On Wed, 01 Jun 2011 13:05:10 -0700, Hawke
wrote:
Last night the republicans defeated a "clean" bill to raise the debt
ceiling. Today the stock market took a 250 point drop. Last time the
republicans failed to act on a similar bill the market dropped 500
points before they changed their minds and passed the bill.
When is the GOP going to understand that when they refuse to raise the
debt ceiling it's going to send the economy into the dumpster? They're
playing a game but we're the ones who are going to lose.
Hawke
=============
One way or another the governmental debt binge will stop.
You are indeed correct to observe that refusal to raise the
debt ceiling is likely to put the economy in the dumpster.
The problem is that even with a raised [or even eliminated]
debt ceiling, the economy is going over the cliff. Thus the
choice is a serious, even critical problem now, and a
catastrophe later. This is not a new problem but occurs
again and again in history.
http://en.wikipedia.org/wiki/Republic_of_Venice#Decline
http://en.wikipedia.org/wiki/Portuguese_Empire
http://en.wikipedia.org/wiki/French_colonial_empire
http://en.wikipedia.org/wiki/Spanish_Empire
http://en.wikipedia.org/wiki/Dutch_Empire
http://en.wikipedia.org/wiki/British_Empire
Insolvency, in the sense of being unable to redeem due bonds
and pay interest is the little boy shouting wolf again. As
Senator Toomey [R-Penn] points out the federal government's
free cash flow is more than adequate to not only redeem due
bonds and pay accrued interest of the publicly traded bonds,
but also to take care of the trust fund bonds [e.g. social
security], medicare and military pensions/healthcare.
http://keystoneconservative.com/2011...eral-spending/
What is required is a series of furloughs [one day a week?]
of federal workers as was done by the state of California
during the current budget impasse, and possible a salary cap
of the median US wage [c. 50k$/yr] on all governmental
employees, all civil service, all elected
politicians/legislators, all federal judges, etc.
-- Unka George (George McDuffee)
...............................
The past is a foreign country;
they do things differently there.
L. P. Hartley (1895-1972), British author.
The Go-Between, Prologue (1953).