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We Were Off By Two Months
Back on May 25 2010, just as the Greek fiesta was starting to unravel, we wrote the following: "Total US debt per today's Daily Treasury Statement was $12,989,095 million. Also today, the US Treasury auctioned off $42 billion in 2 Year debt. This means that as of this moment, assuming the new debt were to settle today, the US has $13,031,095 billion in debt: congratulation America - you have now passed lucky $13 trillion in total debt. But don't worry, we won't stay here for long. At the current rate of issuance, $14 trillion will be passed in 8 months, and $15 trillion in another 7. By the end of 2011, we estimate total US sovereign debt to be about $15.5 trillion. For some recent vivid examples of prosperity courtesy of runaway debt issuance, please see Argentina, Japan and Greece." We apologize profusely, as we were off by two months.
And yet we are far closer than Obama's 2010 budget titled "A New Era Of Responsibility", which predicted that full year 2012 debt would be just $200MM higher than where debt is now. Instead, it will be about $1 trillion more. And of course, together with underestimating debt, Obama naturally went ahead and overestimated GDP: an unheard of event.
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One trillion is no longer a big number. Sorry for my english, what's a 1000 trillion?
quadrillion, like the total amount of derivatives :)
Just because it never gets old...
"The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure. It is a sign that the U.S. Government can’t pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government’s reckless fiscal policies.
America’s debt weakens us domestically and internationally. Leadership means that ‘‘the buck stops here.’’ Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better."
"That's why today, I'm pledging to cut the deficit we inherited by half, by the end of my first term in office"
Barack Obama, February 2009
O-BA-MA! O-BA-MA!!
Did he say in half...He meant double.
In all 57 States?
DATS RAYCISS
He meant to say divide by 1/2.
$1 trillion divided by 1/2 = $2 trillion.
DavidC
mmmm, mmmm, mmmm, Barak Hussein Obama!
http://www.youtube.com/watch?v=Bg98BvqUvCc.
Best part is she was right!
whoopsie...he was a tad off.
Or perhaps he's just yet another Chicago political hack.
For some recent vivid examples of prosperity courtesy of runaway debt issuance, please see Argentina, Japan and Greece.
In terms of debt, there are huge differences between the debt of the US and that of Japan, Greece and Argentina. US debt, while alarming, is NO WHERE close in comparison.
US debt is roughly 105% of GDP and that debt is denominated entirely in US dollars. We have exclusive rights to the printing press needed to service that debt, and we have the Federal Reserve as a bidder of last resort which rebates back to ourselves ~90% of all interest paid. The fact that we can sell our debt in the open market for world record LOW rates while in the midst of the worst recession since the Great Depression is not an accident nor some freak misunderstanding by the bond market that only bloggers understand.
Japan's debt to GDP is over 230%, over twice US's figures. If the credit markets should worry about any country outside of Europe, it's not the US; it's Japan. For the sake of comparison, Italy's debt to GDP is 128% and Greece's is 159%. CDS prices on Japanese bonds are HALF of France's and a quarter of Italy's. If you want to short any currency, it's not the US dollar; it's the yen. The point being, if you're looking to sound alarm bells about a country's debt, it's not the US even if our fiscal situation has deteriorated considerably over the past four years.
Greece's debt is denominated in Euros, and they DO NOT have exclusive printing rights to their currency, nor do they have an exlusive central bank that can stand as the bidder of last resort.
Argentina's sovereign debt was 90% denominated in dollars, which means they needed to participate in the FX markets to service their debt. This put them at a massive disadvantage compared to the US which does NOT need to participate in the FX markets to service its debt; all of our debt is denominated in US dollars. Having debts denominated in a foreign currency makes a HUGE difference, and was the same problem Weimar and Zimbabwe had. Both had to go to the FX markets to service debt, which then exposes them to currency speculators who can drive their currency into the ditch making repayment in foreign currencies unserviceable. Because of this, in 2002 the Argentine peso fell by 55%, while inflation climbed 40%. The same thing nearly happened to Mexico in the 90's, until the Clinton administration together with the IMF bailed them out for fear that Mexico's crisis would spread to the US.
