The debt ceiling rhetoric is really building steam.
As we get closer and closer to the date when the debt rises above the debt ceiling, the guys on each side continue to ratchet the discourse.
Of course I don’t think that we’ll not raise the limit. And, even if we don’t, there is no way that we don’t pay our debt servicing. So this whole thing is a little silly.
But I like the debate and I like the discussion being had in the offices and the coffee houses and the dance studios.
When we have Obama claiming that he can’t guarantee that old people will get their Social Security check.
“I cannot guarantee that those checks go out on August third if we haven’t resolved this issue,” says Obama.
“There may simply not be the money in the coffers to do it,” said the President.
Interesting thins are gonna be said by the everyday people.
But, back to the discussion. I still don’t get the Left’s rallying cry that the rich “have to pay their fair share!”
There is a gap.
The United States brings in some amount of money. And the united States spends some other amount of money.
There is a difference between those two amounts of money; and right now, the bigger amount is the amount we spend.
We’re in debt and getting debt’ier.
All the talk ’round town is that we have to fix this problem pretty soon and the deadline that’s looming is the debt ceiling. Everyone is looking at August 2nd and working to build a plan by then.
In it’s simplest form, the debate is about narrowing the gap of the spending and the revenue.
How are we gonna do that?
Minnesota is closed.
As of 12:01 AM July 1, the state has shut down. A disagreement over how to balance the budget between the Democrat governor and the Republican Senate has caused a stalemate. Without a budget, the state government officially closed Friday morning. State parks, rest areas, road construction and other services were shuttered.
State employees were sent home.
The battle just got real for a whole bunch of people; a WHOLE bunch.
Posted in Economics, Economy, Elections 2012, Government, Politics: National, States Behaving Badly
Tagged Barack Obama, Budget, Deficit, Government Shutdown, Mark Dayton, Minnesota
The battle lines are drawn. On one side you have the conservatives demanding that we cut spending. The other; we have to raise taxes on the rich.
The battle? Well, the battle is the deficit.
So, who’s right, who’s wrong? Let’s check it out.
Like a drum beat in the background for nearly three years now we’ve heard that we need to pass stimulus bills to fund “shovel ready infrastructure” . Somehow we have left our roads and bridges in such disrepair that failure to raise taxes to spend money on their repair is simply…is simply…is simply too much for words.
That idea has always left me a little unsatisfied. I mean, how do we budget for and then pay for the repairs of bridges and roads normally? I mean, does it take a stimulus bill to pay for this maintenance?
Look, an asteroid shower hits roads and bridges Kentucky, I’m all for a spending bill that repairs those bridges and those roads. But the routine upkeep. That CAN’T require stimulus. Right?
Why, yes it can:
Federal highway programs are funded not from general tax revenue but from various highway user taxes, mostly the federal tax on gasoline and diesel fuel. Legally, all those monies constitute the source of funding for the Highway Trust Fund. When Congress decides on spending for highways (and since the Reagan era, for mass transit), the dollars are supposed to come from this Trust Fund.
What the appropriations committees used to do was to approve funding for those purposes that was less than the user-tax revenues coming in. That meant federal revenues for surface transportation exceeded federal spending in that area, which made the overall budget deficit look smaller than it really was—and was manifestly unfair to the highway users who were paying the bills.
See, they tax us on usage–which is AS IT SHOULD BE- for the infrastructure that we use. Then they don’t use that money to keep the infrastructure up. Then they claim that we need to pass massive stimulus bills to fix the infrastructure that they didn’t fix with the money they spent somewhere else.
The guys in Greensboro are back at it.
Today they’re discussing the tax situation as we get closer and closer to December 31st. That’s the date, of course, that the “Bush Tax Cuts” are set to expire.
Everyone I know of agrees that we need to make permanent those cuts to folks making less than $250,000 a year. The question is what to do with the folks making more than that.
Didja know that politicians have been lying to us for years now?!?
What they call one thing you and I would call another.
And because they use words differently than the rest of us, they have been able to shape how we think about the things they are talking about.
I am a new comer to politics. And economics. While it’s true that I’ve always resonated with Republicans and Conservatives, I’ve never really been all that serious about it.
This has been true all the way through Bush vs. Gore; I just really didn’t care.
I guess marriage, home ownership and parenthood will do that to ya huh?
With that said, I’ve never really understood the trade deficit. Am guessing many others don’t either.