KillingtonZone.com

Four Trillion Reasons to Throw the Bums Out

"If the electorate has begun toting pitchforks and torches, America’s political leadership has only itself to blame."


http://www.thefiscaltimes.com/Columns/2 ... gifQ%3D%3D" onclick="window.open(this.href);return false;

I remember a college professor commenting when the budget hit a trillion. It was in 1987 he went on and on about how much money it was. Hopefully, the Republicans will fight back this year.

freeski wrote:I remember a college professor commenting when the budget hit a trillion. It was in 1987 he went on and on about how much money it was. Hopefully, the Republicans will fight back this year.

My "economics professor" circa 78/79, said the debt was owed to Americans, not foreigners or corporations. Well, now we owe someone else and we can't cover the cost. Time to stop borrowing and reduce spending (NOT reduce increases). They will not do so, so we are totally screwed by the government no matter what.

freeski wrote:I remember a college professor commenting when the budget hit a trillion. It was in 1987 he went on and on about how much money it was. Hopefully, the Republicans will fight back this year.

You mean like the GOP fought back during the GWB years? They spent just as much, if not more, as the last guy.

XtremeJibber2001 wrote:

freeski wrote:I remember a college professor commenting when the budget hit a trillion. It was in 1987 he went on and on about how much money it was. Hopefully, the Republicans will fight back this year.

You mean like the GOP fought back during the GWB years? They spent just as much, if not more, as the last guy.

True, "W" was the one who started this out of control spending. But, the last budget the GOP gave Obama pretty much everything he wanted and Ryan said this year would be different. For example, when Obama gave away millions at the climate summit I didn't think congress would actually give it to him. They did with no fight, at least with no public fight, it was all behind closed doors. What are we at $19.5 trillion? Obama claims a victory by decreasing the deficit. We need a balanced budget so we can pay down the debt and there is no political will for that in sight.

freeski wrote:

XtremeJibber2001 wrote:

freeski wrote:I remember a college professor commenting when the budget hit a trillion. It was in 1987 he went on and on about how much money it was. Hopefully, the Republicans will fight back this year.

You mean like the GOP fought back during the GWB years? They spent just as much, if not more, as the last guy.

True, "W" was the one who started this out of control spending. But, the last budget the GOP gave Obama pretty much everything he wanted and Ryan said this year would be different. For example, when Obama gave away millions at the climate summit I didn't think congress would actually give it to him. They did with no fight, at least with no public fight, it was all behind closed doors. What are we at $19.5 trillion? Obama claims a victory by decreasing the deficit. We need a balanced budget so we can pay down the debt and there is no political will for that in sight.

this will NEVER happen....EVER...

madhatter wrote:

freeski wrote: We need a balanced budget so we can pay down the debt and there is no political will for that in sight.

this will NEVER happen....EVER...

We may never pay down the debt completely, but there does need to be a limit. And since there needs to be a limit, you need to operate most years with a balanced budget. The comfortable debt amount you haven't borrowed yet is your cushion for emergencies. Having a high debt leaves no room for emergencies.

Think about one of the causes for the great recession - interest rates went up, and sub prime mortgagees couldn't re-finance. They couldn't qualify for the higher interest payments.

This is what could happen here. With interest rates going up at some point, the debt load will be crushing.

The current debt is 19 Trillion. Do any of you know how many zeroes that is without writing it out? Imagine a million dollars. Right there in your hand. A million. Cool. Now imagine a million of those. A million million. Now imagine nineteen of those. That's how far in the hole we are.

If we divide the debt by 300 million US residents, we get 63,000 per individual. Pretty sobering. If we divide by the number of tax filers, working to some extent, that's 171 million people, you get 111,000 per working person. That's 2 years average salary. Who can afford that? Now if we divide the debt by the number of people that actually pay income tax, it gets twice as bad. Only 94 million pay taxes, 77 million filers pay nothing, or get an earned income credit. So for each taxpayer, not filer, the debt is $202,000. Anyone concerned yet? Can you take on a second mortgage like that?

I listened to the Democrat debate last night. I heard about free college, high rates of incarceration, women's rights, global warming. I didn't hear a word about the budget.

None of those Democrat issues mean diddly if we go bankrupt. I know the Republicans didn't do a good job either. But it's time for the adults in the room to get serious.

Next up: What happens when rates go up. (spoiler: it's not good.)

Mister Moose wrote:

madhatter wrote:

freeski wrote: We need a balanced budget so we can pay down the debt and there is no political will for that in sight.

this will NEVER happen....EVER...

We may never pay down the debt completely, but there does need to be a limit. And since there needs to be a limit, you need to operate most years with a balanced budget. The comfortable debt amount you haven't borrowed yet is your cushion for emergencies. Having a high debt leaves no room for emergencies.

Think about one of the causes for the great recession - interest rates went up, and sub prime mortgagees couldn't re-finance. They couldn't qualify for the higher interest payments.

This is what could happen here. With interest rates going up at some point, the debt load will be crushing.

The current debt is 19 Trillion. Do any of you know how many zeroes that is without writing it out? Imagine a million dollars. Right there in your hand. A million. Cool. Now imagine a million of those. A million million. Now imagine nineteen of those. That's how far in the hole we are.

If we divide the debt by 300 million US residents, we get 63,000 per individual. Pretty sobering. If we divide by the number of tax filers, working to some extent, that's 171 million people, you get 111,000 per working person. That's 2 years average salary. Who can afford that? Now if we divide the debt by the number of people that actually pay income tax, it gets twice as bad. Only 94 million pay taxes, 77 million filers pay nothing, or get an earned income credit. So for each taxpayer, not filer, the debt is $202,000. Anyone concerned yet? Can you take on a second mortgage like that?

I listened to the Democrat debate last night. I heard about free college, high rates of incarceration, women's rights, global warming. shiny objects attract voters, austerity? not so much...I didn't hear a word about the budget.

None of those Democrat issues mean diddly if we go bankrupt. as long as the USD is the sole world reserve currency there will be no national bankruptcy...IF, the USD loses its privilege, we will all be bankrupt... I know the Republicans didn't do a good job either. But it's time for the adults in the room to get serious.first we need some adults to put in that room...

Next up: What happens when rates go up. (spoiler: it's not good.)

that is unlikely to happen anytime soon either, yellen actually said NIRP is not off the table...

http://www.cnbc.com/2016/02/09/from-zir ... -move.html" onclick="window.open(this.href);return false;

http://www.zerohedge.com/news/2015-09-1 ... -coming-us" onclick="window.open(this.href);return false;


in all honesty the debt will likely continue to rise forever...seems impossible, but...