In short, there are big differences which make it impossible or irresponsible to compare US debt to Greece, Japan and Argentina.
Max Fischer, Civis Mundi
Mr. Fischer are you implying that we should wait until things are closer in comparison b4 doing something about it?
No. That would be stupid.
I never said anything remotely close to that in my post.
I thought I was fairly clear, but in case I wasn't, here's a brief synopsis: US debt is not comparable to Japan, Greece or Argentina, and if you're looking for the domino that everyone seems to be ignoring, it's Japan. NOT the US. The CDS's on their bonds are relatively cheap compared to France and Italy, and the yen looks like a good short. The debt of the US and our ability to service it is an utterly different scenario than all the aforementioned countries.
Max Fischer, Civis Mundi
You are right Japan will go first. But once those dominos start falling and Sovereign debt is realized for what it is, NOTHING but worthless paper, especially in an every inflationary environment with central banks printing as much as they like then whos next Mr. Fischer, the Euro. And then who Mr. Fischer, then it is the U.S.A. Unfortunately for the Japanese people they own a very descent chunk of the worthless debt. Never forget Mr. Fischer, things that cannot go on forever have a tendency to stop. This unlimited spending policy by all developed countries in hopes of proping up welfare state economies cannot go on forever. What happens when it stops Mr. Fischer and these economies go poof!
But once those dominos start falling and Sovereign debt is realized for what it is, NOTHING but worthless paper, especially in an every inflationary environment with central banks printing as much as they like then whos next Mr. Fischer, the Euro. And then who Mr. Fischer, then it is the U.S.A.
You might have a point there.
What if the plan is to run all major currencies into the ground, trigger collapse of one, like euro for example, then watch all the rest collpase one after another?
What better way to sell a worldwide currency as "the only possible solution".
Just one little problem with that idea. Asian alliance won't go along with it. It'll start WWIII for sure.
The ISDA, just this week, has proven that CDS are worthless.
Just because the US can *PRINT* it's own debt, that does not change the fact that we are well on our way to fiscal armageddon.
Yes, Japan is in shit shape. We are worse if you actually tally the debt, inclusive of entitlements.
It's called a balance sheet. Ours does not balance.
Max,
Certainly the different situations enumerated (Zimbabwe, Japan, Argentina, Weimar) embody different circumstances and will have somewhat different outcomes.
The most striking difference, as has been said many times, is that the U.S. dollar is a worldwide currency.... while you mya get some protests, you can walk into marketplaces around the world and buy things with U.S. dollars.
The next most striking difference is a possible deception which has been raised over and over again on this website, that partly through sleight-of-hand, artifice and coercion, the single largest holder of U.S. debt and far and away the largest current accumulator is ... the U. S. government itself ... this is unlike all of the other situations mentioned above ...
It is best envisioned as a snake who got so hungry that he started to eat his own tail ... no one knows how this is going to end up, or when, but its pretty obvious that it won't come out well for the snake ....
Mr Fischer is simply using false logic to imply that since the cases are not exactly analogous therefore no conclusions can be drawn from the similarities. As far as waiting to do something about it, closing the barn door is already many years too late, the horse is now way over in the next county. There is no longer any feasible way to bring the debt monster under control. The best use of our time is trying to find ways to mitigate the damage of the upcoming epic fail and to protect those around you. The only remaining question is "When?" (unfortunately not the question ZH is best at answering)
Can't tell if ... troll ... or not troll... so here goes anyway:
You are aware that other countries are at this point full on sprinting away from the US Dollar as a means of international transaction and that if you can ever buy oil without somewhere along the line needing a Federal Reserve Note, all those bills will fly into the US and create an inflationary storm, yes?
Not to mention that debt and *productive* GDP curves are running away from each other. Illustrative of the insanity of our system, the wizards behind the curtain still use debt to increase GDP stats thereby rigging MF's 105% statistic. The marginal productivity of debt went negative some time ago, but the Gov't will NEVER admit such. Based on the acceleration of these trends, and American's savings rates, I agree we aren't Japan. Our citizens (more like "inhabitants") are much more intensely scroomed.
http://economicedge.blogspot.com/2010/03/most-important-chart-of-century...
