It's a deal: Obama, Congress will avert default

[rick91351]

Oh and I was so frightened this blessed event was not going to happen.  Just like Obama Care it just rolls along despite common sense or control.   

[Native_NM]

I fixed the title for you.   

It's a deal: Obama, Congress will avert delay default

[Sassy]

 

[RIjake]

Yup, if we don't make some really hard decisions now we're just delaying the inevitable.

BTW congress still has vote on the deal.

[HoustonDave]

Kick the can down the road.
Kick the can down the road.
Kick the can down the road.
Run out of road.
Walk off cliff.
Splatter at bottom.

[archimedes]

YEA!!!  Both polical parties agreed to do something that's gonna hurt the economy - create more unemployment and a lower GDP.   Umm,  Yea    

[rick91351]

Kick the can down the road.
Kick the can down the road.
Kick the can down the road.
Run out of road.
Walk off cliff.
Splatter at bottom.

The other part of the story is when you wear the can out from kicking it.  You raise your head look around and wonder where the heck am I and how did I get here?

http://www.usdebtclock.org/

Oh come on it only a little over 14 trillion 550 billion.  Gee you just never know .... how you got there but  suddenly you are there! 

[HoustonDave]

Oh come on it only a little over 14 trillion 550 billion.  Gee you just never know .... how you got there but  suddenly you are there! 

Oh joy of joys, it's even worse than that.

According to former comptroller David Walker, the total of UNFUNDED obligations (that's the current debt plus the amounts we can't afford but have promised to pay on Social Security, Medicare, Medicaid, Pension Guarantees, and operating costs) is actually $61 trillion over the next 75 years.

And the GOP/DEM are patting each other on the back for cutting out $2 trillion over 10 years.  Jump for joy, clap hands, I'm so excited I could just barf. 

The reality is, they let the situation get so ugly that no amount of spending cuts alone can fix it.  If they'd done it in 1992 when Perot and the Reform Party were screaming about it , it would have worked.  But not now, they kept kicking the can down the road and now it's real pain.  And they are kicking the can further down the road with this one too.

[cbc58]

Our economy as it stands is built on straw.  It's mostly fake and a great deal of employment is manufactured and manipulated by govt. to give sheeple the illusion of success and stability.   Great Roman empire all over again. 

The reality is, they let the situation get so ugly that no amount of spending cuts alone can fix it.
The reality is that WE let this happen by not paying attention nor being involved enough.  That's got to change.

They are kicking the can down the road and pretty soon they are going to run out of road.. then they'll be looking for something else to kick -- and will hit us all square in the nuts.

[RIjake]

I've been preaching the term limits doctrine since I became "politically aware" about 20 years ago.  We need to get back to electing part time lawmakers who are serving as legislators, not the political hacks we have now who are career politicians.  And it's not just one party either. 

[peternap]

I've been preaching the term limits doctrine since I became "politically aware" about 20 years ago.  We need to get back to electing part time lawmakers who are serving as legislators, not the political hacks we have now who are career politicians.  And it's not just one party either. 

And the choir sings in unison.....Amen, Amen, Amen Amen Amen Aaaaaaaaaamen!

[rick91351]

I've been preaching the term limits doctrine since I became "politically aware" about 20 years ago.  We need to get back to electing part time lawmakers who are serving as legislators, not the political hacks we have now who are career politicians.  And it's not just one party either. 

There is one person I know that had huge Washington ties.  Retired early as a CEO and lobbyist.  He built up in the mountains a couple miles from our place.  Huge nice custom home not a Mac Mansion but very nice.  I talk to him now and then.  His take on DC problems is not term limits.

Most of the people we elect have to have someone to tell them when it is time nod, smile or wave or for that matter go relieve themselves.  The senior staffers they are the power brokers.  He explains with term limits yes you send elected officials packing.  The staffers stay there.  They make people look good, they know the lobbyists and heads of countries and how to funnel power.  They write the bills and pull things down that do not fit.  Many worked for this Senator before going to that Director and then to a Representative from NY who has a good position in Banking.  Suddenly is wooed away by this other chief of staff all because who you know.  That is his take....    

