Consequences of a US default

[dbacks fan]

Who ever it was wanted tocut off the benefits to the states withthelowest tax returns compared with the benefits paid. That would create a third world enviroment in the US, and create an enviroment worse than what we have now.

[dbacks fan]

Why is it that Europe has a plan 'A' and a plan 'B' tosupport the Euro depending on what happens in Greece and Italy, and it should not have an effect on Ireland and other countries, and if Europe has to go to plan 'B' that China will step in to help bolster the economies of Europe? Where is our plan 'A' and plan 'B'? There is nothing from DC other than garbage. There is nothing from our leaders other than generic rhetoric. QUIT THE BS AND TELL US SOME PLAN!!!

[dbacks fan]

Maybe I'm just to stupid to undrestand, but it seems that so much of where we are now goes back to when Regan was elected, and the breaking of the PATCO strike, and following that is the continued deregulation of US Industies, banking, oil, and stocks to create 'Trickle Down' economics. It has not worked, and has led to where we are now. In 1980 we had three commercial aircraft manufacturers. We now have one. We had a half dozen military manufactures, and a half dozen companies supporting NASA. Now cut all of those to one, and NASA is now done and 10 to 20 thousand are now unemployed. As much as I was a fan of Regan, we have deregulated ourselves to where we are now.  I'm off my soapbox.

[dbacks fan]

Unless Obama can avoid the constitutional requirement of checks an balances, or he has rewritten the constitution, he can say what he wants.

[dbacks fan]

But he has no control over those items, and he does not control the US Constitution, Bill of Rights, or amendments it's not important.

[carltonplace]

Oopsie.

http://blogs.reuters.com/mediafile/2011/07/13/advisory-david-cay-johnston-column-on-rupert-murdoch-is-withdrawn/

Yea, I just heard him fall on the sword on the radio.

[nathanm]

it should not have an effect on Ireland and other countries

lol, that's the most hilarious thing I've heard in days. Bond traders are already driving up yields on Spanish debt over 6%. Spain, the one that was running a surplus before the financial crisis, and whose current deficit is reasonably manageable. Right now, I give the Euro less than 50/50 odds. I don't think the Germans have it in them to throw enough money down the sinkhole to keep it all going. Last I read they were talking about letting Greece default. ("Oh, but it won't be so bad, just a little default, not a big one!")

I guess they never heard of credit default swaps.

[Conan71]

Perhaps this graphic will dispel Gaspar's notion about the "gigantic" spending increases we've supposedly seen from Obama.



Yeah, income security is up, which is exactly what should happen when unemployment is high.

How does that dispel any myths?  It's simple arithmetic.  Sad you choose not to use it.

Spending is up, regardless of what he's spending it on.  It would appear he's spending it on sustaining lower productivity amongst American workers instead of spending it on sustainable job growth opportunities.  It proves the president has no idea how jobs are created so he's simply doing 4th down conversions until it can become someone else's problem and he can say he didn't strand the American worker.

To date, what has the president done in the way of trade negotiations or offering incentives for companies to hire more Americans to take them off of "income security" programs?

[Hoss]

How does that dispel any myths?  It's simple arithmetic.  Sad you choose not to use it.

Spending is up, regardless of what he's spending it on.  It would appear he's spending it on sustaining lower productivity amongst American workers instead of spending it on sustainable job growth opportunities.  It proves the president has no idea how jobs are created so he's simply doing 4th down conversions until it can become someone else's problem and he can say he didn't strand the American worker.

To date, what has the president done in the way of trade negotiations or offering incentives for companies to hire more Americans to take them off of "income security" programs?

And say what you will about ole 'Bubba', he was good with that part of it.  This President has spent so much time trying to placate to the right that he's lost his way.  Am I saying that the liberal way of trying to reign in spending is the wrong or right way?  No.  Neither is the math-challenged right's way (cutting spending but no revenue increases, better known as that conservative bad word: taxes).

Some middle ground on BOTH sides needs to happen here.  It sounds like Boehner wants to play.  His boy Cantor, however....

[nathanm]

How does that dispel any myths?  It's simple arithmetic.  Sad you choose not to use it.

Spending is up, regardless of what he's spending it on.  It would appear he's spending it on sustaining lower productivity amongst American workers instead of spending it on sustainable job growth opportunities.  It proves the president has no idea how jobs are created so he's simply doing 4th down conversions until it can become someone else's problem and he can say he didn't strand the American worker.

It dispels the myth that Obama is largely responsible for the ballooning budget deficit (in the sense of creation, as opposed to the sense in which, as the executive, he is responsible for all that goes on in government) . Social programs are precisely for the purpose of getting people through bad times. That you seemingly blame the existence of unemployment and health care for the indigent on the current President is telling.