So Max, what other wisdom has Professor Krugman been sharing with you?
Hi Max,
Can you tell me what percentage of Japanese soverigns are denominated in something other than the Yen that they can print....as we can dollars?
T-Paine
http://seekingalpha.com/instablog/1108761-asa-harrington/262842-japanese...
Bah ... there is no deficit. How can there be a deficit when there is no budget to begin with? Just print, spend and tally... and let a few future generations deal with the mess.
Also in the never gets old category:
For the numbers people - http://www.usdebtclock.org/
Visualize the debt - http://usdebt.kleptocracy.us/
"Under my plan.. electricity rates would necessarily skyrocket." (January 2008)"
..he didn't get the cap and trade scam but he is getting one of the results.
Gee, but what does all this have to do with contraception?
Redpill your a damn racist throwing those words in his face like that, soon you'll tell us he promised to cut the deficit and give us a domestic security apparatus as powerful as our armed forces..
So much for remaining calm Mr. Calmyourself. For one I agree with Redpill. America is a country without leadership where votes are bought with government handouts. Perhaps you should remember another famous quote, "The American Republic will endure until the day Congress discovers that it can bribe the public with the public's money." We are long past this point and any honest person knows it. The government does not exist outside of our own economic system Mr. Calmyourself. Every dollar the government has or has borrowed is a dollar out of an Americans wallet. That should NEVER be forgotten.
ALERT! Bucketscan has detected a faulty sarc-proxy-indicator in your system.
Hit CTRL-ALT DEL for a reboot. Afterward, feel free to watch the following clip.
http://www.youtube.com/watch?v=Tt2yGzHfy7s
Right over MR34 wasn't it... ha, now I see the attraction of being MDB... And three up arrows I see the fools I reference below are alive and well, did you guys read the post and detect anything resembling a sarcastic tone.. See how I juxtaposed his actual statements against redpill.. Oh never mind..
I'm sick of libertarians talking about the "national debt". Americans are NOT RESPONSIBLE for the national debt. It is actually the CORPORATIONS that caused the debt. They constantly sell us over-priced goods and offer us low wage jobs but you idiots just want to talk about the "government". People are beginning to wake up. Support the socialist revolution in 2012!
Mmmm.... I guess you're attempting to usurp MDB's shtick?
I +1 this just to not follow the herd. I wanted to junk it but that would make too much sense.
redpill - yeah, this shit never gets old, however, it is sure getting harder and harder to watch this kabuki theater! Especially some of the events of this past week! It is maddening that the herd is so friggin brain dead, that they have no clue! Oh well, my rant for today is over, gonna drink some tequila and pass out. peace out bitchez!
A googol is the next big thing in search and budgets.
1 googol = 10000000000000000000000000000000000000…
00000000000000000000000000000000000000…
000000000000000
A quadrillion - as in Japan's yen debt.
One quadrillion. Or the rough total of the derivatives market.
but but but but net is zero!
pay an auditor (handsomely) to make it so
Unfortunately Occidental College (POTUS Undergrad) teaches that if you put enough zero's after any other number eventually the zero's domintate the definition and the whole number defaults to ZERO.
Sadly, they were right.
Who worries about a quadrillion in derivatives? You take $500 trillion and another $500 trillion and you net them. Alas, you better be fast because this netting process will have to be done before Asia opens on some fateful Sunday night.
Who cares about 1000 trillion?
We'll hit the motherfuckingillions sooner or later.
Holy crap I love ZH...and project mayhem.
Let's kills some Iraninians, that's going to cut our debt yes?
that's Paul Krugmans theory
..i've offered to pay his entire air fare to the front line to test death and destruction equals economic stimulus
(not heard anything back from Paul to date!)
can we go to war with Krugman?
