US Starts New Fiscal Year With $14.837 Trillion In Debt, $142 Billion Increase In Two Days

Tyler Durden's picture

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LeonardoFibonacci's picture

I am wounded but not slain, i will lay me down to bleed a while and rise to fight again mutherfuckers! Don't touch my fucking gold

malusDiaz's picture

Do you want to Occupy Wall Street?  Then withdraw 100$ in change and do something about it.

 

Do you REALLY want to Occupy Wall Street? Then spread the word and withdraw 200$ in change.

mfoste1's picture

death by stoning with fiat coins i hear is the new rave

i-dog's picture

Another year ... another $2 trillion! Should just make it to $16.666 trillion of DEBT in time for martial law and a cancelled election this time next year.

dwdollar's picture

I love it! Only it would be called fiat coining! A quarter in the eyeball would fucking hurt bad. I suppose a more effective way would be to drop several bags full of coins on them from a considerable height.

hambone's picture

Is $14trillion more than a million??? 

Thanks

Joe six pack

Dugald's picture

Get out your blunderbusses, charge with nickles n dimes and, Eh? Oh! well try the local museum get with it, this could be your day....

chet's picture

Also this means is that even if the Super Committee does what it is supposed to, that we'll be having another debt ceiling stand-off in the months before the 2012 election.

DormRoom's picture

wtf.. Keynes strictly says to pay down debts after stimulus spending, and in periods of  economic vitality.   Governments ignore this warning.  And the people fail to warn governments about its economic complacency.

 

Everyone is in the circle jerk.  No one wants to be that guy who says the party has to end.  Keynes was the adult in the room, and warned against the abuses of debt.

 

p.s.  Keynes also wanted against removing the USD from the gold peg.  But the US ignored him then also.

faustian bargain's picture

Keynes was the jerk who lent credibility to the insane idea of 'stimulus' spending. Doesn't matter what he may have said about what the government 'should' do. What matters is, they took the ball and ran with it.

If he were so all-fired enthusiastic about gold, he should have known that deficit spending is a bad idea all around. The government should be discouraged from meddlesome 'stimulus' spending from the beginning. What Keynes did was to open the door and get the party started.

Saying he was the adult in the room is not exactly true. More like, he was the chaperone that booked the hotel room and then looked the other way.

Dr. Acula's picture

>Keynes was the adult in the room

He was a discredited pseudoscientist. His theories were thoroughly debunked by Hazlitt and they merit no further consideration.

 

nmewn's picture

"p.s.  Keynes also wanted against removing the USD from the gold peg.  But the US ignored him then also."

Keynes was a moldering skeleton long before Nixon was president. I think you need to explain the dynamics of time travel a little better ;-)

dwdollar's picture

That's debatable... however... To think that governments would have the discipline to not spend when times were "good" is idiotic to say the least.

Calmyourself's picture

He was a Fabian nothing else really matters..

DeadFred's picture

??? Unless my arithmetic is off they won't last another full week. Am I missing something?

Atomizer's picture

Ah yes, but our elected public servants were told it would get the Government thru until November 18th. Fuzzy math and great orators save the US operating under no budget plans.

mikla's picture

??? Unless my arithmetic is off they won't last another full week. Am I missing something?

It's mere accounting "trickery" where it's a convenient "accident" for the spending to occur over two days.

The $142B in two days is "pent-up accounting" where they were holding out for a convenient "reporting time".  That's why it was split over two days (different quarters, different fiscal years).  You're not seeing the additional "pent-up" debit-ing, for which they will account on some other convenient "date" as it is forced upon them.

So, these "run-rates" are not real.  They don't mean anything, and you cannot project based upon them.  They do not correlate with anything in particular, except for end-of-quarter, or "holiday weekend" reporting where they hope people don't notice.

Further, they are only accounting for those things that cannot be "hidden" through other means.  For example, they are accounting for "roll-over" debt and actual disbursements (e.g., SS/Medicare), and not intra-governmental transfers (where the *real* debt is held, and which is not accounted until it becomes a cash-flow issue).

