeGold
GetZeeGold's picture

Replace Boner as Speaker now!

He doesn't know any better anymore......he's been Institutionalized.

http://www.youtube.com/watch?v=TsiFanovOSI

 

Wed, 07/27/2011 - 18:39 | 1499710 DormRoom
DormRoom's picture

Those Republicans sure know how to play hardball.

 

If Boner gets what he wants Obama 2012 election chance is greatly reduced.  If Obama goes against Boner's plan, and causes a financial meltdown, he is unelectable.

 

It's like choosing between AIDS, and a sea of AIDS.  Obama's gonna cave, and we'll be back to discuss this in 5 months.

Wed, 07/27/2011 - 18:43 | 1499725 malikai
malikai's picture

Checkmate.

Wed, 07/27/2011 - 22:15 | 1500151 Almost Solvent
Almost Solvent's picture

The senate will not pass Boner's plan so it's all moot anyway, no bill to veto because no bill ever reaches his desk

 

duh

Thu, 07/28/2011 - 00:22 | 1500326 whaletail
whaletail's picture

Wouldn't be so sure, Solvent. If you're a Dem Senator, and you're up for election in 2012, do you want to tell your State that YOU voted against a plan that could have staved-off default (assuming, of course, default leads to the immediate gloom and doom that some predict, including Timmy)? So, go to the other side of the aisle, shrug and say "I had no choice" and vote for any plan in front of you that will "wash your hands" of any blame. If it gets to Obama, and he vetoes the bill, it isn't your fault. I'm sure the Republicans have already targeted these Dem senators.*

There are no loyalties in politics, even to those in your own party. 

*I, of course, have not done the research to determine the weakness of these senators, so this comment could be baseless. 

Wed, 07/27/2011 - 18:47 | 1499737 mynhair
mynhair's picture

Oweblahma is getting primaried.

Wed, 07/27/2011 - 19:17 | 1499811 Scisco
Scisco's picture

You are of course assuming that there is a functioning government that could run an election!

Wed, 07/27/2011 - 19:28 | 1499848 malikai
malikai's picture

Double Checkmate.

Meanwhile, the whitehouse is rickrolling. No joke.

http://www.bbc.co.uk/news/world-us-canada-14320229

Wed, 07/27/2011 - 20:36 | 1500016 -Michelle-
-Michelle-'s picture

Unsurprising.

Wed, 07/27/2011 - 19:29 | 1499849 Weisbrot
Weisbrot's picture

 

nationalize the fed and erase the debt

 

 

Wed, 07/27/2011 - 21:41 | 1500125 CompassionateFascist
CompassionateFascist's picture

IQs must be dropping suddenly at ZH....Repubs acting like cockroaches poured out of bottle. Crybaby's plan won't even be supported by TPs, it's such a transparent surrender. Zero wants the whole debt limit increase now and, since all but the TPs are invested in the Ponzi, that's what he will get via House alliance of RINOs + Dems. The kicker is, at the rate the Govt is bleeding red ink, $2.whatever trillion won't get him thru 2012 election. This is going to blow sky high...about this time next year. I can wait....

Wed, 07/27/2011 - 22:46 | 1500194 trav7777
trav7777's picture

91B is fucking NOTHING.

We are running north of $2T PER YEAR

Wed, 07/27/2011 - 18:42 | 1499723 slaughterer
slaughterer's picture
Boner plan = no plan.   FUCK BONER WITH A BONER UP THE A$$
Wed, 07/27/2011 - 19:24 | 1499837 gall batter
gall batter's picture

No plan is still a plan.  it's called no plan.  

Thu, 07/28/2011 - 06:26 | 1500540 Papasmurf
Papasmurf's picture

That's been the plan for years.

Wed, 07/27/2011 - 21:25 | 1500097 MarkD
MarkD's picture

Come on....... Boners plan is gonna cut $22b from a $1.7t deficit next year. Wow, that's some serious cuts. We will have to live within our means for at least 5 fuckin days next year. How will we survive?

This is such a joke. Can't get over how stupid Americans are.

Wed, 07/27/2011 - 22:06 | 1500144 dwdollar
dwdollar's picture

Why are people junking you?

Wed, 07/27/2011 - 22:47 | 1500196 Spastica Rex
Spastica Rex's picture

Partisan tantrums.

Wed, 07/27/2011 - 19:32 | 1499868 slaughterer
slaughterer's picture

Sorry, but this Boehner plan is doing absolutely nothing for ES or PM futures right now.

-200 on Dow tomorrow.

Wed, 07/27/2011 - 19:40 | 1499883 caerus
caerus's picture

right...so short

Wed, 07/27/2011 - 22:25 | 1500165 Sam Clemons
Sam Clemons's picture

http://thelastcanary.blogspot.com/  my charts show there may be some more weakness in the short term before a politically induced bounce (2 or 3 days max) and then hell should really break loose.

