Notice the date, Dec 2009, fast forward into 2011 and were still raising the debt ceiling, sad, so fucking sad! U.S. debt ceiling raised Published: Dec. 17, 2009 at 9:06 AM By United Press International WASHINGTON, Dec. 17 (UPI) -- The U.S. House of Representatives took steps to increase the borrowing power of the federal government, which was nearing its credit limit of $12.1 trillion. The House, on a 218-214 vote, Wednesday advanced a measure to increase the federal debt limit by $290 billion. It also passed on a $154 billion economic-aid package and a $636 billion defense authorization. Last week House Majority Leader Steny Hoyer, D-Md., said the debt ceiling would need to be increased by more than $1.8 trillion to give the government a sufficient line of credit. Wednesday's House vote came as the United States technically passed its current debt ceiling as U.S. Treasury figures show the country owes $12.135 trillion. The new limit awaits consideration by the Senate. The economic-aid measure provides funds to extend unemployment benefits, aid for state governments and spending on infrastructure. Some of the money for that bill is expected to be taken from the Troubled Asset Relief Program. The defense bill includes more than $128 billion to pay for the fighting in Afghanistan and Iraq.
Keep in mind that after WWII all the factiries in Germany. Japan, Russia, and China were destroyed or converted to weapons use. So, the US was able to grow the economy by manufacturing. Obviously, we can't manufacture our way out of the problems today.
However Republicans are trying to manufacture their way out of the debt i.e. manufacture Hyperinflation that reduces the debt to pennies on a dollar. It is not smart thing to do as it will shock the society and throw it into a total chaos of all sorts. But that is the Republican way of approaching things of interest.
A lot of sobering comments on this thread. Go back and read some of the events of the 1930's depression. There were incidents of starvation in Arkansas(a very poor state in those days), where the gov't stepped in to help sharecroppers. My dad(who personally witnessed those years) always said if things were to get like the 1930's today, many Americans would be unable to handle it, causing suicide to skyrocket. I think it is fair to say people were tougher back then and familes pulled together. If and when QE fails, that will be the time for shtf. US has missed the bullet so far, I just wonder when and if, our luck runs out. I really don't think the morons running US gov't have any idea the danger they are courting, or they have reached the point of decadent Rome, where they just don't care anymore and will sell their soul for a vote.
some truth to this. I am not half the man my father was, but he was tougher than most. Backing down drunk Marines that messed with him in elevators during WW2 in Chicago would qualify as pretty tough in my book.
Like I said, there's always the part where someone pipes up and says "It's different this time!" Also, what are you going to do? Let the old folks die? Turn 'em into Solyent Green? It's one thing to acknowledge we have a problem and come up with a practical solution that can pass both houses, because, you know, that's what you have to do in a republic. It's another to just keep making wild declarations of doom. It may feel good, but it doesn't get anybody anywhere.
This is a fundamental question that is generally being ignored. Personally, I would look at keeping SS more or less as is, with the meaningful exceptions of means-testing recipients and removing the cap on payroll deductions. I would consider coupling that with a reform of medicare that - let's be blunt - rations healthcare by emphasizing hospice-style care for the last 6-12 months. It would generate an enormous cost savings, with minimal impact on life expectancy. I would also consider an annual physical fitness test. Base it on the very simple test used in basic training - you do X pushups, Y situps, and run 2 miles in under 20 minutes, you're good to go. You pass, you get a partial rebate on your payroll deductions, you fail, you don't. Exemptions etc would obviously have to be included for the unfortunate etc. All that wouldn't be enough, but it would, I believe, be a good start, with minimal meaningful impact on people.
There is a solution to the problem. No I don't desire that the old folk die off due to lack of provision. The solution is really easy... the US govt does not need to go into debt at all to fund itself as it has power given by the constitution to create (and destroy) money. That's an end to being at the mercy of credit rating agencies, China, and big banks. If you're worried about inflation, the solution to that is simple... increase taxes and destroy the money that comes in via taxes. It's not a radical idea- it's in the constitution. However the elites via the media and vain republican vs. democrat debates on debt ceilings want you to believe it's a radical idea and once you believe that, they can maintain and increase their tight grip and control over everyone. It's always different until the difference once day is so severe that it wipes the country out. Meanwhile the United States needs to choose to be sovereign and not depend on other countries such as China for their toys. That means investing in manufacturing technology innovation & robots that create our clothing, ipods, wash our dishes, etc with little human labor. A future where robots serve us while we lay at the beach is what us science nerds dream about.
I've seen you make comments like in multiple places. They have no basis in reality. The current fiscal policies of the US require it to take on debt, and there is no change regarding the issuance of money that can alter that. You don't seem to be understanding that a dollar bill itself is a debt obligation, just like a 30 year treasury bond. Printing money *is* issuing debt.