Posted on 12/05/2018 8:09:09 PM PST by E. Pluribus Unum
I am with you all the way.
Actually I could see him saying that in a flippant manner.
The debt isn’t under his power. Congress has the sole power to tax and spend. Trump has, at least, attempted to cut down the outgoing amounts but if congress continues to appropriate for non-executive causes there’s not much he can do about it.
Going bankrupt in the hands of a private entity, the “federal” reserve, which is not federal and not “reserve” is your solution? What replaces the central bank and the debt in that scenario? Worthless money.
So jackass Obama and the Swamp financially destroyed the Country, and it’s now Trump’s responsibility to repair it despite the continual resistance he gets from Congress...
And I believe this article because...?
Yes, unfortunately the die was cast some years ago. I wish it wasn’t. W really got into it and the election and re-election of Obama pretty much sealed the fate of just that 21 trillion.
It’s not just the debt. Take the debt and the unfunded liabilities and you’re talking a lot, right there.
yep
We can cut taxes and increase revenues to the government according to the Laffer Curve. Cutting regulation helps business grow as well. Trump has done these things as well as he could. He just gets no backup in Congress. Now he will have even less support in the House.
Another German budget without new debt
... Minister Ursula von der Leyen’s (Military) budget increased by a good 12%, amounting to €43.2 billion next year. This increase may also be due to the pressure applied by the USA for Germany to increase its contributions to NATO. Germany’s obligations under the EU defence union will continue as usual.
Other areas will also receive more funding. For instance, the government is also bundling a so-called “burden-relieving package” of almost €10 billion, which also contains an increase in child support and higher tax-free allowances, with the budget. Moreover, the Bundestag is opening the way to support the digitisation of schools with €5 billion from federal funding in the coming years.
https://www.euractiv.com/section/economy-jobs/news/another-german-budget-without-new-debts/
[Laffer Curve]
Well, I can’t pass up the opportunity....
“Something ‘D-O-O Economics’”
https://www.youtube.com/watch?v=uhiCFdWeQfA
I submit these students are your current Democrat voters.
Well, it IS about Illinois, so.... (granted not everyone there is a Democrat)
I don’t think neither the GOP or Democrats care about debt. I don’t think the general public cares about debt. I don’t think that college kids care about carrying $80,000 of student loan debt. The list goes on and on.
I worked with a fairly educated lady around 2006-2008 who had around $70,000 in credit card debt. She was making 6k a month after taxes, but virtually every penny was going to car payments, rent, and this 70k credit card debt. There was nothing left over. She was late 30’s, and had zero money going toward an IRA. Her entire life plan was built on social security as her one and only pension plan. What bothered me about this....was that she had nothing to show for the credit card debt...it was all junk of no value.
what was he supposed to do? Shut the government down because Congress was passing appropriation bills with lots of spending? There’d be a huge outcry if he had done that
[President Ocasio-Cortez]
As long as she has her cappuccino and designer clothes, it will all look good to Democrats.
Barack was Dwayne Elizondo Mountain Dew Herbert Camacho.
I’ll have to come up with a name for her. Must include some version of “Socialist” in there.
The Daily Beast reported. Well, if they say so it must be.
We do not have a revenue problem with our federal budget. We have a spending problem with our federal government.
[We have a spending problem with our federal government]
yep
Well, one thing for sure. Trump ain’t gonna fall for a deal like HW Bush did. We won’t be raising taxes over a Trump signature just to have fiscal responsibility thrown in his face. So he probably won’t do much to reduce the debt but just reduce it’s acceleration.
if that’s your bet, would you mind giving me a large loan with a 7 year maturity date?
We hold these truths to be self-evident: the current debt is huge but sustainable as long as interest rates remain reasonably low. The basic strategy is to grow the economy, reduce both the current deficit and debt service as a share of GDP and the budget, and in principle eventually balance the budget and begin to pay down debt. That's good government 101, to which Republicans have usually pledged at least nominal support while the Dems merrily ride the bankruptcy express. Too many people have grown blasé about the problem because it is perceived to be a far-off threat.
BUT: If interest rates rise to historic norms, debt service will rise with them. This could happen rapidly. When debt service exceeds a trillion dollars a year -- which federal borrowing rates in the range of 6-8 percent would produce -- we will have extreme difficulty servicing the debt. There will be draconian spending cuts, probably starting with the military, followed by huge tax increases which will slow the economy. This is, roughly, the PIG problem. We are headed for it. Politicians have been kicking the can down the road for decades. Now and again someone, invariably a Republican, tries to seriously cut spending. The Gingrich-Armey House GOP actually balanced the budget for a couple of years, but the dot.com recession knocked us off course. That brief moment of success was already a generation ago, with a much smaller annual deficit and accumulated debt.
Trump has simply followed the default option of ignoring the problem, on the theory that someone else will have to deal with it when the trainwreck occurs.
That is the simplest part of the problem. It is dwarfed by the staggering unfunded liabilities of our promised entitlements, principally Social Security, Medicare, Medicaid, government pensions and assorted other smaller entitlements. We continue to drift towards the point at which Social Security, Medicare and Medicaid alone will consume 100 percent of federal revenues -- a theoretical point of inflection since the system will collapse long before we get there, but an inevitability on our current course. Either we reform entitlements or we go bankrupt. This is how the United States becomes Venezuela. The Gingrich Republicans made a frontal assault on the healthcare disaster, and Bush 43 tried on Social Security. They failed but they were on the correct path in both instances. Trump has never evinced the slightest interest in either question.
The Democrats fully intend to ride the train into the ditch, making short-term politics against periodic Republican attempts to avert bankruptcy while privately anticipating the day when systemic collapse presents their long-awaited opportunity for total government control. They expect to be the winners as government steps in to ration scarcity in the name of fairness.
Trump seems oblivious to the problem. Does he understand that a country going bankrupt is not like a hotel or casino project going bankrupt? You cannot go through Chapter 11 and restructure debt when the banking system itself is in collapse and the currency is worthless. But hey: it's going to be someone else's problem.
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