21 Responses to U.S. government talks acrimoniously end to raise federal debt ceiling

  1. Stephen says:

    Hi Alvin,

    Please allow me to re-post:

    I am pretty sure that an “OVERT” default will take place. Because there is a “COVERT” default by printing more stocks of money which leads to shrinking debt values, as more money supplied means each dollar bill is equivalent to substantially less than a dollar.

    Now, WHY “OVERT”? (“OVERT” default is outright non-payment, or the act of reneging, on its debts.) I am not so sure about this but the government just unveiled their “Apocalypse” aircraft. When you try to connect the dots, the government is certain about something really messy to happen. And the purpose of the aircraft? To fly away from the mess! If one thinks this way, the debate about the debt ceiling becomes more of a theatrical performance: each lawmaker has his/her own script, and the performance is entitled “TRAGEDY”.

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  2. Stephen says:

    Alvin,

    God bless you a thousandfold. And everyone who reads Alvin’s daily posts. God bless us all. Alvin, your posts are invaluable. And thank you so much for gathering pieces of information about our world today.

    Like

  3. alvaro says:

    I keep hearing about the effect that such a credit default would have on the world economy, and still, there seems to be no agreement between the leaders of america and the world in general. I start wondering, do they actually want the economy to fall apart? I think each one of us should start having responsibility of our actions. We cant continue to live on credit as we do. It’s an ilusion…no one should have to pay for other people’s mistakes. Let the system brake, so we build it from scratch once again, knowing our limitations and mistakes of the past. Together we can achieve anything, alone we wont get anywhere. Peace brothers and sisters…

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    • Stephen says:

      Yes alvaro, I agree with you. You cannot do renovation when a house is collapsing. One has to start anew.

      Like

    • Grace says:

      I think we have to ask ourselves that if ‘they’ want the economy to fall apart then what do they plan to replace it with? What sort of ‘house’ have they in mind? Scary…

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      • Behind the trading of arms, drugs, racketeering, human trafficking, bank bailouts is the same sinister satanic forces marshalling and exchanging the world’s money supply to keep the chain of vice, war, and corruption going across the planet. This has been at the heart of the slave, sex and drug trade, banking scandals, the annihilation of indigenous cultures, how wars and acts of terror are financed, and the expansion of colonialism since the world began. “And that no man might buy or sale, save he that hath the mark of the beast,” warns the prophecy of Revelation 13:17. The ultimate global regulation of the money supply is how dark forces will put the control of the world under its thumb.

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  4. NickK0 says:

    I do not think that a collapse will begin ‘suddenly’….. At least, not right away.

    BUT Wal-Street will go into Panic after a point, and that is when we will see, the S.H.T.F.
    At that point, events will take on “a life of their own”, and it may not be possible to stop them.

    The question that I have is, How far, do we have to fall…..

    – Nick

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  5. Bone Idle says:

    Here’s the simple response.

    The U.S. Tax intake is far and away higher than the interest on the outstanding debt. The loan can be easily serviced.
    The U.S. Government has to cut spending on needless programs and cut bureaucracy.

    This is what the Republicans are basically wanting.
    No different really than your household budget. It’s not rocket science.

    Taxing the rich is a side show. If every person with assets over a million dollars was financially liquidated and every Fortune 500 company stripped of their assets and funds the amount of wealth gathered would be enough to run the U.S. government budget for less than a month.

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    • NickK0 says:

      Good point, Rita.
      Rather ironic.

      – Nick

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    • Bone Idle says:

      No need for any more taxes. The current level of taxes are enough to easily cover the interest charges on the existing debt.
      Taxing the middle class and “poorer” sections of the community is self defeating – it cuts product demand. Raising utility charges to pay for rent seeking green progammes is just another tax.
      Cut spending on nefarious programmes.

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  6. I think we are. A crisis is always a catalyst for change…

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  7. Dennis says:

    I think we are too. The purpose of a nwo in my opinion is to place the people under a socialist/communist type of goverment. No ambition, minor entrepreneurship, if i don’t have one, you can’t have it, demise of free speech and thoughts, i can’t succeed so its your fault… if you have more, I should get part of it…..a dreadful society, living like robots.
    Another view would also be the lost of individual goverments and a establishment of a world goverment with no loyalty to one’s nation,ie:: USA,Germany and a new world currency.
    Just a thought and much to be concerned about

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  8. luisport says:

    The debt ceiling is currently a political crisis threatening to be an economic one, and soon it could turn into a constitutional crisis.

    The calls are getting louder for Obama to ignore Congress and unilaterally raise the debt ceiling.

    In a NYT op-ed, Eric Posner and Adrian Vermeule liken a unilateral hike in the debt ceiling by Obama to Abraham Lincoln’s suspension of Habeus Corpus during the Civil War — a unilateral move done for the good of the country.

    Paul Krugman loved Obama’s fiery press conference yesterday, and said the 14th Amendment route was the likely step forward: “Let the GOP go ahead and try to impeach: the whole world knows who’s intransigent here.”

    The official position of the administration is that the 14th Amendment is not an option — Obama said so just yesterday at a town hall meeting.

