Here ya go, barfo. $24B is chump change! http://www.washingtontimes.com/news/2013/oct/18/us-debt-jumps-400-billion-tops-17-trillion-first-t/ U.S. debt jumps a record $328 billion — tops $17 trillion for first time U.S. debt jumped a record $328 billion on Thursday, the first day the federal government was able to borrow money under the deal President Obama and Congress sealed this week. The debt now equals $17.075 trillion, according to figures the Treasury Department posted online on Friday. The $328 billion increase shattered the previous high of $238 billion set two years ago.
What's the big deal? It's just $1,064.94 for every man, woman and child in the US. It's not like the money ever has to be repaid. The worst thing is the collapse is going to hurt the supporters of President Obama first and the hardest.
I charge $50 on my credit card monthly. So I have $50 in debt. But I pay it off at the end of the month. Maybe the last time I had zero debt was 1835, too. But the amount is manageable and certainly not irresponsible.
Dude you sound like the person in a married couple that thinks "hey we have credit card that equal $30k! Let's spend it because we can!"
Dude the US government debt is not really like a credit card. At all. Personally, I've never paid interest on a credit card. It's a very stupid way to borrow money. But that doesn't mean that all debt is like credit card debt and that no person or organization should ever borrow money. I actually agree with you guys that the US has too much debt. But I don't agree that the sky is falling because of it. People are always claiming the sky is falling because of x, y, or z. It rarely falls, and when it does fall it is rarely for the reasons people on the internet were predicting. barfo
If you have $1,000 in interest payments, and only bring in $900 in earnings, Can you survive? The reason why we haven't fell yet is because the banks giving us loans are waiting it out. They are making money still. But there will come a time when the revolving debt is too high; that we will never be able to come out of it unless we forfeit our loans. It's simple economics. When our president doesn't take this into account; he is not looking at the best interest for the people. If the country goes into bankruptcy; then the value of our dollar goes to shit. See what happened to Greece for reference. I bet the European Union wished they never took on Greece.
Yes, the US is just like Greece. Let's count the ways. 1. Both have more debt than they should 2. Both are nations 3. Both have an 'e' in their name 4. Both are on planet earth barfo
Forget about it Mags, its like you are talking to a brick, except this block head parrots back Barry speak.
5. Both have a very extreme "right wing" leader that doesn't give a shit about a budget. 6. Both are spending more money than they take in. 7. Both have blind lower class that don't understand their leader is a joke
I think people tend to oversimplify the nation debt by comparing it to household debt. There is a demand for government debt which creates a market, there is no demand for personal debt. The amount of debt as Barfo said is to high, but overall as long as we maintain a high demand for our debt, then some debt is a good thing. Debt to GDP ratio is better tool to gauge our situation with. The republicans (tea partiers) are not being the fiscally responsible party they claim to be, as this fabricated shutdown hurts our overall standing in the world and weakens the demand for our debt. Obama just called their bluff, which could have also hurt our nation in the short run but if he had given into republican extortion tactics then the long term political damage would have been worse.
Debt to GDP is over 100% for the first time since we were in an all out world war II. Not the best measure, though. How about $.20 on every $1 of revenue (of all kinds) paying interest payments. Or think of it as a 33% tax on everything the government spend on except military and SS/medicare. The shutdown this time, last time, Obama's debt rating decrease, etc., have not affected demand for our debt. We just had less of a need to borrow for 16 days. And there is plenty of demand for consumer debt. - nearly as many $trillions worth as there is for the government's.
Yes Sir! Obama did indeed call their hand with his bluff to actually manage the country into default as prohibited under the 14th amendment. But people should wake up, Barrack OBama actually threaten to commit a High Crime to purposely mismanage the the nation into default. The Republican actually thought he might just be damn fool enough to do it, if he did not get his way. That threat in it's self should get the guy impeached.
So your right, and I agree our debt ratio is also to high, but again Ill quote Barfo and say its not sky is falling levels. Interest payments to government spending is even better also but gives similar results. I'm guilty of oversimplifying also. The difference between consumer and government debt demand is that we as individuals are part of the bigger picture and none of has any effect on the interest rates of those securities. The government is a single entity that can manipulate its interest rates by messing with the supply. People are operating in partial equilibrium while the government operates in a general equilibrium.
