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2011-02-14 Home Front: Politix

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Posted by gorb 2011-02-14 14:15|| || Front Page|| [5 views ] Top

#1 A better way to visualise this is to say that whatever you earned this year the government is over-drawn by that amount.

As interest rates start climbing the load of this debt AND the larger private debt will cripple the country.

The problem was that GDP measurements did NOT discount increases in debt (private and state) and thus the wrong information about the health of the economy became "common knowledge"...

It's a bit like a asking a high junky if they're good, and the come-down will be the same if the debt is used for consumption rather than investment...

Posted by Bright Pebbles 2011-02-14 16:56|| 2011-02-14 16:56|| Front Page Top

#2 I read yesterday in our local newspaper there is $703 billion in unobligated funds sitting around in various agencies. I realize this is small potatoes compared to our debt but it is a start. Also, aren't there stimulus funds that weren't spent? Use these funds to pay down the debt.

All new spending in Washington needs to be frozen now. Stop all new legislation that needs new spending.

The debt is spread between mandatory spending and discretionary spending. BO's 2011 budget proposes $2.009 trillion in mandatory spending. He wants to cut in this area by 20.1%. Currently we are spending as follows according to the U.S. Debt Clock: Social Security ($799 billion), Medicare ($704 b), Federal Pensions ($200 b), Interest on the Debt ($200 b), and Income Security ($434 b). Mandatory spending needs to be cut also or at least a workable plan implemented for reducing this indebtedness. His budget allocates $1.368 trillion to discretionary spending (an increase of 13.1%). I have heard politicians and others say that reducing discretionary spending really doesn't add up to much. However, it adds up to $1.368 trillion. This would be the money going to defense and all other agencies. There's a need to consider cutting budgets of agencies and maybe eliminating some of them.

I don't know about you but the amount spent for Federal Pensions seems way out of whack when one considers the number of people employed by the government in comparison to the number who don't work for the government.

Income Security is another name for Welfare. This is currently (year-to-date) estimated to be $434 b.

BO needs to get rid of his cockamamie ideas about spending his way into prosperity.

Term limits for all politicians so that they won't be trying to buy votes for re-election.

The elected politicians need to have some adult conversations about the above and be honest and straightforward with the American people. The voters tried to send a strong message to Washington in the last election.

If we are a broke country, we cannot be a strong country.

Posted by JohnQC 2011-02-14 17:22|| 2011-02-14 17:22|| Front Page Top

#3 You know, when your debt is 50% of your income, you can legally be bankrupt. When your debt is equal to your income, you are insolvent.

The US has gone beyond both and is now heading into territory where the only remedy is complete collapse.

Posted by DarthVader 2011-02-14 20:40|| 2011-02-14 20:40|| Front Page Top

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