Home › Forums › Financial Markets/Economics › The Tea Party downgrade
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August 8, 2011 at 9:33 PM #717647August 8, 2011 at 10:04 PM #716465sreebParticipant
What the Tea Party did was high light how hard it will be to cut spending.
It is very clear that the earliest any meaningful proactive cuts can occur is after the 2012 election. Depending on the results, maybe not until after the the 2016 elections.
Between then and now, we can expect to add another 3 to 9 trillion to the outstanding debt. It isn’t clear we can find willing lenders to finance that debt. Clearly there are plenty today but assuming there will always be plenty is risky.
The Tea Party did not threaten to default. Obama did. The Tea Party did threaten to shut down 40% of the government. The choice to prioritize other spending ahead of the debt repayment would have been made by the executive branch.
Our good credit rating isn’t based on our willingness to “borrow what ever it takes” to pay back our loans. It is based on our willingness to “do whatever it takes” to pay back our loans. As a group, we don’t seem all that willing to do anything.
I don’t see any likely hood that we will make any significant spending cuts absent a real borrowing crisis such as Greece, Spain, and Italy are experiencing. This could occur tomorrow or years from now. If we continue to run up a debt we have no hope of repaying, it will happen.
A small increase in tax rates won’t make a dent in the problem. Something like doubling all the tax rates for everyone (not just the rich) would be required but that would radically change taxpayer behavior. I personally wouldn’t see much point to working if that occurred.
August 8, 2011 at 10:04 PM #716553sreebParticipantWhat the Tea Party did was high light how hard it will be to cut spending.
It is very clear that the earliest any meaningful proactive cuts can occur is after the 2012 election. Depending on the results, maybe not until after the the 2016 elections.
Between then and now, we can expect to add another 3 to 9 trillion to the outstanding debt. It isn’t clear we can find willing lenders to finance that debt. Clearly there are plenty today but assuming there will always be plenty is risky.
The Tea Party did not threaten to default. Obama did. The Tea Party did threaten to shut down 40% of the government. The choice to prioritize other spending ahead of the debt repayment would have been made by the executive branch.
Our good credit rating isn’t based on our willingness to “borrow what ever it takes” to pay back our loans. It is based on our willingness to “do whatever it takes” to pay back our loans. As a group, we don’t seem all that willing to do anything.
I don’t see any likely hood that we will make any significant spending cuts absent a real borrowing crisis such as Greece, Spain, and Italy are experiencing. This could occur tomorrow or years from now. If we continue to run up a debt we have no hope of repaying, it will happen.
A small increase in tax rates won’t make a dent in the problem. Something like doubling all the tax rates for everyone (not just the rich) would be required but that would radically change taxpayer behavior. I personally wouldn’t see much point to working if that occurred.
August 8, 2011 at 10:04 PM #717154sreebParticipantWhat the Tea Party did was high light how hard it will be to cut spending.
It is very clear that the earliest any meaningful proactive cuts can occur is after the 2012 election. Depending on the results, maybe not until after the the 2016 elections.
Between then and now, we can expect to add another 3 to 9 trillion to the outstanding debt. It isn’t clear we can find willing lenders to finance that debt. Clearly there are plenty today but assuming there will always be plenty is risky.
The Tea Party did not threaten to default. Obama did. The Tea Party did threaten to shut down 40% of the government. The choice to prioritize other spending ahead of the debt repayment would have been made by the executive branch.
Our good credit rating isn’t based on our willingness to “borrow what ever it takes” to pay back our loans. It is based on our willingness to “do whatever it takes” to pay back our loans. As a group, we don’t seem all that willing to do anything.
I don’t see any likely hood that we will make any significant spending cuts absent a real borrowing crisis such as Greece, Spain, and Italy are experiencing. This could occur tomorrow or years from now. If we continue to run up a debt we have no hope of repaying, it will happen.
A small increase in tax rates won’t make a dent in the problem. Something like doubling all the tax rates for everyone (not just the rich) would be required but that would radically change taxpayer behavior. I personally wouldn’t see much point to working if that occurred.
August 8, 2011 at 10:04 PM #717303sreebParticipantWhat the Tea Party did was high light how hard it will be to cut spending.
It is very clear that the earliest any meaningful proactive cuts can occur is after the 2012 election. Depending on the results, maybe not until after the the 2016 elections.
Between then and now, we can expect to add another 3 to 9 trillion to the outstanding debt. It isn’t clear we can find willing lenders to finance that debt. Clearly there are plenty today but assuming there will always be plenty is risky.
The Tea Party did not threaten to default. Obama did. The Tea Party did threaten to shut down 40% of the government. The choice to prioritize other spending ahead of the debt repayment would have been made by the executive branch.
Our good credit rating isn’t based on our willingness to “borrow what ever it takes” to pay back our loans. It is based on our willingness to “do whatever it takes” to pay back our loans. As a group, we don’t seem all that willing to do anything.
I don’t see any likely hood that we will make any significant spending cuts absent a real borrowing crisis such as Greece, Spain, and Italy are experiencing. This could occur tomorrow or years from now. If we continue to run up a debt we have no hope of repaying, it will happen.
A small increase in tax rates won’t make a dent in the problem. Something like doubling all the tax rates for everyone (not just the rich) would be required but that would radically change taxpayer behavior. I personally wouldn’t see much point to working if that occurred.