Thu, 07/28/2011 - 00:53 | 1500356 caerus
caerus's picture

imho forget causality...this shit has been brewing for a while...i see support at ES 1280, 1260 to be conservative...then you'll get your typical fib bounce...

Thu, 07/28/2011 - 01:07 | 1500374 caerus
caerus's picture

fuck the politicos...my whiskey mind says we got a massive head shoulders / trip top that began in january...sell this shit..sell it hard..then take  a vacation

Wed, 07/27/2011 - 20:03 | 1499949 cara leaf
cara leaf's picture

When you print counterfeit money to pay debts, you are already in default.

 

Wed, 07/27/2011 - 20:27 | 1499996 Founders Keeper
Founders Keeper's picture

Indeed.

Oh, the insidious advantages of fiat currency.

 

Wed, 07/27/2011 - 22:30 | 1500176 Sam Clemons
Sam Clemons's picture

Haha, awesome.  Yes, for some reason people don't understand that if you aren't paying back debt in full (which you aren't if the units are worth less), then you are undergoing a camouflaged default. 

Unfortunately, camouflaged default benefits the already rich and punishes the poor.  Official default punishes the already rich.

Thu, 07/28/2011 - 00:01 | 1500309 DrunkHarryReid
DrunkHarryReid's picture

mynhair

 

You are dumb. A public service message from your friends at The Onion (and DrunkHarryReid).

Thu, 07/28/2011 - 00:01 | 1500310 DrunkHarryReid
DrunkHarryReid's picture

mynhair

 

You are dumb. A public service message from your friends at The Onion (and DrunkHarryReid).

Thu, 07/28/2011 - 00:05 | 1500311 DrunkHarryReid
DrunkHarryReid's picture

Drunk Double Post <hiccup>

Thu, 07/28/2011 - 01:27 | 1500384 jwäges
jwäges's picture

Take a look at Boehners version, in particular pg 35, starting with section 401. It is nearly identical in language to the Senate version. This Joint Select Comitee, is not constrained soely to deficit reduction, is appointed not elected, can originate legislation, suspends all congressional and senate rules regarding its legislation, can over ride vetos by itsself. Appointment for three comitee members is made by the House and Senate majority and minority leaders for a grand total of 12 members. These appointments are for the life of the comitee, or their tenure, and vacancies are filed within 14 days. In summation this is the motivation for this manufactured crisis, passage of this legislation. It matters not which version is ultimately made into law, as this section is nearly identical in both versions. Welcome to fascism.

SEC. 401. ESTABLISHMENT OF JOINT SELECT COMMITTEE

?
Go to page 35 for the part on the Super Congress. God help us if this is enacted.   http://www.rules.house.gov/Media/file/PDF_112_1/legislativetext/S627%20amnt.pdf

Sincerely, Joe Wäges

Thu, 07/28/2011 - 02:34 | 1500430 Sp00ky
Sp00ky's picture

As you state the powers of this so-called Joint Select Committee, it cannot pass the Constitutional test.  It requires a Constitutional amendment, and you know what that requires.  Meaning, ain't gonna happen.  Someone(s) on the Hill has been smoking too much of their own smoke.

Thu, 07/28/2011 - 03:55 | 1500477 whiskeyjim
whiskeyjim's picture

I disagree with Durden and you. There was never going to be any grand plan. There never will be any grand plan. The reason is simple. Obama and the Dems do not believe we have a debt problem; you can only negotiate with people who are sane.

The only course left is to do this thing in small chunks, with the debt ceiling gun to everyone's head.

Boehner's largest mistake was to ever try to do something large. He fucked up. He thought the other side was rational. He needs to bring on one discussion after another. It will take 10 years anyway. TURN THE GOVERNMENT INTO A FULL TIME DEREGULATOR. Give them no time to dream up more shit to control.

NO ONE is going to shut down the government because the cuts are too small. No one.

 

Wed, 07/27/2011 - 18:14 | 1499606 buzzsaw99
buzzsaw99's picture

The Guyliner has spoken.

Wed, 07/27/2011 - 18:14 | 1499607 doomandbloom
doomandbloom's picture

veto, bitchez

Wed, 07/27/2011 - 18:14 | 1499608 No Bid
No Bid's picture

Considering what's going on, Google Trends is pretty hilarious right now.  Real Housewives of Beverly Hills is in the top ten.

Commence crash.

Wed, 07/27/2011 - 18:30 | 1499678 Vic Vinegar
Vic Vinegar's picture

Contrasting Google Trends with what's written on this site each day is always amusing.

People care about Carlos Beltran and Kyle Orton, not Boehner and Barack.

