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Huge Powerball Payout Inspires “Ingenious” Fiscal Idea
http://www.angelfire.com/ak2/intelligencerreport/rightwing220.html ^

Posted on 12/05/2012 12:39:50 PM PST by navysealdad

The nearly $600 million payout to the two winners of this week's latest Powerball lottery drawing has inspired what Treasury Secretary Timothy Geithner called “an ingenious and painless way out of the government's chronic debt crisis.”

Geithner's “ingenious and painless” plan calls for the Federal Reserve to buy a minimum of $30 billion in Powerball tickets every week. “Over the course of a year this would generate a minimum of $1.5 trillion in lottery winnings,” Geithner calculated. “As the holder of more than 99% of each week's outstanding tickets, the federal government would almost certainly win each week's jackpot. The cumulative weekly winnings would totally cover the annual budget deficits.”

The Secretary congratulated himself for “pioneering a truly innovative solution to government finance. It would completely bypass any need for

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


TOPICS: Chit/Chat; Humor
KEYWORDS:

1 posted on 12/05/2012 12:39:56 PM PST by navysealdad
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To: navysealdad

“You need to spend money so you can make money, boss.”


2 posted on 12/05/2012 12:41:41 PM PST by Jonty30 (What Islam and secularism have in common is that they are both death cults.)
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To: navysealdad

The first step in getting the Government out of its fiscal crisis, is fire every last one of them that overspent his budget, just like any private business would do.

Then fire every last one of them that did not make a budget. That would empty congress and 95% of Government top staff.

Then rehire and re-elect on the condition that Congress, like the people, HAVE TO FOLLOW THE LAW. The Lawless bass-turds must go cause they are too fishy.


3 posted on 12/05/2012 12:46:55 PM PST by American in Israel (A wise man's heart directs him to the right, but the foolish mans heart directs him toward the left.)
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To: navysealdad
You get a much better average payout at the billion dollar chip blackjack table. And you get free drinks too.
4 posted on 12/05/2012 12:46:55 PM PST by KarlInOhio (Big Bird is a brood parasite: laid in our nest 43 years ago and we are still feeding him.)
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To: navysealdad

5 posted on 12/05/2012 12:48:25 PM PST by Lucky9teen (Peace is that brief glorious moment in history when everybody stands around reloading.~Thomas Jeffer)
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To: KarlInOhio
You get a much better average payout at the billion dollar chip blackjack table. And you get free drinks too.

Don't forget the free buffet ...

6 posted on 12/05/2012 12:53:22 PM PST by Lmo56 (If ya wanna run with the big dawgs - ya gotta learn to piss in the tall grass ...)
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To: navysealdad

$30 billion will purchase 15 billion tickets. The odds are 175 million to one, thus insuring 85 payouts if all the possibilities are covered. If the game was not pari-mutual, with a sharing of the jackpot, the minimum jackpot of $40 million would be paid out 85 times, for a total of $3.4 billion. The loss would be $26.4 billion compared to the jackpots. Of course there would be ancilliary payouts of the powerball, 2 of a kind, 4 of a kind with PB, etc. These typically amount to 20 cents on the dollar, so let’s call it another $5.3 billion on the $26 billion remaining, for a total payback of $8.7 billion on an outlay of $30 billion.

That sounds about right. Close enough for government work, that is.
But it’s a lot worse than this, because the jackpots are, in fact, shared, and we haven’t even mentioned that the cash option is significantly discounted.


7 posted on 12/05/2012 12:56:16 PM PST by steerpike100
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To: navysealdad; John Semmens
This is unattributed satire, but I believe it was lifted from our own John Semmens the AZ (Arizona) Conservative.
8 posted on 12/05/2012 12:59:49 PM PST by Navy Patriot (Join the Democrats, it's not Fascism when WE do it, and the Constitution and law mean what WE say.)
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To: navysealdad

Is this a joke?

The Achille’s heel of this idea is that people knew they were competing against the government in the lottery, they would quit playing.


9 posted on 12/05/2012 1:00:34 PM PST by Brookhaven (theconservativehand.com - alt2p.com)
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To: navysealdad

I have a better idea: Impeach the admitted foreign born Kenyan for being unconstitutionally elected. Arrest all the libs down the line who were in on this fraud, and replace them with conservatives.


10 posted on 12/05/2012 1:01:30 PM PST by GrandJediMasterYoda (Someday our schools we will teach the difference between "lose" and "loose")
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To: Navy Patriot; John Semmens

Even the title is word for word...


11 posted on 12/05/2012 1:02:25 PM PST by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing)
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To: Lucky9teen

Have you ever seen Mr. Cube when he was a baby?

http://www.youtube.com/watch?v=xBSYD0dQCAw


12 posted on 12/05/2012 1:04:39 PM PST by GrandJediMasterYoda (Someday our schools we will teach the difference between "lose" and "loose")
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To: navysealdad

Harry Reed says, “Come to Vegas, suckers!”


13 posted on 12/05/2012 1:08:59 PM PST by Mark (For the first time in my life, I'm no longer proud of my country.)
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To: navysealdad

The Left tells us that the rich are rich because they have won the lottery of life. Now they want to join in. Of course, they are playing with other people’s money, but what the hell! Other people’s money goes down the same Rat hole.


14 posted on 12/05/2012 1:11:33 PM PST by jonrick46 (The opium of Communists: other people's money.)
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To: navysealdad
the federal government would almost certainly win each week's jackpot.