Well, that's not entirely true. It dispels the myth that Obama created the budget deficit through spending. Obama is in fact largely responsible for giving the Republicans and large business interests what they asked for in more and more tax cuts that were supposed to induce employers into expanding.

As far as incentives to hire, there was a tax credit for that as part of ARRA. I believe there were others, also. Doesn't seem to have done a lot of good. If you're going to attack Obama for not having tried something, at least be sure it hasn't been tried.

[Conan71]

It dispels the myth that Obama is largely responsible for the ballooning budget deficit (in the sense of creation, as opposed to the sense in which, as the executive, he is responsible for all that goes on in government) . Social programs are precisely for the purpose of getting people through bad times. That you seemingly blame the existence of unemployment and health care for the indigent on the current President is telling.

Well, that's not entirely true. It dispels the myth that Obama created the budget deficit through spending. Obama is in fact largely responsible for giving the Republicans and large business interests what they asked for in more and more tax cuts that were supposed to induce employers into expanding.

As far as incentives to hire, there was a tax credit for that as part of ARRA. I believe there were others, also. Doesn't seem to have done a lot of good. If you're going to attack Obama for not having tried something, at least be sure it hasn't been tried.

With your penchant for spin and making great excuses for the President, I'm still miffed why you don't have a job in the administration.

You seem to understand as much as POTUS Obama does about what creates jobs.  He thinks it's feeding unions, spending money on temporary construction projects, and public assistance helping to keep the workers at Kraft, Anheuser-Busch, Pepsi, and Kimberly Clark in jobs with every box of mac & cheese, 12 pack of Bud or Pepsi, or package of toilet paper it buys.  A stagnant unemployment rate of 9 to 9.2% would seem to indicate not many jobs are being created.

Publicly-traded corporations work to keep share-holders happy by staying profitable and returning value to the investor.  Privately-held corporations and small business exist at the pleasure of their owners.  They are free to keep the business as small as they want or grow as much as their ambitions and resources will allow them to.  If small business owners view the Obama administration as anti-business (right, wrong, or entirely imagined) they won't invest any more than necessary until they feel there's a more business-friendly administration in power.  There's been so much fear whipped into them about new taxes, new regulations, Obamacare, etc. a lot of business owners are content to not grow right now.  We are within 1 1/2 years of the next election.  I suspect not much growth will happen until after that.

Regardless of whatever right-wing spin those business owners may listen to on a daily basis, Obama has done this to himself with his left-wing pandering like: "You make enough already"  "Spread the wealth around", etc.  Even Clinton was bright enough to appear business-friendly even when raising taxes and imposing new regulations.

The economy isn't all about fiscal policy.  It's also about having political leaders who can inspire confidence that the actions of the government are in the best interest of business prosperity and job creation.

What sort of positive environment has President Obama endeavored to create, via his words and actions?  Please identify them.  They've been precious few, IMO.

[nathanm]

So now you fall back on feelings? The economy is bad because Obama hasn't been cheerful enough? Seriously? It's not a lack of demand, but a lack of cheer. 

[Conan71]

So now you fall back on feelings? The economy is bad because Obama hasn't been cheerful enough? Seriously? It's not a lack of demand, but a lack of cheer. 

Obviously you cannot think of anything he's done to inspire the economy so you choose to mock me.  The POTUS is crucial to setting a positive or negative feel about the business environment.  A good deal of an economy is psychological.

You could create a real recession by doing nothing more than feeding the press with the news a recession is looming.  People will stop spending, stop hiring, laying people off, and the inevitable will happen.  

The president is a leader.  Part of leadership is management, part of it is innovation and brilliance, part of it is inspiration and motivation.

[heironymouspasparagus]

The president is a leader.  Part of leadership is management, part of it is innovation and brilliance, part of it is inspiration and motivation.

And yet, we still here the praises to Baby Bush from the RWRE Murdochians.  Yeah...I guess giving a back massage to the Chancellor of Germany is a totally inspirational leadership position.

And giving all his rich buddies a massive tax break was also inspirational, innovative, and motivational.  Did I mention inspirational??

Just not for real people.

It is well known and proven beyond any doubt that the problems we have now started back in 1981 and massively escalated in 2001.  $800 billion debt in 1980 (just a little more than we pay each year for interest now).  $14 trillion today.  All because of irresponsible spending and tax policy.  Brought to you by 20 years of Republicontins and 11 years of Dummycrats.

[Gaspar]

It is well known and proven beyond any doubt that the problems we have now started back in 1981 and massively escalated in 2001. 

So, it's not Bushes fault?

In 1981 MTV was launched.  Can we blame it on the Buggals!