The Neo-Keynesian inspired Dead-Iranian-Nuclear-Scientist to GDP index ratio is wwwwaayyyy too low. We need Dead Iranian Nuclear Scientist stimulus! It may sound a bit counter-intuitive to you peasant types, so you'll just have to trust me on this: the cure for Dead Iranian Nuclear Scientists is actually MORE Dead Iranian Nuclear Scientists, see?
Frau Farbissina, send in zee DRROONEEESS!
well done!
Which country can we rename Krugmanistan?
WAR, the ultimate malinvestment.
"Let's kills some Iraninians, that's going to cut our debt yes?"
Even if it doesnt it'll make us feel better.
I just love these reminder posts about posts with good predictions that we freemarket economists see soo easily..
I don't know why, but most people keep forgetting all the rotten paper parked at the mortgage agencies. Our actual federal debt is c. 21 trillion right now. Societal debt? Must be around 60 trillion.
My understanding that if you include it all (Social Security, Medicare, Medicaid, as well as the bad debts you cited at the mortgage agencies), that the total debt is some $70 trillion.
So what? We can just print those obligations away.
The only obstacle here is that Ben "Ctrl+P" Bernanke will have to buy a new keyboard when he breaks the "p" key on his current one.
Shouldn't take him more than 24 hours to find one he likes and get back to button-mashing.
I'll write him a script for a cool trillion. His time spent hunting and replacing keyboards has to be worth more than that.
DoChenRolling, Larry Kotlikoff has the US fiscal debt as something around $210 trillion. He has had the best methods I've seen.
Yeah, the $200+ trillion number is the one I believe.
Like it matters.
Esso - that is the truly astounding and magical truth to this matter. That it really is not of great import if the true promises amount to $70 trillion or $200+ trillion (a factor of three). It matters not. It matters not the deficits we run annually. They are only a mental construct...an illusion the vast majority prefer not to unsee. And why should they at this point? What good is it to realize the self delusion, the mass deception? I believe many stupid and some very smart know that nothing good will come of this realization. We have gone too far, made too many false promises, and the result could range from nasty to annihilation. At this point, what is the point of raising the sleeping from their restful slumber? To realize their vulnerability and light the hysterical fuse? No, I say let them sleep and hope they enjoy their dreams as long as possible. Nothing worse than those who have lost their dreams and have everyone and no one to blame for it all.
Suffice it to say we are so far beyond the Rubicon, we're more likely to see it again sooner straight ahead than try to go back and undo it's orignal fording.
Wouldn't printing those obligations away cause ruinous inflation?
With Benji at the reins it will reslut in a lollipop rainshow and a unicorn in every garage.
Printing money does not cause inflation only spending it, ask WTI and Brent they will tell you..
hmmm...if you can print it away why is there a debt at all? ...is it because the gov't can't print?...the fed can but you have to pay it back...am i wrong here? why does everyone keep saying we can print it away? every dollar the fed prints you have to pay back...as i understand it.
Total US National debt is $15.42 trillion.
Unfunded liabilities (Social Security, Prescription Drugs and Medicare) are $117.84 trillion
So total debt and unfunded liabilities are $133.26 trillion.
http://www.usdebtclock.org/
Then ..... dammit print the money to fund them .
Right! WTF are they waiting for already?? Sure as shit, if I had a printing press - and especially if were completely LEGAL - I'd have that thing churning through ream after ream of paper 24/7, stopping just long enough to reload ink and grease the gears. Seriously. Wouldn't you??
The real question is this:
With all that paper sitting out there rolling its maturities into the next batch, why in hell would anyone think interest rates could ever be permitted to rise?
Do you realize that just 1% of interest rate bump on 70 trillion is 700 billion on the budget. They can't even cut $4B in a single year. They will never, ever allow 700B to be smashed out of the budget like that.
Interest rates will not rise. Period.
The only thing that matters is that for the moment the dollar still has value.
Tik tak....