Wed, 07/27/2011 - 18:50 | 1499751 Shameful
Shameful's picture

Never have the masses been concerned about the real goings on of the world and things that heavily impact their lives.  So while they could spend hours going over "boring" things, or they look up little facts and videos they can talk to their peers about.  In my personal life I tend to avoid the finance topic because people have no idea what is happening, even "educated" people who studied economics.  So I come off as either a "nerd" or "boring" because I know so much about he financial structure.  Stupidity and ignorance is reveled in.  We are living in a culture that glories banality and mediocrity, makes for a very easy for people to be fooled.

If anyone doubts this, randomly bring up something simple like fractional reserve banking or asking what another person things about QE and see the response you get.  Might as well be speaking a foreign language to them.

Wed, 07/27/2011 - 19:16 | 1499810 Hulk
Hulk's picture

Que?

Wed, 07/27/2011 - 19:17 | 1499819 cossack55
cossack55's picture

It is a foreign language. Greek, I think.

Wed, 07/27/2011 - 19:22 | 1499832 Backspin
Backspin's picture

Yep, that's exactly my experience also.  I have a friend who can talk for hours about sports, but bring up something about the banking industry or the bond market or the national debt and he's ready to go chat with someone else, and he's a financial advisor - that's what he does for a living.  And he's in debt.  And that's just one example, but I won't ramble on.  It's refreshing to come here and find people who understand that we're on the edge of a cliff, and heading toward the edge, and that our politicians, in nearly everything they do, are stepping on the gas pedal.

Wed, 07/27/2011 - 20:22 | 1499983 V in PA
V in PA's picture

Yes!. I love the people of ZH. Even the haters. Been reading for over two years now. Just join 3 weeks ago. Reading the comments and articles has been the best intellectual exercise of my life. Most of the sheeple I encounter are so vapid and boring I feel we are doomed. This is one, of the few, rays of hope left for world.

 

God Bless the Internet

Wed, 07/27/2011 - 20:51 | 1500035 Nikao7
Nikao7's picture

That's pretty much my story as well.  I'm a simpleton but an informed simpleton. 

Plato summed it up nicely........

"Those who are able to see beyond the shadows and the lies of their culture - will never be understood, let alone believed, by the masses." - Plato

Mentally speaking most of us around here are island dwellers amongst the masses.

Wed, 07/27/2011 - 23:00 | 1500218 Backspin
Backspin's picture

In Plato's cave allegory, I think they ended up killing the guy who saw the daylight and understood.

Wed, 07/27/2011 - 22:51 | 1500201 UGrev
UGrev's picture

sit in a walmart parkcing lot one day. It will give you an idea of who will be rushing your property and how to deal with them ;)

Wed, 07/27/2011 - 23:15 | 1500256 Hulk
Hulk's picture

Lay a perimeter of posts around your property 2 feet apart. They will never make it through...

Wed, 07/27/2011 - 23:53 | 1500304 piceridu
piceridu's picture

LOL, just came back from Walmart got some camping supplies...sat down to drink and read ZH and read your above comment and shot water through my nose.

 

Thu, 07/28/2011 - 00:18 | 1500323 GoinFawr
GoinFawr's picture

Thanks Hulk, caught me off guard with that one!

Thu, 07/28/2011 - 06:10 | 1500533 PeeTee
PeeTee's picture

Indeed, yeey for ZH.

I saw a friend of mine reading some stuff on ZH, and I overlooked his shoulder. I recognised the tagline "on a long enough timeline..." and I knew it had to be interesting.

 

Since then, we've been talking about the ZH issues on long and drink-filled evenings. And during numerous cigarette breaks.

 

I never have been too much into economics, simply didn't get it. And I still dont really grasp too much of it, although some percentage of the stuff on ZH I understand. Unfortunately, my real job and other time-consuming matters (family), don't allow for too much time to spend investigating everything.

But I keep reading, wisdom doesn't come in a flash..

Thu, 07/28/2011 - 03:45 | 1500469 nobita
nobita's picture

Heh. A friend asked about some portfolio advice from me and from another friend who works at a bank as a financial advisor. His advice was corp bonds from a big suisse bank because they had no exposure to Greece, my advice was to load up on CEF and PHYS while the premiums were low because there will most likely be an epic bankrun in Euroland soon. I told him about fiatcurrency and the size of the derivative markets and how counterparty risk was what made everyone panic in 2008. He took my advice...

Lesson is: People with money have an incentive to learn the truth about these things and will listen if you explain. People without money don't really care.

Wed, 07/27/2011 - 19:35 | 1499873 Fed Supporter
Fed Supporter's picture

First I want to apologize for being mouthy last night to my fellow ZHers and Trolls.  I had a few beers and you know how it goes.  BTW I can't rember which moniker I was signed in under, 1 of my 5.

Anyway, Shameful I totally agree with you.  I asked several of my co-workers the other day what they thought of the debt ceiling and they just looked and me an laughed as they had no clue as to what I was taling about.