[waggin]

We've been in default for decades, if not longer.  Some might say since 1971 and some might say since 1913 (or even longer.)  Debasing the currency is just a slower form of default.  The "debt ceiling" is just an arbitrarily chosen number, and the hysteria surrounding it reminds me of Y2K.  Except in this case it seems more like the environment surrounding post-9/11/01 (Patriot Act, anyone?) and the time leading up to the passing of TARP.  Fear is being peddled to enable passage of something odious, yet again.  Now, we get the "Super Congress."  Easier to buy off a gang of 12 than the whole congress, right?

My outlook and understanding of our political system basically boils down to: Follow the money.  Like other instances where a "crisis" requires immediate action and no questions asked, the whole debt ceiling "debate" is simply political theater to condition people to accept further degradation of their ability to have a say in how the country is governed.  Our politicians are owned, and the same people own both the democrats and the republicans.  The whole red team vs. blue team plays really well, and it's worked splendidly to divide and conquer our country into making enemies of each other instead of focusing on the real issues.  Despite all their buffoonery and grandstanding, look at their actions.  They're serving their masters well; the problem is that it isn't us!  There can't be any substantial change in the system until the financial incentives are taken away.  This includes campaign finance reform as well as eliminating exemptions from insider trading, regulating contributors, and other conficts of interest.  But for that to happen, we'd be asking legislators to take away their own cookie jars...not likely.

[Sassy]

And the choir sings in unison.....Amen, Amen, Amen Amen Amen Aaaaaaaaaamen!

I totally agree w/the last several comments 

[HoustonDave]

We've been in default for decades, if not longer.  Some might say since 1971 and some might say since 1913 (or even longer.)  Debasing the currency is just a slower form of default.  The "debt ceiling" is just an arbitrarily chosen number, and the hysteria surrounding it reminds me of Y2K.  Except in this case it seems more like the environment surrounding post-9/11/01 (Patriot Act, anyone?) and the time leading up to the passing of TARP.  Fear is being peddled to enable passage of something odious, yet again.  Now, we get the "Super Congress."  Easier to buy off a gang of 12 than the whole congress, right?

My outlook and understanding of our political system basically boils down to: Follow the money.  Like other instances where a "crisis" requires immediate action and no questions asked, the whole debt ceiling "debate" is simply political theater to condition people to accept further degradation of their ability to have a say in how the country is governed.  Our politicians are owned, and the same people own both the democrats and the republicans.  The whole red team vs. blue team plays really well, and it's worked splendidly to divide and conquer our country into making enemies of each other instead of focusing on the real issues.  Despite all their buffoonery and grandstanding, look at their actions.  They're serving their masters well; the problem is that it isn't us!  There can't be any substantial change in the system until the financial incentives are taken away.  This includes campaign finance reform as well as eliminating exemptions from insider trading, regulating contributors, and other conficts of interest.  But for that to happen, we'd be asking legislators to take away their own cookie jars...not likely.

That is some serious food for thought, and passes the initial smell test with me.

[MountainDon]

Interesting/frightening that places like the Isle of Man, Guernsey and Liechtenstein now have a better credit rating than the USA.

http://www.thegatewaypundit.com/2011/08/the-18-countries-with-a-better-credit-rating-than-the-united-states/


http://en.wikipedia.org/wiki/List_of_countries_by_credit_rating

[peternap]

One of the things I like most about your posts Don, is that you always find just the right words.

Interesting/frightening

[firefox]

  what he said!
Bruce

[archimedes]

And yet,  virtually every nation on that list has a higher debt to GDP ratio than the US.  Some substantially higher.

I heard someone suggest that what the US should do is package it's bonds in a CDO,  pay S&P a couple and million dollars to rate them,  and then magically they would be triple A again.   

S&P has a somewhat sketchy credibility since the CDO (collateralized debt obligation) fiasco.