This is the capstone comment of the thread eloquent and momentous. Things can still be purchased with US currency and when this hits things will VERY quickly find their value. You had better be buying things now not just AU/AG but concrete things. Chainsaws, oil, food, fuel, seeds, tools etc. This will in my opinion take longer than any of us think but when it comes if you are without things it will be like running in front of the dirty water in Banda Aceh on Boxing day trying to snatch life jackets from roadside stands..
And still few people realize that our governments are printing all that money and only this is what keeps the economy from sinking into the abyss....
Once we can't print anything of value anymore... We'll have nothing left....
THAT'S why you and me hold gold, buddy!
+ a big fat 1!
YEP!
But I'm still looking for a alternative country to go to when this shit comes down. There's like nowhere out there that really does it for me.
Anywhere closer than Mars isn't going to be far enough from danger when the Pentagon is going through it's death spasms.
A little Friday humor.
I am surprised it only mentioned smelting metal, planting crops, and sequencing DNA. I was sure they would, at least, include plans for a printing press. Like any of the 'intellectual elite" left will be able to wipe their own collective asses, let alone grow their own food. What a lark! Thanks for the laugh Yen!
I aim to please. P.S. ) Ink floats in " zero gravity".
How arrogant to think that there will be anything of value for the universe left from this NWO CF.
short human arrogance, long the universe
"When the Pentagon is going through it's death spasms."
And now I take you to the Pentagon situation room.
"Can I launch just one at California or North Korea just for old times sake? Call it break-up sex for the military."
Norway looks solid, but i'ts to cold and dark for to long for my taste.
Sudden Debt
Once we can't print anything of value anymore... We'll have nothing left....
Care to rephrase that?
i think what he means is people still think the dollar is valuable? not for long bitchez!!!
yup!
we'll have nothing left b/c we "owe our souls to the company store"
sodden_d, old sport: is it really "the economy" that is so "fragile" and about to sink without continuous extraordinary "floatation"?
if there is a host and a parasite, for example,...
I'm sorry but I just have to LMAO.
This whole thing is fucking ridiculous.
Because of the stupidity of the vast majority this will go on and on. They do not understand and do not want to understand. The PTB will use that to their advantage as long as possible to hollow us out in preperartion for whatever their end game. No, once we let them dumb down the population to a certain point and insert bread and circuseswe were finished. This ends when hunger reigns, swollen bellies don't care what the CPI is..
Ridiculous? Are you kidding?
They've gone to Plaid.
http://www.youtube.com/watch?v=mk7VWcuVOf0
Im sad...you have to click the link...Im really proud of this post.
Come on...They've gone to plaid!!!!
Space Balls!!!!
tsk, tsk...slacker
Don't do it again. :b
off by 2 months Tyler? you guys are slippin!
i bet that one asshole with the ruler theory (biriyni?) had it nailed to the day!
kind of sad that my only news source is ZH. everything else sucks ass compared to this site. news with a twisted sense of humor, i love it
have a great weekend y'all
What's Barry going to do if he needs to ask for more money before the elections?
I imagine they'll start looting accounts (like they did last summer) in an effort to make it past elections.
Tyler you dummie! Off by two whole months?? That's 8 in weeks and over 60 in days!! Astronomical!
We really need to tighten up the ship around here ! :-)
Inconceivable, proper usage I checked.. Just don't get the end of our monetary system wrong by two months mmkay..
http://www.youtube.com/watch?v=Z3sLhnDJJn0
Exactly. When we're talking about our national debt fudge-factor, the least we can do is be very, very precise /sarc
He forgot in his original calculation he included off balance sheet sheet...
I'm just counting down the days, [with a "gigante" bottle of Patrone Gold on the shelf], for that debt ceiling increase right before the election. Maybe POTUS will go for a " twofer", and hit the SPR at the same time? /sarc
Debt for fiscal year starting October 1 2011 till March 1 2012 : 710.67 billion or 4.67 billion/day ($15.08/day/citizen) or ($1.709 trillion deficit)
Debt for calendar year 2012 till March 1 2012 : 278.07 billion or 4.55 billion/day ($14.70/day/citizen) ($1.665 trillion deficit)
Current debt as of March 1 2012 : 15.501 trillion
Current debt ceiling : 14.694 trillion (first phase) 15.194 trillion (second phase) 16.694 trillion (final phase)
At the current average rate of 4.61 billion in new debt/day (or about $14.87 in new debt per day for every citizen in America...and that is just federal) it will take about 258 days before reaching the final phase of the debt ceiling hike, so around November 14, 2012.