Wed, 07/27/2011 - 21:25 | 1500096 hannah
hannah's picture

shameful you ARE boring..!.../(i kid)

never try and discuss economics with idiots or amerikans...

Wed, 07/27/2011 - 21:42 | 1500126 Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Shameful is correct.  We must at least make an initial attempt to incrementally awaken those who still have a pulse, probaly one in ten Americans right now.  But they all will awaken very quickly when they are wondering where next meal is coming from.  It is our duty and privilege to do this.

Tuco Benedicto Pacifico Juan Maria Ramirez

Thu, 07/28/2011 - 00:02 | 1500313 WonderDawg
WonderDawg's picture

I was playing poker tonight with my regular Wednesday night group. Sober alcoholics, all of us. I usually don't talk about the desperation of our current situation in public anymore, got tired of the glazed-over blank stare I usually get. Tonight, though, with all the headlines in the MSM being about the debt ceiling, I thought maybe people had been thinking about it. I threw out my usual opening salvo, "Do you guys know who owns the Fed?" Out of seven, not one of them knew it was privately held. Five said the Treasury or the gov't, two said they don't know. I told them, in a nutshell, who owns the Fed and they just kind of nodded and changed the subject. Whatever.

Disclosure: Went all in on a straight, lost to a flush.

Thu, 07/28/2011 - 00:56 | 1500365 owensdrillin
owensdrillin's picture

There are a lot more people in my town for some reason that are paying attention and I am in a small town in Canada. Probably 40% of my friends are now into gold and are thinking about what to do if it all breaks down. You have to have your head up a little more when it can go to 25 below in the winter.

Last year, myself and four buddies just took the PAL (possession and aquistion licence) in order to buy firearms and ammo. Two years ago these guys could not have given a crap but are now thinking about the possibility of defense and hunting for food. I hope it gets better but do not see that befoe it gets a shitload worse first.

I'm tired of telling people to prepare a bit and do not want to be thought of as a doomer anymore. Fuck em. I tried my best and some have listened and some have not. I have two wells, geothermal heat, wood heat, 25,000 watt diesel generator, large garden, canning shit, tons of good fishing nearby, whitetail by the dozen dropping in everyday, nine guns, and the desire to die defending it against a bunch of useless fucks who have never really worked a day in their life.

I can probably holdout for a while against pretty much anything other than a drone, blackhawk, Navy Seal, or F-18 attack. I also understand the difference.

Wed, 07/27/2011 - 23:52 | 1500303 Pangasius
Pangasius's picture

Our entire species infatuation with its own image in the mirror and pride in its own dubious achievements repulses me more and more. Not only are people unconcerned or ambivalent about the "human" (subhuman) influences that control our existences they remain exceptionally ignorant of the value of our Biosphere. The only one we know of in the whole fucking universe. There is plenty of economy, value, jobs, sustainability,  inspiration, purpose, mystery, resources, for all of us and our descendants, in the care and understanding of this precious planet. Where is Hari Seldon? What did he do about the bankers? How have we let these parasites attach themselves like fucking candiru?

 

Wed, 07/27/2011 - 18:31 | 1499679 drink or die
drink or die's picture

This morning, every single entry was a football-related entry.  The people are really waking up!!!

Wed, 07/27/2011 - 18:56 | 1499761 andybev01
andybev01's picture

...to a raging Boehner.

Wed, 07/27/2011 - 18:57 | 1499769 andybev01
andybev01's picture

...to a raging Boehner.

Wed, 07/27/2011 - 19:04 | 1499782 Terminus C
Terminus C's picture

14th amendment is 9th atm.  The other nine are fluff.

Wed, 07/27/2011 - 23:06 | 1500232 UGrev
UGrev's picture

It's a real shame that they don't understand the reasoning behind the 14th amendment and the text:

The validity of the public debt of the United States, authorized by law, including debts incurred for payment of pensions and bounties for services in suppressing insurrection or rebellion, shall not be questioned

...which is specific to the costs incurred as a result of the civil war. There is no future connotation to debts that WILL BE incurred. Just that debts that have ALREADY been incurred at the time of the proposal of the 14th.  So anyone thinking that invoking the 14th Amendment is valid is flat fucking wrong. 

Wed, 07/27/2011 - 23:35 | 1500284 SMG
SMG's picture

Yes but unfortunatly the supreme court is controlled by

 

http://media.adamdodson.org/index.php/Illuminati-Card-Game/supremecourt

 

So we may not get the outcome we hope for.

Wed, 07/27/2011 - 18:15 | 1499609 duncecap rack
duncecap rack's picture

This budgeting thing isn't so tough. Boner came up with a new one in one day.

Wed, 07/27/2011 - 18:16 | 1499616 cossack55
cossack55's picture

Sounds good to me, though I would prefer monthly debt-ceiling hikes.  Helps keep all the other US becoming nazi germany news off of the TV.

