Debt Limit Analysis: Bipartisan Policy Center

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ㅑ ㅓㅕㄴㅅ 네둣 솓 ㅇ묘 ㅑㅜ ㅡㄷㄷ샤ㅜㅎ ㄴ쟈소


I just spent the day in meetings with some South Korean government officials, and they are asking me what on earth is going on. They are comparing U.S. debt disfunction with the breakup of the Soviet Union.

Anyone care to offer what I should tell them?
 
James48843 said:
ㅑ ㅓㅕㄴㅅ 네둣 솓 ㅇ묘 ㅑㅜ ㅡㄷㄷ샤ㅜㅎ ㄴ쟈소


I just spent the day in meetings with some South Korean government officials, and they are asking me what on earth is going on. They are comparing U.S. debt disfunction with the breakup of the Soviet Union.

Anyone care to offer what I should tell them?
Click to expand...

Tell them, The next round is on you..
20100617_skorea_560x375.jpg
 
Buster said:
Tell them, The next round is on you..

20100617_skorea_560x375.jpg
Click to expand...


Yeh? Then they sure better drink up quick, because after Monday, I will no longer be able to pick up the tab, because my paychecks begin bouncing on Tuesday.



(I will gladly pay you TUESDAY, for a Hambuger today....)

 
James48843 said:
Yeh? Then they sure better drink up quick, because after Monday, I will no longer be able to pick up the tab, because my paychecks begin bouncing on Tuesday.



(I will gladly pay you TUESDAY, for a Hambuger today....)
Click to expand...
Then you should have stayed home and saved your money, or spent it in OUR economy..
 
Looks like Moody's won't be satisfied with a debt limit increase

They are demanding both a limit increase - since we cannot live without incurring more debt - and a debt reduction plan in excess of what both political parties are squabbling over. They want something in the range of the House Budget Plan - the Ryan plan. That is a debt reduction of $4 - $5 Trillion over ten years. Anything less will result in an AA rating in about three months.

Because the actual report is behind a Moody's paywall I cannot tell if they want our existing debt (~$14 Trillion) to be ~$10 Trillion in ten years or if they are talking about $4 Trillion less than the bloated Obama budget proposal that was defeated 97 - 0 a few months ago. Hopefully the latter because we are broke!!!

Anyway, if we think of this mess as a mortgage here are the numbers:
$16 Trillion
Call it a 30 year loan
Guess at a 4% interest rate

Maps to $76 Billion per month to pay off this mess in 30 years. That is $912 Billion per year.
But, to make it a bit harder, we are spending about $100 Billion more than we take in every month.
Thus, cuts and payoff will require about $180 Billion per month. That is $2,160 per year. Hard, very hard.

Cut spending by 3/4 and increase taxes for the other quarter. Show me the cuts first though. Show me those cuts on day one. I can see you.:p

Untill I see this Administration and this Congress reduce spending dramatically I will not charm my Tea Party friends to accept tax increases - because I DO NOT trust politicians to cut spending. If we don't cut spending than we will hit a true debt ceiling that no politician controls. Then the hard choices will be made - absolutely.
 
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James48843 said:
They could really use the help.
Click to expand...
This is a spoof site that makes fun of current events. They are usually funny. But, this one is probably what needs to be done! Of course, those overpaid, lazy teachers are part f the problem according to most legislators.

So, ... Things are upside down.
 
To those who loved the Stimulus Plan and maybe even thought it was too small...

"massive amounts of spending were done in the name of short-term economic stimulus. Forget whether it worked or not – how did this become permanent spending?"
Click to expand...

James, et. al., why has short term stimulus spending become structural spending?

Did the President and Congress who voted for the thing make that clear to the taxpayers?

And, if permanent spending was NOT part of the deal than what is the problem with ending that spending?


To date (June 2011 MTS) we are spending $502 Billion more than we spent by June 2008 (a recession year). This in a period of miniscule inflation. Cut that artifact of Stimulus spending and then let us talk about tax increases. A greatful nation awaits.


By the way, the Treasury is projecting that we will spend $363 Billion more this year than last year. Mr. President, eat your peas...:p


A greatful nation awaits.
 
That's it then, we're all welfare babies now, living on the borrow, and the kindness of others.

Too bad the others are bankers.

You get what you pay for.
 
FireWeatherMet said:
Bipartisan agreement would be 50% spending cuts and 50% revenue.

One party said even 1% revenue would be a non-starter.
All the numbers show there is no way to eliminate the deficit unless you do both.
Unfortunately, some in congress are mathematically challenged.
Click to expand...
By that logic you are saying that one party wants the debt cut via 100% spending cuts, and the other party wants it done via 100% tax increases. Is that the case? (I will join you in not mentioning the parties.)

Unfortunately we are getting a lot of smoke and mirrors in the bills. I heard that the senate bill includes spending cuts that include large cuts in the Afganistan war, which I believe is still going on. Can that be assumed? If the war does not end, we're back where we started.

2 questions (and I am trying to keep this neutral): 1) Why don't democrats want a balanced budget amendment, and why don't republicans want tax loopholes closed? It seems like the perfect opportunity for both.

Ahhh, nevermind. This isn't going to work here. Let's go bug James...

http://www.beltwaytalk.com/forum.php
 
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