US GDP : 15.294 trillion Q4 2011
US debt : 15.501 trillion
Total debt to GDP ratio : 101.35%
The day of reconing is approching for the crooked banksters. March is the month we bring down the crimex. The trap has been set. Keep watching Zero Hedge for signs and portents. More to follow.
Summer Benson
Thread starts here: http://www.zerohedge.com/news/iceland-wants-adopt-dollar
DC go with code word: coal mine , that should throw them off the trail / sarc
Ask the Turd about me. He knows.
Drive for show,putt for doe, it's all in the details
you be wise to learn a lesson from Anrew Brietbart.......no telegraphing and just doing it
talk - action = shit
Whats the call on US default? I'm still @ 2017.
I'm putting my money on hyperinflation and/or default in 2014... but just a few fiats for the entertainment value.
2016-2020ish.
I had some "faith" in 'merikans coming to their senses sometime closer to "now"--but I'm not so sure anymore.
Americans'll only care when they can't keep doing what they're doing. You need more out on the streets and jobless before the scales will tip.
Never bet on any "intelligence" or anything of a higher order out of the masses of people: when they are hungry enough, they will fight. No sooner or later.
All of these worthless protests and such mean nothing. Nothing at all. People rally to them and think that demonstrations and shit like that will change anything when you've got immoral and power-hungry hedonists at the top. No--things change when you forcefully remove them. Violence is always the ultimate modifier in any social-class conflict. No amount of words will sink through. All of you know exactly what will, and there will be a time for it, whether any of you want it, or not.
It's depressing, really; there's an entire society of fat and distracted cattle out there who think that society and civilization were ever really vox populi. Human nature shows time and time again that the social substrata must always be exploited by the upperstrata. There's no goddamned utopian society where hard work and good intentions pay off. No--and people won't come to terms with it. Either you fucking put the parasites out on their asses, or the host (working class, middle class) will die. So then, what do "we" stand for? Are we a nation of wide-eyed sycophants who vie to fellate our heroes who've more money than us--whom we wish we were, or are we aware of the power of our own social class?
Global Debt Crisis
The greatest private fraud of human history.
Who are the great fraudsters who are becoming the murderers of the human kind? How does the economy "illness" threaten Democracy and the freedom of people?
http://eamb-ydrohoos.blogspot.com/2012/01/global-debt-crisis.html
----------------------------
Something serious should have taken place, so that the “Superpower" owes 14.5 trillion dollars. Such a "broke superpower" has never been before. The world has never seen before "World rulers" who surrender to pain because cancer medication costs. World rulers, who, when they lose their jobs, go straight to the “garbage”, have never existed not even in the years of Genghis Khan. There should be a problem somewhere and that’s what we are seeking. It’s not possible for someone to eat night and day and to risk dying of malnutrition. It is obviously that this person is severely “ill" and that’s what threatens him with death. This is the case in USA. They take advantage the resources of the whole planet and they have “managed" to be threatened today with bankruptcy. They are doing something wrong. Something is wrong in their “organism”. Some internal "cancerous" agent "sucks" all their inflow and lets them crawl to "death".
Authored by PANAGIOTIS TRAIANOU
or $48,000 per citizen. Nothing a little inflation can't handle.
I actually had some silly fool come up to me and exclaim that the economy was getting better. Why facepalm myself? Why yell at him? Why try to explain? I did the next best thing... gave him the address to Zerohedge.com
Yes, but you forget that Americans hate to read, and they hate big words and math even more. Run some articles through Xtranormal.com, keep the big words out, and maybe the fool will listen. People think your a crackpot when you say the Fed isn't owned by the US Gov, or that money isn't backed.