Wed, 07/27/2011 - 20:26 | 1499993 V in PA
V in PA's picture

Sieg Heil!!!

Wed, 07/27/2011 - 18:16 | 1499617 PY-129-20
PY-129-20's picture

A Visualization of the US DEBT

http://www.wtfnoway.com/

Wed, 07/27/2011 - 18:33 | 1499688 dick cheneys ghost
dick cheneys ghost's picture

That blew my mind........

Wed, 07/27/2011 - 18:38 | 1499704 Troublehoff
Troublehoff's picture

Perhaps this debt could be consolidated into one easily affordible monthly repayment?

Wed, 07/27/2011 - 18:48 | 1499744 mynhair
mynhair's picture

Kidneys aren't worth that much, except to Soros.

Wed, 07/27/2011 - 18:41 | 1499713 macholatte
macholatte's picture

 

nice graphics

All of it fits quite comfortably on the magnetic strip of BB's American Excess Gold card.

 

Wed, 07/27/2011 - 20:46 | 1500031 NumNutt
NumNutt's picture

That looks like a lot of money, but Obama only needs a little more.......I think he is a crack head.

Wed, 07/27/2011 - 22:14 | 1500150 Taku
Taku's picture

Nice graphic.

Anyone else notice the default date miraculously keeps getting pushed back.

Timmay's awesome with creative accounting.

Move the goal posts!

Wed, 07/27/2011 - 22:54 | 1500211 tsx500
tsx500's picture

+1615.20

Wed, 07/27/2011 - 23:00 | 1500217 EHM
EHM's picture

Too much effort.

15000000000000

There I just created 15 trillion. Fed you hiring?

Thu, 07/28/2011 - 01:04 | 1500369 johny2
johny2's picture

Can you fly a helicopter?

Thu, 07/28/2011 - 01:12 | 1500377 NumNutt
NumNutt's picture

Yeah no shit, I am sure Obama has told the Marines to get airforce one in standby mode. He won't have a lot of time to get out of town when TSHTF.

Thu, 07/28/2011 - 03:14 | 1500461 johny2
johny2's picture

The distraction of the money being droped from the air, will be too much for anyone to notice the politicians making their getaway, in choppers loaded with gold. Just imagine all those dollar notes fluttering as they slowly come down, beautifull and irresistible.

Wed, 07/27/2011 - 18:18 | 1499622 Misean
Misean's picture

Who cares. Any thing that happens is going to be a stop gap. I could care less which set of worthless piles of filth has what office. Watching these tards is like watching rats climbing a burning tree to escape the flames, clawing and gouging each other to the top..and their doom.

Wed, 07/27/2011 - 23:06 | 1500231 Backspin
Backspin's picture

Exactly!  Raising the debt ceiling is not the issue.  The issue is that the number at the bottom of the Expense column is still waaaay larger than the number at the bottom of the Income column, and they STILL have yet to come to terms with that.  And the rats in the burning tree is a great image.  In this case, the rats themselves started the fire.

Wed, 07/27/2011 - 18:22 | 1499630 Hearst
Hearst's picture

Boehner / insider republicans want US debt rating downgrade in order to trigger a derivitave default bringing down the criminal banking syndicates? 

 

 

Wed, 07/27/2011 - 21:35 | 1500113 Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

The insider republicans just like 95% of WDC work for the international banking cartel!

Tuco

Wed, 07/27/2011 - 18:21 | 1499631 Kali
Kali's picture

Theatre of the Absurd.  $22B in 2012?  Fucking idiots.  1.4T/22B is how many times short this is.  NO DEFICITS, NO DEBT.  DUH!

Wed, 07/27/2011 - 18:23 | 1499642 mynhair
mynhair's picture

Your numerator is off by at least .2 trillion, and the way things are going, it could be a full trillion.

Wed, 07/27/2011 - 18:21 | 1499632 Sudden Debt
Sudden Debt's picture

4 MORE MONTHS!!!

EVERYBODY IS SAVED!!!

LET'S ALL SPEND IT LIKE IT'S 2007 ALL OVER AGAIN BITCHEZ!!

 

Wed, 07/27/2011 - 18:21 | 1499636 max2205
max2205's picture

That's a big bag of SUCK

Wed, 07/27/2011 - 18:22 | 1499640 Sudden Debt
Sudden Debt's picture

FYI: America is FuCkEd

 

Wed, 07/27/2011 - 18:24 | 1499649 mynhair
mynhair's picture

Wish I were, but that's a marriage thing.

Wed, 07/27/2011 - 19:06 | 1499785 PhattyBuoy
PhattyBuoy's picture

Spoken like a true Belgian ...

Wed, 07/27/2011 - 18:23 | 1499643 Rodent Freikorps
Rodent Freikorps's picture

$91b doesn't even cover Moochelle's back waxing bill.

Wed, 07/27/2011 - 23:15 | 1500255 HK
HK's picture

Another one from Happy Trails............

