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The Debt Debate's Real Doomsday Scenario
Esquire ^ | 7-13-11 | Tom Junod

Posted on 07/14/2011 7:24:51 AM PDT by radioone

On Tuesday, in the late morning, I asked a banker to explain what will happen if the debt ceiling is not raised on August 2. He was not just any banker; he was and is the authority on the U.S. bond market at one of the biggest banks in the world. He is in touch with the Treasury Department, and the Treasury Department is in touch with him. When I asked the bank if I could speak to someone about the debt ceiling, it wouldn't let me speak to anyone but him. He is a good source, and what he told me should have calmed me down about this whole government-created government crisis, because what he told me was that even if Congress doesn't raise the debt ceiling, the Treasury Department will not stop paying the interest on its debts.

(Excerpt) Read more at esquire.com ...


TOPICS: Politics
KEYWORDS: debtlimit; economy; obama

1 posted on 07/14/2011 7:24:52 AM PDT by radioone
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To: radioone
bernanke was quoted as saying, "failing to raise the debt ceiling is like going on a spending spree with your credit cards and then refusing to make the payments."

hunh, interesting analogy, Ben. Take the sh!t you bought back. That's what your daddy would have made you do. He wouldn't have made you borrow more, you crack-smoking, kool-aid-drinking shill.

2 posted on 07/14/2011 7:28:10 AM PDT by the invisib1e hand ("America will cease to be great when America ceases to be good." -- Welcome to deToqueville.)
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To: radioone

Solution: Abolish the stupid debt limit rule and fight it out in Congress. Not in secret meeting behind closed doors.


3 posted on 07/14/2011 7:28:31 AM PDT by screaminsunshine (Socialism...Easier said than done.)
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To: the invisib1e hand

bernanke’s solution: get a bigger credit card.


4 posted on 07/14/2011 7:28:41 AM PDT by the invisib1e hand ("America will cease to be great when America ceases to be good." -- Welcome to deToqueville.)
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To: radioone

Government-created government crisis. Another to purge congress and senate lifers,vote or except it.


5 posted on 07/14/2011 7:29:09 AM PDT by Vaduz
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To: radioone

this is actually a really good article.

Note the (liberal) author’s conclusion: the only way we lose is if Boehner / McConnell betray us!!!!

If we hold the line, we will shrink government!!!!


6 posted on 07/14/2011 7:30:49 AM PDT by ConservativeDude
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To: the invisib1e hand

excellent


7 posted on 07/14/2011 7:31:08 AM PDT by silverleaf (All that is necessary for evil to succeed, is that good men do nothing)
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To: ConservativeDude

Yup - they have to hold firm.


8 posted on 07/14/2011 7:43:59 AM PDT by cvq3842
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To: ConservativeDude

If we hold the line, we will shrink government!!!!


Therefore, the line will not be held. It is metaphysically certain that government will continue to grow.


9 posted on 07/14/2011 7:55:56 AM PDT by ecomcon
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To: radioone
"...he told me was that even if Congress doesn't raise the debt ceiling, the Treasury Department will not stop paying the interest on its debts."

No surprise there.

10 posted on 07/14/2011 8:07:02 AM PDT by Former Proud Canadian (We .. have a purpose .. no longer to please every dictator with a vote at the UN. PM Harper)
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To: radioone

Never let a crisis go to waste?

The author is saying that the GOP has co-opted Rahm-bo’s strategy. I find that hard to believe. They aren’t that smart.


11 posted on 07/14/2011 8:18:48 AM PDT by webstersII
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To: ecomcon

sigh


12 posted on 07/14/2011 10:44:15 AM PDT by ConservativeDude
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