    Probably the most famous rebuttal comes from liberal law professor Lawrence Tribe, who wrote earlier in the NYT that this was not an option.

    The Constitution grants only Congress — not the president — the power “to borrow money on the credit of the United States.” Nothing in the 14th Amendment or in any other constitutional provision suggests that the president may usurp legislative power to prevent a violation of the Constitution. Moreover, it is well established that the president’s power drops to what Justice Robert H. Jackson called its “lowest ebb” when exercised against the express will of Congress.

    And there’s also the question: If a country is issuing bonds under dubious legality, who would buy them?

    Read more: http://www.businessinsider.com/liberals-call-on-obama-to-raise-the-debt-ceiling-unilaterally-2011-7#ixzz1SxHbLJ5Z

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  9. Odnamra says:

    NWO…this diversion is for the sleeping masses…Henry Kissinger lays it out on Charlie Rose…read between the lines…Stay awake people…God speed…

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    • Odnamra, you nailed it my friend! I agree…God Bless

      What’s happening around the world now is just a simple cake walk, compared to the HELL that’s soon coming.
      Peace in Christ
      Shellee

      Like

  10. luisport says:

    Democrats and Republicans were deep in crisis talks Sunday on painful cuts in U.S. government spending as the price for extending the country’s borrowing limit and avoiding catastrophic default, but each side was sticking to positions unacceptable to the other with time running out before an Aug. 2 deadline.
    House Speaker John Boehner, the top Republican in the lower chamber, said he is working with his members on a two-part plan to raise the debt limit. President Barack Obama and the Democrats insist that any plan must raise the borrowing limit enough to keep the issue off the agenda until after the 2012 election.

    Obama’s chief of staff, Bill Daley, answered emphatically “Yes,” when he was asked on a Sunday television news program if the president would still refuse to sign a short-term debt limit extension.

    Shortly thereafter, Republican Sen. Tom Coburn said that was “a ridiculous position because that’s what he’s going to get presented with.”

    Congressional and Obama administration officials were hoping to announce a framework for an agreement by 4 p.m. EDT (2000 GMT) Sunday. That is before the Asian financial markets open.

    The stakes are high. Major global credit ratings agencies have threatened to downgrade the U.S. government’s triple-A credit rating unless there are assurances that the United States will not go into default for the first time in its history. A default would mean that the U.S. government could not pay all its bills starting next month, including interest and principal on Treasury bonds, Social Security checks to retirees, and payments to government contractors.

    That would raise the cost of U.S. government borrowing. Americans seeking home mortgage or car loans would see interest rates climb as would people with outstanding credit card balances

    More at link:

    http://www.taiwannews.com.tw/etn/news_content.php?id=1662105

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  11. luisport says:

    Treasury Secretary Tim Geithner confirmed Sunday morning to ABC News that President Barack Obama and Speaker of the House John Boehner are still negotiating a “grand bargain” after Friday’s highly public breakdown in talks.

    The $3 trillion deficit reduction deal — including $800 billion in new revenues — remains on the table, despite Boehner’s simultaneous effort to negotiate a separate deal in Congress, and without Obama.

    On CNN State of the Union, Geithner said he sees two paths to raising the debt ceiling, the Obama-Boehner “grand bargain,” or the “last ditch” McConnell-Reid proposal. He added that “both sides are getting a lot closer on … the tough choices,” particularly their commitment to preventing default.

    He added that “inevitably we will do [deficit reduction] in two stages,” but said Obama would only accept a single vote to raise the debt limit.

    On Fox News Sunday, Boehner said he prefers a bipartisan plan to raise the debt limit, saying it is going to be a two-stage process.

    “The preferable path would be a bipartisan plan that involves all the leaders, but it’s too early to decide whether that’s possible,” he said. “This is about what is doable in the 11th hour.”

    He added that if there is no bipartisan deal, he and House Republicans are prepared to act on their own. “I’m going to do my best .. to put a framework out there today,” he said.

    Boehner said he agreed to the $800 billion in new revenues, adding that “my last offer is still out there,” but “it may be pretty hard to put Humpty Dumpty back together again.”

    On NBC’s Meet the Press, White House Chief of Staff Bill Daley said there is “no question” damage has already been done to U.S. Fiscal reputation because of debt stand off.

    On Fox News Sunday Geithner refused to comment on his plans for after the August 2nd deadline, saying “we do not have the ability to protect the American people from the consequences” if the debt limit isn’t raised.

    Read more: http://www.businessinsider.com/geithner-obama-and-boehner-still-negotiating-grand-bargain-2011-7#ixzz1T30evg8c

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  12. luisport says:

    IT’S OFFICIAL: Just heard on Fox News that Boehner said NO DEAL today!!!

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    • NickK0 says:

      THERE WE GO now !!

      I wonder if the Cats and Dogs ( Democrats and Republicans ) will finally come to an agreement on something, after the Asian markets plummet on Monday and the investors start DUMPING their holdings in Dollars, en masse.

      Not that it will matter anyway. 😦

      – Nick

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