Can the US continue to build this type of debt?

1. 68

   ShootersCenterposted 12 years ago

   Can the US continue to build this type of debt?
   
   Obama's new budget proposal has a 910 billion dollar deficit, does anyone else see a problem with that? There's already talk of replacing the US dollar as the world reserve, China is already trying to dump some of the debt off to other countries. Isn't it time to change our policies rather than just printing more money?

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2. 72

   The Frog Princeposted 12 years ago

   Just using common household budgetary sense answers your question.  Try running a business with no budget and the ability to just print money.  Try running your household without a budget and endless credit card use.  There's your answer.
   
   The Frog

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3. 60

   Moderndayslaveposted 12 years ago

   Crony Capitalism and corruption funnels so much of OUR money to a useless black hole it's not even funny.

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4. 59

   Jeffhdsnposted 12 years ago

   As you know most budget estimates end up being wrong as they are based on the most optimisitc scenarios.  The Treasury is able to issue more and more debt only because we are the world's reserve currency.  If the dollar is replaced as the reserve currency the demand for US Dollars will dry up and Treasury bond prices will collapse while driving interest rates to the moon.  This is the eventual result of the Fed's easy money policies.   No we can't continue building this level of debt but we don't have the political will to change course.

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5. 0

   Larry Wallposted 12 years ago

   Of course, there is a problem, but the problem is not just the number. The government has gotten into the habit of projecting deficits and savings several years down the road. This is voodoo math at best and definitely poor planning.
   
   I have said for years that the deficit does not bother me, because it is not like the mortgage on your home. It is tired to a lot of variable factors. Currently the world's economy is in a state of chaos. Everybody has spent more than they should and that includes us, the consuming public. Saving money is hard, spending is easy. So people have to buy the latest and greatest cell phone, they have to have the HDTV, they have to pay for their daughter's destination wedding, the buy houses they know they cannot afford with adjustable interest rates in a risky economy.
   
   Definitely, the Congress needs to exercise more restraint and common sense. A lot of pork can be cut from the budget. Tax rates can be adjusted so that the rich pay a little more.
   
   We need to quit inventing new ways of teaching children how to read and go back to the ways that worked for years. We have to realize that every child is not college material and therefore put more money into community colleges and technical schools and less into monuments, involvement in wars we cannot win while refusing to take advantage of the energy resources that are available and not spin our wheels on trying to develop new sources of fuel.
   
   Finally, the federal budget is so huge and complex, it is almost impossible to go through it line by line and to see which agency is buying 100 new computers each year, or giving all of their employee cell phones, etc.
   
   It is time that perhaps one of the think thanks do a little less thinking, and really dig into the budget to see where the money is really going.
   
   There is an old movie called Dave (not that old really) where a presidential impersonator ends up running the country and he brings in his own accountant to find the waste and fat in the budget. We need to use that same approach.
   
   Instead of trying to short-change doctors on medicare reimbursements, we should perhaps decide if every rule that comes down from EPA or OSHA are really needed or just a case of overkill.

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6. 65

   Ralph Deedsposted 12 years ago

   President Obama's proposals for revenue (tax) increases have been blocked by the Tea Party Republicans in the House of Representatives although nearly every responsible authority says that both program cuts and tax increases will be required in order to deal with structural deficit issues.

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7. 80

   syzygyastroposted 12 years ago

   In a closed system such as the earth, there is no such thing as infinite growth. Thus if debt keeps increasing due to the charging of interest and the gross domestic product can no longer increase, or it indeed it starts to shrink, the continually expanding debt will surpass productive capability rendering the debt impossible to pay. Once this is seen for what it is, the economy collapses as an escalating number of people abandon it as an exercise in futility. If interest on loans and bailouts were eliminated, then it might be possible to pay down the debt given a vast enough time scale. The way the system is now with the people on the bottom shouldering more and more debt with less and less income, it has to crash and the result will be anarchy in the streets as a result of the anarchy of the economy.

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8. 72

   lburmasterposted 12 years ago

   Yes, they can. Because we will. It's what we do. And yes, there is a problem with that.

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9. 60

   Arthur F. Templeposted 12 years ago

   This prose poem is truth look it up yourself-we are in a debt slavery cycle that can be fixed easily;This poem is about the Grace Tax Commission and the biggest hoodwink of all time.
   
   The main complaint of the Occupy Wall Street Protestors to date is that there is no message to be said. The message, which follows these words, shall be repeated until the world restores her original fate, unity through diversity and an end to all hate. Occupy Wall Street and protestors around the world, chant this statement: “Put an End to the Federal Reserve!”
   
   The Federal Reserve is a trick you see, a play on words to fool humanity. Just like their Club of Rome, which has its throne in Switzerland, this ultimate masterful play on words, the Federal Reserve, belongs to no government institution. Behind this lie is a family-owned private bank, which dwells on endless war, starvation, poverty and hate, while a handful of families earn their wealth at the cost of your soul’s health.
   
   It’s for all to know and plain to see, this Christmas story. One hundred years ago during Christmas there was a Congressional deal to repeal our country’s right to print its own money. The interest from this debt is how your income tax is set; not one dime of your income tax goes to anything of substance, other than to these well-known families who print the money for your government. The reality is the government runs on taxes on tobacco and booze and everything you can imagine while you snooze, corporate taxes go for war, and your state property taxes pay for most of your local services. This evil was done without regret or your permission, if you don’t believe me read about President Ronald Reagan’s tax commission. Grace knew what you now know, so let’s print our own money, back it by precious metals and commodities then these families will fall you’ll see just like their other trick, Building 7 and the repression of zero point energy.

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