Accounting at this stage is merely about immediate cash-flow needs that cannot be hidden.  It doesn't mean anything.  (None of this accounting matters.)

Welcome to exponential blowout.  This is what it looks like.  It's a math thing.  Only very small children and elected officials don't understand it.

Winisk's picture

Good to see you posting once in awhile.  I've always respected your perspective.

boiltherich's picture

Anytime the first falls on a weekend or a holiday those payments due on the first are disbursed on the immediate business day prior to the first.  Social security, disabled vets like me, federal employees, railroad retirement, military pay and contract disbursements, just to name a few, but this month it was a special case because the first was not just the first of the month, it was the first of the fiscal year.  It has to go out on Friday September 30 but is not booked in the 2011 FY accounts.  Also, there are a lot of payments that for whatever reason got held through the year but which have to be paid by law in that fiscal year. 

Things are bad enough without trying to extrapolate a 26 trillion dollar deficit for 2012 because of the first two days of debt. 

bobert's picture

You are way off.

They may last another eight weeks :)

bobert's picture

sorry for the fat finger double post.

jm's picture

I know it's a scandal and I know it is crazy.  But for some weird reason it just doesn't matter right now.

fyrebird's picture

You've blown a fuse, that's all. I blow about three a week these days.

I suggest five shots of JD, a woman you don't know very well, and waking up in a city park in a city two states removed.

You'll be back to your old self. Let us know how it went, you know how much we care.

Phil Free's picture

Stub your toe?  Or is American Idol on?

jm's picture

The third biggest bond market on the planet is sizzling over the flames.  This one is offering negative yields. 

You can't blame the difference on a Red Bull overdose.

bobert's picture

I think you meant "X Factor."

haibop's picture

This doesn't look too promising. beacon payday loans

sockcutter motorforker's picture

its like everyone wants to play monopoly for just a little longer so they keep on adding their own hand drawn currency

Racer's picture

uhave ta go spen munnee to go safe frum goin bancrup, duncha no

fyrebird's picture

Ha! $15T -- it's just a flesh wound!

Hansel's picture

Why doesn't someone just write a check and pay it off?  It's not that hard.

bobert's picture

A bank draft or would it be a cashiers check?

smiler03's picture

Well my checks (cheques) only have a space one inch wide for the amount in digits. I'd have to write out about 1000 checks but my bank's printers are apparently too busy to print more checks.

Zero Govt's picture

its not your Bank is "too bizzy (busy) to print cheques" ...it's that Visa and Mastercard, architects of the fantasy era built on credit card castles in the sky have now effortlessly moved onto everyones bank debit cards as credit gets stigmatised by society through its bad experiences (of Visa and Mastercards collapsing castles of rotten debt)

Visa and Mastercard are the 2 greatest global money monopolists, probably greater than any monopolist central bank ...the fact you never hear a bad word about them is testament to their unholy power over media, politicians (even shreeking trigger-happy socialists don't make a single squeek) and bankers ...takes someone like Rothchild to manage such a global stitch-up of their primary part in this Great (Credit=Debt) Depression and to arrive so stealthily and un-announced on everyones Bank debit cards

so cheques (cost 20p/22Cents) are on their way out and the vastly more efficient electronic cheque (all computerised, cost next to zero) is ready with those same global monopolists, Visa and Mastercard, in pole position to rake in even more business... and some charges I've seen on debit cards range up to £2.90-$3.50 for the 'privilege'.... the rip-off has begun by the V & M global monopolists (The Parasite Club) and just as disturbing these monopolist middle men now have access to everyones financial transactions

sgorem's picture

one of these days in the very near future, we'll all be looking back @ the $15 TRILLION in our rear view mirrors and opining for the "good ole days"....... of ONLY $15 trillion in debt........fuck the world.

faustian bargain's picture

It's like whipping a dead cat with a rain-catching sieve on a driverless bus accelerating off a cliff blindfolded into a black hole of debt.

fyrebird's picture

OMG, that's exactly what it's like! What are you -- like an economist or something? Someone quick, alert the Nobel committee!

faustian bargain's picture

I got a PhD in mixed metaphors.