The Fed is not the same as the US Treasury. The US Treasury would have to be the one to buy the lottery tickets. They would have to get the money to do that by borrowing from the Fed. When they won, they would have to pay the Fed back with interest.

15 posted on 12/05/2012 1:27:34 PM PST by mjp ((pro-{God, reality, reason, egoism, individualism, natural rights, limited government, capitalism}))
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To: Navy Patriot

Yeah, the first thing I thought of when I saw this. The mods ought to pull it in my opinion.


16 posted on 12/05/2012 1:28:40 PM PST by BipolarBob (Riding my stick horse yelling "Woop woop whopm Gangnam Style" & grinning like an idiot.)
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To: navysealdad

Why would the government need to buy lottery tickets? They already win nearly half of every lottery pot ever won, in every lottery in every state, every single time.


17 posted on 12/05/2012 1:29:22 PM PST by Malsua
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To: navysealdad

Is this The Onion?


18 posted on 12/05/2012 1:31:56 PM PST by afraidfortherepublic
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To: steerpike100
I think that is still a fair risk to take to end up with, say, $4B.

So, it goes like this, I get to use other peoples' money ($30B) for me to end up with $4B. Or did I miss read that article. Ooooops, we aren't supposed to read anything until the bill passes.

19 posted on 12/05/2012 1:41:06 PM PST by jwsea55
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To: Navy Patriot

Yes, you hit the nail on the head. This was one of Johns satires only a few days ago.

One of his absolute very best I believe.


20 posted on 12/05/2012 1:48:21 PM PST by rockinqsranch (Dems, Libs, Socialists, call 'em what you will, they ALL have fairies livin' in their trees.)
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To: Navy Patriot

....and by the way they did attribute this to John at the bottom of their post.


21 posted on 12/05/2012 1:51:56 PM PST by rockinqsranch (Dems, Libs, Socialists, call 'em what you will, they ALL have fairies livin' in their trees.)
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To: rockinqsranch
True, that, I was lookin’ for it above the copy, use too FR.
22 posted on 12/05/2012 2:01:09 PM PST by Navy Patriot (Join the Democrats, it's not Fascism when WE do it, and the Constitution and law mean what WE say.)
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To: steerpike100

Not only that, but, PowerBall is drawn 2 times a week. If you started buying tickets, say, immediately after the last drawing, there would not be enough TIME to purchase 15 billion tickets. Further, there is no guarantee that you would win UNLESS you submitted 175 million tickets, covering every combination possibility. And, there probably isn’t even enough TIME to do THAT...


23 posted on 12/05/2012 2:15:58 PM PST by Paisan
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To: Paisan

Not only that, but, PowerBall is drawn 2 times a week. If you started buying tickets, say, immediately after the last drawing, there would not be enough TIME to purchase 15 billion tickets
= = = = = = = = = = = = = = = = = = = = = = = = = = =
Back when the ‘lottos’ were basically 1 state per (I mean no multi state) some ‘genius’ (as is normal in a free society) figured he could hire enough people to buy the required # of tickets to cover every #...at that time there was only 1 drawing a week and multiple jackpots were very common.
‘They’ tweaked the system, went to 2 draws per week and it was virtually impossible to run all the numbers.
Since it was tweaked, the dual winners are rare where it was once common.


24 posted on 12/05/2012 2:25:12 PM PST by xrmusn (6/98 "It is virtually impossible to clean the pond as long as the pigs are still crapping in it")
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To: navysealdad

I had to double check this story wasn’t originally {reported} by the Onion.


25 posted on 12/05/2012 2:25:11 PM PST by exPBRrat
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To: steerpike100

You’re probably right but it’s clear to me that a lot of people don’t start playing until the jackpots are large (myself included).

In the most recent run, the jackpot didn’t grow faster than the $10M minimum until the 9th rollover. In the 15th rollover, the jackpot went from $325M to $587.5M.

So either the house wins (by playing its own game), or the jackpot rolls over, thereby attracting more players....I guess I’d try it on a smaller scale than $30B per round. Also I am conflating the federal government with the state governments.

What I’ve wondered....instead of putting current bets into the current jackpot, why not put current bets into the next jackpot? (As I understand it, they do some of that but not much).

I figure around 285M played the last round of the last big jackpot, and 30M played the Power Play. That put $332M into the prize pool.

About $132M was paid out on non-jackpot prizes.

So wouldn’t it be better to start the next jackpot at $200M rather than $40M? The $200M jackpot would already be funded, unlike the $40M jackpot.

Now yes, fewer people would play if the jackpot had been advertised at $325M the whole way rather than starting at $425M and then winding up at $550M, with the eventual jackpot being $587.5M.

It looks like around 14M played the 1st round of the next jackpot, with an additional 3.5M playing the Power Play, with $9.5M paid out in nonjackpot prizes.


26 posted on 12/05/2012 4:42:20 PM PST by scrabblehack
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To: rockinqsranch
....and by the way they did attribute this to John at the bottom of their post.

Not until after I reloaded the page. (IOW, it wasn't there when we posted it wasn't there, for whatever reason). That has been cleared up, now.

27 posted on 12/05/2012 6:14:58 PM PST by Smokin' Joe (How often God must weep at humans' folly. Stand fast. God knows what He is doing)
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To: navysealdad

Frankly, I don’t see why the lottery can’t just rip off everyone and declare no winner and offer no excuse for not having a drawing. Take the money and pay down 0bama’s debt... for 4 minutes.


28 posted on 12/05/2012 6:28:39 PM PST by Rodamala
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