 

http://www.youtube.com/watch?v=ecPNbqUubww

 

 

 

Wed, 07/27/2011 - 22:25 | 1500166 lead salad
lead salad's picture

Thanks for the laugh.

Thu, 07/28/2011 - 04:09 | 1500481 nobita
nobita's picture

Feel free to bash the first lady. She is surely to blame for the current situation. Not the sociopathic bankers and their bought political hacks in Washington.

It's the black ladys fault, with her socialist/nazi agenda to brainwash your kids to eat healthier. Did you know Hitler was a vegetarian?!?

 

Wed, 07/27/2011 - 18:23 | 1499645 Id fight Gandhi
Id fight Gandhi's picture

Well this wont work? Where will they find the money to prop up the stock market?

Wed, 07/27/2011 - 18:25 | 1499651 stant
stant's picture

i have lifetime tickets to kubbuki theater

Wed, 07/27/2011 - 18:28 | 1499659 mynhair
mynhair's picture

Sorry to hear of your imminent demise.

Wed, 07/27/2011 - 18:34 | 1499665 Debtless
Debtless's picture

I bet Boener's vagina is tanned & manscaped to perfection.

I'm sure Cantor demands it of him.

Wed, 07/27/2011 - 18:29 | 1499668 kito
kito's picture

GIVE ME A G

GIVE ME AN O

GIVE ME AN L

GIVE ME A D

WHAT DOES THAT SPELL?

Wed, 07/27/2011 - 19:43 | 1499892 Spastica Rex
Spastica Rex's picture

Logd?

Wed, 07/27/2011 - 22:46 | 1500195 kito
kito's picture

spas, your quite the anagramologist i see.

Thu, 07/28/2011 - 06:43 | 1500547 Sudden Debt
Sudden Debt's picture

SILVER!

 

Wed, 07/27/2011 - 18:30 | 1499673 mynhair
mynhair's picture

He didn't have the votes for the last pack of crap, and this one goes the wrong way.

No deal, Howie!

Wed, 07/27/2011 - 18:30 | 1499674 Arch Duke Ferdinand
Arch Duke Ferdinand's picture

Jason Mraz "Free" Concert Whistler BC Friday Aug 5th 2011

Positivity, Love and Charity....

http://goodthoughtsgoodwordsgooddeeds.blogspot.com/2011/07/jason-mrazfre...

OT: Hilarious 2 Min Vid...

http://www.youtube.com/watch?v=W0Uju3tYS2s

Wed, 07/27/2011 - 18:32 | 1499683 dick cheneys ghost
dick cheneys ghost's picture

Cato reports (per CBO) that the US Gov will spend $46 Trillion in the next ten years........I can hear the fat lady singing and Im deaf..........

Wed, 07/27/2011 - 18:35 | 1499695 mynhair
mynhair's picture

Does that include Pelousy Botox injections?  Seems low to me.

Wed, 07/27/2011 - 18:55 | 1499758 Shameful
Shameful's picture

Am I reading that right or did you mean that government spending will be 46 trillion a year in 10 years? That number seems more likely...

Wed, 07/27/2011 - 20:55 | 1500039 dick cheneys ghost
dick cheneys ghost's picture

check this out..........

"Under the Congressional Budget Office’s optimistic spending baseline, the federal government will spend $46 trillion over the next ten years. Obviously, reducing spending by $1.2 trillion oven ten years is relatively small."

 

http://www.cato-at-liberty.org/thoughts-on-the-boehner-plan/

Wed, 07/27/2011 - 21:45 | 1500130 nmewn
nmewn's picture

The yearly budgetary spending baseline always rises.

Only within the construct of baseline budget accounting can a cut in the growth of government spending be construed as a cut in spending by the government. 

Wed, 07/27/2011 - 22:21 | 1500157 Almost Solvent
Almost Solvent's picture

Exactly! They are not reducing the outlays, just reducing the rate of increase. 

 

Insane but not unexpected

Thu, 07/28/2011 - 04:03 | 1500479 Urban Redneck
Urban Redneck's picture

The whole $917 billion in cuts in savings over 10 years is probably just the accounting gimmick result of cutting $22 billion THIS YEAR and then recounting the $22 every year and inflating it to then-current outlay levels.

The way these fuckers have cooked the accounting regulations ANYTHING LESS THAN 10 TRILLION over 10 YEARS is irrelevant, and anything LESS THAN 25 TRILLION over 10 YEARS is unlikely to prevent collapse.

 

Thu, 07/28/2011 - 06:39 | 1500545 nmewn
nmewn's picture

The entire system is a gimmick.

They created the Fed, IMHO, for precisely this reason. They can make campaign promises of anything to anyone monetarily.