I find your lack of faith in the Empire disturbing.
Now, you will pay the price for your lack of vision!
The national budget must be balanced. The public debt must be reduced; the arrogance of the authorities must be moderated and ontrolled. Payments to foreign governments must be reduced. If the nation doesn't want to go bankrupt, people must again learn to work, instead of living on public assistance
A nation can survive its fools, and even the ambitious. But it cannot survive treason from within. An enemy at the gates is less formidable, for he is known and carries his banner openly. But the traitor moves amongst those within the gate freely, his sly whispers rustling through all the alleys, heard in the very halls of government itself. For the traitor appears not a traitor; he speaks in accents familiar to his victims, and he wears their face and their arguments, he appeals to the baseness that lies deep in the hearts of all men. He rots the soul of a nation, he works secretly and unknown in the night to undermine the pillars of the city, he infects the body politic so that it can no longer resist. A murderer is less to fear. The traitor is the plague. Marcus Tullius Ciceropretty much sums up what fuck is going on in the muthafuckin world right now. although i do believe we are well past the point of no return
cheers bitchez
You could well be right. Trouble is we been living with fools for many decades, and we fed them, clothed them, let them sleep with our women, handed over our wallets and now they're pretty much done with us
agreed. and i am done with them... it will be a glorious day when i can be out of the system
Funny that Chicago has a main street called Cicero. Too bad the Chicago schmucks have no idea of its meaning.
Historian Will Durant observed, "A great civilization is not conquered from without until it has first destroyed itself from within. The essential cause of Rome's decline lay in her people and her morals."
We seem to be get toward the debt limit a little ahead of schedule. At the recent run rates of $120B per month we don't get out of October now. There must be some truth to the idea that tax witholdings are coming in light.
Another anecdote that the economy in recent weeks is in much, much worse shape than the MSM or statistics are trying to make us believe. But gasoline usage, the Baltic, and now the debt rate, it's adding up that the economy is turning down in real time.
Alisdair MacCleod calculated the debt goes parabolic Feb 2014...the monthly increase, she is increasing.
Just as well Ben has the latest Speech Recognition Software in the helo so his hands can stay nice and soft, not calloused from Ctrl+P RSI.
Timmy's #1 responsibility this year will be to orchestrate whatever must be done with respect to draining government retirement funds in order to keep Obama out of the debt ceiling negotiation conference room and out on the campaign trail.
There is nothing more important for Timmy this year than that.
why anyone would take a 10-month prediction and goose it like that is beyond me!
not enough tax cuts, BiCheZ?
or, was it that windfall of monetiZed profits from bank debt "losses" due to "downgrades" which the FED shovelled to the Treasury? <<{i just made that up! not too bad huh?}
This is how bad things are for the US. Let's have a review of JUST TODAY in Barack Obama's administration...
- 1300 workers laid off as the Chevy Volt production slows to a grinding halt.
- 1 in 7 people on food stamps per Zerohedge charts.
- The wars grind endlessly on. Record death toll continues in Afghanistan.
- Obama asks for another $111 billion to implement part of Obamacare.
- Obama hits his 100th fundraiser.
- With a ruined economy, American troops in multiple conflicts spreading over 9 countries, gas/food/clothing prices skyrocketing, and a deficit out of control, Obama wades into the contraception fight between Rush Limbaugh and a Georgetown student by personally calling her and telling her he's got her back - what will most likely be a PR disaster.
And this is only today.
It's worse than that. Just a google news search on the term "layoff" shows many mass layoffs locally. Every day i do this, which is why i know the BLS #'s are faked.
While Ben says : more tax cuts and more spending!
http://thehill.com/blogs/on-the-money/801-economy/213351-fed-boss-warns-...
In remarks that hit Wall Street stock prices, the central bank boss suggested the economy could hit a serious roadblock if Congress allows the Bush tax rates and a payroll tax cut to expire and $1.2 trillion in spending cuts to be implemented simultaneously in January.
I call 2015 for the ZH betting pool on when we hit 20 Billion!