August 8, 2011 at 10:04 PM #717661sreebParticipantWhat the Tea Party did was high light how hard it will be to cut spending.
It is very clear that the earliest any meaningful proactive cuts can occur is after the 2012 election. Depending on the results, maybe not until after the the 2016 elections.
Between then and now, we can expect to add another 3 to 9 trillion to the outstanding debt. It isn’t clear we can find willing lenders to finance that debt. Clearly there are plenty today but assuming there will always be plenty is risky.
The Tea Party did not threaten to default. Obama did. The Tea Party did threaten to shut down 40% of the government. The choice to prioritize other spending ahead of the debt repayment would have been made by the executive branch.
Our good credit rating isn’t based on our willingness to “borrow what ever it takes” to pay back our loans. It is based on our willingness to “do whatever it takes” to pay back our loans. As a group, we don’t seem all that willing to do anything.
I don’t see any likely hood that we will make any significant spending cuts absent a real borrowing crisis such as Greece, Spain, and Italy are experiencing. This could occur tomorrow or years from now. If we continue to run up a debt we have no hope of repaying, it will happen.
A small increase in tax rates won’t make a dent in the problem. Something like doubling all the tax rates for everyone (not just the rich) would be required but that would radically change taxpayer behavior. I personally wouldn’t see much point to working if that occurred.
August 8, 2011 at 10:06 PM #716470SD RealtorParticipantSounds good Bill… Feel free to address the points I brought up any time.
August 8, 2011 at 10:06 PM #716558SD RealtorParticipantSounds good Bill… Feel free to address the points I brought up any time.
August 8, 2011 at 10:06 PM #717159SD RealtorParticipantSounds good Bill… Feel free to address the points I brought up any time.
August 8, 2011 at 10:06 PM #717308SD RealtorParticipantSounds good Bill… Feel free to address the points I brought up any time.
August 8, 2011 at 10:06 PM #717666SD RealtorParticipantSounds good Bill… Feel free to address the points I brought up any time.
August 8, 2011 at 10:07 PM #716475Allan from FallbrookParticipant[quote=BillS78]Don’t dodge the fact that you are wrong. There was no supermajority you LIAR.
You’ve been exposed, you’re another Fox idiot, rethug, and a liar.[/quote]
Bill: I don’t know who you are, but fair warning. Rich, the board’s moderator, has made it abundantly clear that Right/Left slapfighting and flame wars won’t be tolerated.
You need to curb this ad hominem posthaste, or find another board to post on. Continue, and I’ll be happy to let Rich know and he can remove you.
Name calling and ad hominem, by the way, signal nothing more than someone who cannot hold their own in a fair and reasoned discourse and thus resorts to such small-minded tactics. There are several quite qualified conservative posters on this board who’d be more than happy to obliterate your pathetic and puling attempts at a broadside.
August 8, 2011 at 10:07 PM #716563Allan from FallbrookParticipant[quote=BillS78]Don’t dodge the fact that you are wrong. There was no supermajority you LIAR.
You’ve been exposed, you’re another Fox idiot, rethug, and a liar.[/quote]
Bill: I don’t know who you are, but fair warning. Rich, the board’s moderator, has made it abundantly clear that Right/Left slapfighting and flame wars won’t be tolerated.
You need to curb this ad hominem posthaste, or find another board to post on. Continue, and I’ll be happy to let Rich know and he can remove you.
Name calling and ad hominem, by the way, signal nothing more than someone who cannot hold their own in a fair and reasoned discourse and thus resorts to such small-minded tactics. There are several quite qualified conservative posters on this board who’d be more than happy to obliterate your pathetic and puling attempts at a broadside.
August 8, 2011 at 10:07 PM #717164Allan from FallbrookParticipant[quote=BillS78]Don’t dodge the fact that you are wrong. There was no supermajority you LIAR.
You’ve been exposed, you’re another Fox idiot, rethug, and a liar.[/quote]
Bill: I don’t know who you are, but fair warning. Rich, the board’s moderator, has made it abundantly clear that Right/Left slapfighting and flame wars won’t be tolerated.
You need to curb this ad hominem posthaste, or find another board to post on. Continue, and I’ll be happy to let Rich know and he can remove you.
Name calling and ad hominem, by the way, signal nothing more than someone who cannot hold their own in a fair and reasoned discourse and thus resorts to such small-minded tactics. There are several quite qualified conservative posters on this board who’d be more than happy to obliterate your pathetic and puling attempts at a broadside.
August 8, 2011 at 10:07 PM #717313Allan from FallbrookParticipant[quote=BillS78]Don’t dodge the fact that you are wrong. There was no supermajority you LIAR.
You’ve been exposed, you’re another Fox idiot, rethug, and a liar.[/quote]
Bill: I don’t know who you are, but fair warning. Rich, the board’s moderator, has made it abundantly clear that Right/Left slapfighting and flame wars won’t be tolerated.
You need to curb this ad hominem posthaste, or find another board to post on. Continue, and I’ll be happy to let Rich know and he can remove you.
Name calling and ad hominem, by the way, signal nothing more than someone who cannot hold their own in a fair and reasoned discourse and thus resorts to such small-minded tactics. There are several quite qualified conservative posters on this board who’d be more than happy to obliterate your pathetic and puling attempts at a broadside.
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