The governments books are balanced by PFM (Pure Fucking Magic). The issuance of government debt that can never be repaid, purchased with currency appearing out of thin air. In this way governments can wage unlimited wars on each other where only the people die (not them) and the poor along with government workers can be held in involuntary servitude where their very own vote is the key to their shackles.

All they're doing here ultimately is destroying the currency...the common medium of exchange for labor and purchases. They even made laws to impose on the people stipulating that they cannot do what they themselves do. ..namely ponzi's & counterfeiting....if it were not so damaging to everyone and unnecessary it would be a tragic comedy.

I'll just keep buying gold & silver because I will not rebel and fight for thise who will not fight for themselves, either out of ignorance or greed. I will however, contrary to popular opinion around here,  continue to vote for those I believe are sane and see the same thing as me.

Wed, 07/27/2011 - 22:35 | 1500183 Shameful
Shameful's picture

Oh the Boehner plan is a joke. Republicans like to talk about cuts but won't actually do it. At least with Democrats they tell you they want to pillage you and redistribute your wealth.

But I got to be honest I would be stunned if the US looked anything like it does now, in 10 years. Either the dollar or the rest of the world will heave to bear the govs spendthrift ways, and the rest of the world looks pretty messed up dealing with their own issues. I'm not so sure the Dollar can take QE10. When gas breaks $10 a gallon even the most docile sheep might start asking "WTF?!?!". But hey maybe I'm wrong, maybe there will be a savior out of the wings to continue to lend to the US at super low rates forever. Here is to hoping there are ETs about to visit and they are dumb and don't know what a ponzi scheme is...

Wed, 07/27/2011 - 18:35 | 1499691 bob_dabolina
bob_dabolina's picture

Boehner MAN UP. Stop being sucha' bitch. 

Refer Dems to 

https://www.pay.gov/paygov/forms/formInstance.html?agencyFormId=23779454

Seriously, Boehner needs to grab his balls and remember what principles this country was founded upon.

 

Wed, 07/27/2011 - 18:36 | 1499697 Infinite QE
Infinite QE's picture

They're on lease to Goldman Sachs

Wed, 07/27/2011 - 18:35 | 1499694 Turd Ferguson
Turd Ferguson's picture

This is all I can say:

http://trololololololololololo.com/

Wed, 07/27/2011 - 18:38 | 1499703 mynhair
mynhair's picture

Geesus, does Pelousy know someone is stealing her Botox?

Wed, 07/27/2011 - 19:20 | 1499822 I am a Man I am...
I am a Man I am Forty's picture

they should put this song in solitary with that norwegian killer, he would kill himself within 24 hours

Thu, 07/28/2011 - 01:17 | 1500371 whaletail
whaletail's picture

OT: fantastic profile picture and user ID

 

for the uninitiated: 

http://www.youtube.com/watch?v=aoMmbUmKN0E

Wed, 07/27/2011 - 19:44 | 1499895 DosZap
DosZap's picture

Turd,

Man, that is some kind of SCARY.

Was he alive when he was singing that?.

Looks like a Corpse..............(.Bernanks Bro?)

Wed, 07/27/2011 - 20:41 | 1500024 rufusbird
rufusbird's picture

It is an ad for men's hairpieces right?

Wed, 07/27/2011 - 22:53 | 1500207 kito
kito's picture

actually it was a documentary on the history of substantive speech and behavior by all politicians. and an excellent one at that.

Wed, 07/27/2011 - 19:59 | 1499937 legal eagle
legal eagle's picture

So why would you waste our time linking us to that?  I have read in the past that you are clever, after that little trick I am not so sure Turd.

Wed, 07/27/2011 - 21:07 | 1500062 zen0
zen0's picture

Being a lawyer, (guess) you would not be able to discern the difference between absurd truth and abject reality.

 

And if you are not a lawyer, the same still applies.

Wed, 07/27/2011 - 21:16 | 1500082 Totin
Totin's picture

Friggin hilarious

Wed, 07/27/2011 - 23:14 | 1500251 Backspin
Backspin's picture

If someone who knows is up in the middle of the night with nothing to do, would you please explain that trolololololololo.com site to me?  Maybe I'm slow.  TIA.

Thu, 07/28/2011 - 09:20 | 1500717 Use of Weapons
Use of Weapons's picture

Indeed, I am very glad that I finally am returning home (Russian: ? ????? ???, ???? ?, ???????, ??????????? ?????), or more commonly known as “Trololo song”, is a Soviet-era pop song composed by Arkady Ostrovsky, performed by Edward Hill (AKA Edward Khill, Eduard Khil), a nationally-honored Russian singer since the late 1960s. Due to much exploitable elements of the music video, it became known as a popular bait-and-switch video, in similar vein to the more notorious usage of Rickroll.

http://knowyourmeme.com/memes/trololo-russian-rickroll

 

In Soviet Russia, the trolls lolololol you!

