From the October 18, 2013 Washington Times:
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.Fortunately, President Obama gave a press conference a couple of weeks back where he explained:
The debt now equals $17.075 trillion, according to figures the Treasury Department posted online on Friday.
Read more: http://www.washingtontimes.com/news/2013/oct/18/us-debt-jumps-400-billion-tops-17-trillion-first-t/#ixzz2i6kl1GUd Follow us: @washtimes on Twitter
AND BECAUSE IT AIS CALLED RAISING THE DEBT CEILING AMERICANS THINK IT IS RAISING OUR DEBT.
IT IS NOT.
IT DOES NOT ADD A DIME TO OUR DEBT.No, not at all.
This country is headed down the tubes, fast. I am really beginning to wonder if moving somewhere else might be wise. If I am going to live in a Third World country, can I at least get Third World cost of living?
According to the Economist, all autumn "the Treasury Department has been using accounting tricks such as delaying contributions to the retirement funds of federal workers to pay the government’s bills.". Some of their tools are listed in this document:
ReplyDeletehttp://www.cbo.gov/publication/44324
...and it looks like we really exceeded the debt ceiling in May, but the tricks allowed the reckoning to be delayed until now.
The treasury will now want to keep payments on all their liabilities current so they have the same leeway leading up to the January debt crisis.
Also, the vast majority of the debt that comes due just gets rolled over, but because many of the things the administration was doing or saying had the effect of creating a false scare about default, global investors have been scared and some of that debt may not just roll over as before. Without that rollover, in order to have the maintain the status quo, we pay off the old bondholders and must issue new debt.
I'm reading and researching the expat options already. I think, though, if the US collapses, it will get really ugly elsewhere, too.
ReplyDeleteAt least in one way, it's good to be 80.
ReplyDeleteI hear Panama is good.
ReplyDeleteYou know Clayton, you are in a good place. I think Idaho will defacto secede. Remember for the Federal government to exist it has to enforce federal law.
That would be very tough in Idaho.
A lot of Americans and Europeans retire in Costa Rica. climate is awesome, pretty stable economy and polity, and gorgeous scenery. Panama has good reports also.
ReplyDeleteAre there any places freer, or more gun friendly that Red States in the USA?
ReplyDelete$370 billion in "accounting tricks"? BS.
ReplyDeleteI think the Federal Reserve was floating Treasury off the books.