I can't believe Obama said this... oh wait, yes I can.......

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Obama : 'Professional Politicians' Understand Debt Crisis Better Than 'The Public'

http://www.liveleak.com/view?i=305_1310406041

I suppose it depends on how one defines "debt crisis". The dynamics of the average person being in debt are going to be different than a world power being in debt.

The dynamics of an average person being in debt are even different than the dynamics of a formerly super rich individual being in debt.

When you or I are in debt and file for bankruptcy, and our credit rating crashes, most banks aren't going to lend us money. When Donald trump is in debt and files for bankruptcy, he can still get multi-million dollar loans.

It's a lot like a personal financial problem because we are running out of groups that are willing to buy our debt even if we raise the limit because they see that our ability to make payments on that much interest is dwindling. We've used up all the gimmicks and creative accounting.

It has similarities of course, but it's differences are still significant enough such that the dynamics are different.

For all the complexity of the federal government's accounting, the options on congress' table have come down to raise the debt limit and hope people will purchase it, raise taxes on somebody, or cut costs and services.

Any additional revenue will be spent and precious little will go to paying down the debt. Congress is addicting to tax payer's money.

ruveyn

I understand the debt problem well enough. Its simple.

1- I did not cause it
2- I did not approve it.
3- Getting into that debt did not benefit me in any way.
4- I'm being billed for it
5- Those that caused it, approved it, benefited from it are not being billed or held responsible for it.

[quote="ruveyn"][quote="John_Browning"][quote="Chronos"][quote="John_Browning"]It's a lot like a personal financial problem because we are running out of groups that are willing to buy our debt even if we raise the limit because they see that our ability to make payments on that much interest is dwindling. We've used up all the gimmicks and creative accounting.[/quote]

It has similarities of course, but it's differences are still significant enough such that the dynamics are different.[/quote]
For all the complexity of the federal government's accounting, the options on congress' table have come down to raise the debt limit and hope people will purchase it, raise taxes on somebody, or cut costs and services.[/quote]

Any additional revenue will be spent and precious little will go to paying down the debt. Congress is addicting to tax payer's money.

ruveyn[/quote]

Even so, seeing the super rich who caused this calamity get taxed more than they are will make me feel better. And I'm sure I'm not the only one who feels this way.

-Bill, otherwise known as Kraichgauer

It was the government who made this possible in the first place.

ruveyn

I happen to agree. Which is usually my only objection to raising taxes. People could pay all of their income to taxes and at some point, it wouldn't be enough.

The more the government has, the more they spend. If they spent it on things that directly benefited the people it wouldn't be as much of an issue...tax money should serve for the benefit of the people, but too much of it bleeds out of the system into things like system redundancies, contractors that rip the government off and make projects end up costing many times more than they should, and expensive meals and pension funds for politicians so they can lounge at country clubs and play golf in their old age while other senior citizens try to live on less than $1,000 a month.

In my neighborhood there is a mix of single family homes on the inner portion of the blocks and small apartment complexes lining the main street. Parking in front of the single family homes is permit only. Parking along the main street used to be free, and there were always spaces to park....we didn't have a parking problem and the only people who parked there were the one's who lived in the apartments.

One day, the city came out and painted numbered parking spaces along the curb. We all thought that was odd because no one was parking in some strange fashion that blocked driveways or made it impossible for others to get out. Then a few days later they came and installed a strange box looking thing next to one of the spaces. At first some of my neighbors speculated it was an electric car recharging station, but then horror of horrors, the next day they installed signs with big P's on them which read "PAY TO PARK"

They took from the apartment dwellers their beloved, ample, free parking for no reason other than to bring in more money for the city.

The point of parking regulation should be to solve congestion problems, and prevent people from hogging parking spaces when parking is scarce. Not to make money for the city.

The government needs expert advice, Bernie Madoff is available.

At every level government has pledged all projected income to bond debt.

For "Professional Politicians" it was free money, to be paid back later by "The Public."

What "Professional Politicians" understand is, with declining income they must pay back the debt.

They must also cover their own unfunded retirement.

Raising taxes in a declining economy speeds up the decline, and lowers tax income.

The water, sewer, garbage must continue, schools, libraries, fire, police, get cut. They put off work on repairs, roads, bridges, and decay speeds up.

Towns got money from Counties, Counties from States, States from National, the well has run dry.

People leave, income falls, and at the end, government becomes a minimum wage job. Towns discorporate.

The birth rate is at a historic low, youth the smallest part of the population, Main Street boarded up.

"There is no joy in Mudville, for the mighty Casey has struck out."

Which sums up why Republicans are saying no debt limit increase without spending cuts, because any tax hikes will just result in that money being spent.

Though Obama intends to hold Seniors' social security checks and Veteran Benefits hostage to try to force the GOP to go along with job-killing tax hikes.

Rep. Mike Doyle said that the Tea Party Republicans, “We have negotiated with terrorists.” He went on to say that, “this small group of terrorists have made it impossible to spend any money.”
Vice President Joe Biden said the Tea Party Republicans, “acted like terrorists.”


Joe open mouth insert foot Biden should know better than to throw that word around, one day you're going to wake up and find out your representative have been dissapeared. of course thats not how they do it these days but its beginning to look like <insert repressive state here>

the super rich didn't blow up the housing market for no reason Bill, and it was done with help from the feds 11 years ago.
Once the banks figured out it was a parabolic blow up and they would get bailed out they blew it up higher.
Its not quite that simple of course but basically the system really is that broken and corrupt.

The only solution is to end the Federal Reserve, destroy the ESF, stop funding the IMF, stop killing people who are trying to set up an alternative reserve currency and pay off the debt, legalize drugs because we can't afford to fight that war.. you name it its probably a not half bad idea but they will continue to kick the can down the road, this will work out fine for about 2 more years, and then the debt ceiling will have to be raised to 20 trillion, gold will be >2400 an ounce and the MSM is telling me not to worry about it.
Which reminds me, its time to turn on the TV and get my daily dose of normalicy bias.

There's no actual basis to that argument. In fact, this is as good a time as any to raise taxes because the government can't even afford spending anything of it on anything but paying off the debt.

As far as "job-killing tax hikes" go, that's such propaganda. Sweden has the highest tax rates in the world (Source, I'm not going to go for OECD statistics here because that's too time-consuming, but I'm sure they'll confirm it). So, Sweden must have really high unemployment, right? Well, no. Sweden has about 8% unemployment, whereas the United States has over 9%. Sure, you say, but Sweden is an uncompetitive backwards economy which cannot hope to compete against the glorious efficiency of the US. Well, woops.

Countries, certainly countries like the USA that don't pay many welfare benifits, should live within their means.And not do things like stupid wars.

Yes because people are too stupid to notice when they are sinking into poverty while the government and huge corporate figures are growing wealthier and wealthier. The act can only go on for so much longer.