Anybody calling 2014? Or even a ballsy 2013 wager? :p
Cheers!
GML
MM Daily Recap - 3/2/12
http://financeandopportunity.blogspot.com/2012/03/daily-market-madness-recap-3212.html
The MSM forgot to thank "Al Gore", for the GDP boost. This oneway --> street shit, needs to end. I donated my fair share of " CARBON" , Big Al. / SARC
who are the Tyler Durdens?
Ask Yencross ^^^^above you. His Ouija board knows all.
Easy "Zloty" Boy". Lincoln Logs,and Jets are my pastime.
Your skewed view always gets a green from me "Jet son". 237 up arrows so far. No, i count them.
Sincerely,
Zloty
Nice Shades.
Not as shady as your bag, but they hide my old and baggy eyes.
You win. What bag? And who takes this for real. It's an outlet. Do yourself a favor. Get some rest, and we will talk tomorrow morning. I'll go over the week with you. [ Economic calendar with you]. It's my only day off and ( GBP/JPY looks ripe fore a consolidative short).
I find it interesting that in all the testimony Bernanke has given to Congress no one has asked what happens to the cost of financing the US debt if rates rise.
I find it ironic that the US Government seems to be in the position of the home purchaser who bought too much home with teaser rates and got pushed out when rates reset. The difference is one has a printing press.
I did read recently that a 1% rise in the USTreasury 10 year would add $1 trillion to the US Debt.
So why you hear all this joy about Italy's 5 year being under 5%, the US couldn't even handle 5%.
So while Chairman Bernanke says rates will remain low through 2014 under the guise of a weak economy, I believe the true reason is he knows what the US debt will do if rates rise
Why no one asks him to provide projections of the increase in the USDebt if rates rise 25, 50,75,and 125 basis points blows my mind.
Seems like the same mistake those home buyers made.
Any smart folks here that might be able to shed some light on financing the current debt if rates began to rise???
Greatly Appreciated
The games people play now....
Good point. If the interest goes up, game is over. It will be worse than adding a buck to a gallon of gas.
However, it is a big "if". No wonder investment coin is going to the stocks, there is not too many areas money can grow anymore.
Those who won all battles shall lose the war.
Bilderberg Group and the crimes against humanity.
This is how things work in all countries. Whatever used to belong to their people, today it belongs to the multinational companies of the Club. People were betrayed by their given leaderships and they lost everything. Capitals and markets were handed to the Club bosses. If you understand what is going on in Greece, you can understand what is going on in Britain, France, and Germany etc..
http://eamb-ydrohoos.blogspot.com/2012/02/world-war-iii.html
Authored by PANAGIOTIS TRAIANOU
13,031,095 billion = 13 quadrillion. No?
Anyhow less is more sooner than later the ships not sinking it is disappearing.
2 months vaporized. Wait a minute where have I been "before the end of 2011" now I'm worried. Oh oh there's that ad for Michelle Obama again. Time to check my blood sugar.
Apology accepted, Tyler.
OTOH, that's much, much better than some of the "within the next 2 to 5 years" guesses we see floating around.
The greatest private fraud of human history.
Who are the great fraudsters who are becoming the murderers of the human kind? How does the economy "illness" threaten Democracy and the freedom of people?
http://eamb-ydrohoos.blogspot.com/2012/01/global-debt-crisis.html
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By knowing what happened in indebted Greece, where loan sharks created “bubbles” and the current inhuman debt, one can understand the inhuman plan in total ...understand where this plan started just to bring all states at the same end ...understand how this type of plans are established...
Authored by PANAGIOTIS TRAIANOU
This is why I don't trust anything I read on Zerohedge. Look how wildly off their forecasting is? Phhhhssss amateur hour.
[sarcasm]
oh, yeah, right, like you could do better.....
http://expose2.wordpress.com
I've been looking for a different country to head to that's safe, but they are all interrelated by the global Fx market. I think Australia might be the best, but what do I know once the dominos start to fall. I think you just have to Go Galt. www.futurnamics.com/goinggalt.php