 

 

[For future reference - when faced by something unknown these days, just google <name> and "[know your] meme" - you'll most likely get it explained)

Wed, 07/27/2011 - 18:35 | 1499696 MAGICWIZARD
MAGICWIZARD's picture

is this a joke, is today April 1st?

Wed, 07/27/2011 - 18:37 | 1499698 drink or die
drink or die's picture

"Under the bill, the President is given authority to increase the debt, under certain conditions, by up to $900 billion."

??

Wed, 07/27/2011 - 19:31 | 1499863 DosZap
DosZap's picture

drink or die,

And we WONDER why the POTUS is acting like the  KING?.

Congress, all on Crack, are delegating ALL their powers to the Exec Branch.............which already has WAY too many.

LA IDIOTA'S!!!!!!!!!!!!!!!!!!!!!!!!!!

Wed, 07/27/2011 - 23:18 | 1500261 Backspin
Backspin's picture

That's right.  This is Congress' problem.  Obama should say so.  There is no possible happy solution to a 14 Trillion dollar problem, so Congress is happy to shove it onto Obama's plate as much as they can.

Wed, 07/27/2011 - 18:37 | 1499701 Thomas Jefferson
Thomas Jefferson's picture

I consider this proposal to be racist. 

Wed, 07/27/2011 - 18:39 | 1499709 mynhair
mynhair's picture

Burn all bag wearers!

Wed, 07/27/2011 - 18:39 | 1499705 tom
tom's picture

Notice that the only effects on any concrete program are to boost spending on Pell grants by $17b in 2012-2014. While we're pretending to cut, why not slip in some more pork for those worthless for-profit colleges, which of course have been "donating" loyally.

Other than that there are legal caps on the very broad category of "discretionary spending", which would be left to Obama to decide how to implement, or perhaps subvert, we'll see. And if Congress and Obama manage to agree on a FY2012 budget, that would override this bill, as would any budgets adopted in future years, as could potentially any other piecemeal spending legislation that might be adopted.

 

Wed, 07/27/2011 - 18:41 | 1499718 mynhair
mynhair's picture

Do you have any supporting chart porn to show Pell grants go to other than Lib crap colleges?

Wed, 07/27/2011 - 20:53 | 1500038 Samual Adams
Samual Adams's picture

I'm receiving about 2K a semester in Pell grants on top of the GI Bill. 

Helps me buy gold guns and food.

Wed, 07/27/2011 - 21:30 | 1500106 Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Well, it's good to know that at least one person is wisely spending our tax dollars!

Tuco

Wed, 07/27/2011 - 22:33 | 1500178 tom
tom's picture

Pell grants go to all colleges, indirectly through their students, but it's the ones with the highest default rates, which are the for-profit schools, that are at risk of losing their eligibility if the program's funding isn't increased. That's why their shares were bid up when this bill was first unveiled.

Wed, 07/27/2011 - 18:41 | 1499717 Seasmoke
Seasmoke's picture

what about the money they have to immediately pay back to the federal pensions ????.......this may only give them 4 WEEKS !

Wed, 07/27/2011 - 18:43 | 1499726 mynhair
mynhair's picture

Why do they have to immediately pay back the stolen Fed pension funds?  Is that written some where?

Wed, 07/27/2011 - 20:18 | 1499980 DonnieD
DonnieD's picture

They will be paid back with IOU's just like Social Security.

Wed, 07/27/2011 - 21:28 | 1500101 Tuco Benedicto ...
Tuco Benedicto Pacifico Juan Maria Ramirez's picture

Ha, ha ha!  They ain't payin it back and we're next in the queue!

Tuco Benedicto Pacifico Juan Maria Ramirez

Wed, 07/27/2011 - 18:43 | 1499728 thetrader
thetrader's picture

maybe obama is not that bad, or? check link for comparison

It is all Relative

Wed, 07/27/2011 - 21:38 | 1500116 JohnG
JohnG's picture

Hi,

Can you please have a look at my comments on this article:

http://www.zerohedge.com/contributed/broken-vol-skew-and-market-implicat...

The article got lost in the "noise."  All day I have been trying to get anyone that can produce a formative thought to go read the article, and attached article.  I find them both quite important.

Check my thinking here for me please.

Thank you.

Wed, 07/27/2011 - 18:48 | 1499730 John McCloy
John McCloy's picture

  So what happens when it no longer becomes a question of a self imposed debt ceiling by our own govt but a debt purchasing ceiling by other nations? 

Well we all no that answer only Bernanke and his counterfeiting ring. It is all over for us. Also are not all these "10 Year Cuts" rendered irrelevant since we have unsustainably low interest rates on our debt? 

Wed, 07/27/2011 - 19:12 | 1499799 buzzsaw99
buzzsaw99's picture

You'll notice that all budget projections show ever lower (or steady) bond rates? How can they do this? You know how.

Do NOT follow this link or you will be banned from the site!