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Keyword: debt

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  • China State Official Hints Beijing May Bailout Greece

    07/03/2015 6:57:07 AM PDT · by SeekAndFind · 11 replies
    Zero Hedge ^ | 07/03/2015 | Tyler Durden
    On Monday, after Greek PM Alexis Tsipras’ dramatic referendum call sparked a run on Greek ATMs, grocery stores, and gas stations, we did our part to help ameliorate the situation by sending a subtle message to Athens: Dear Greece, if you want to apply for a loan from the Asian Infrastructure Investment Bank, send an email to: information@aiibank.org— zerohedge (@zerohedge) June 28, 2015 Indeed, now may be an opportune time to tap Beijing for a few billion given that China officially launched the AIIB this week. As a reminder, the success of China’s AIIB membership drive was a political disaster...
  • Greek debt crisis: Major rallies due ahead of vote

    07/02/2015 9:55:37 PM PDT · by BenLurkin · 7 replies
    BBC ^ | 46 minutes ago
    Divisions in Greece have sharpened ahead of the vote. One poll cited by euro2day.gr said 47% of people were leaning toward a "Yes" vote, with the "No" camp at 43%. A previous poll suggested the "No" camp had a shrinking lead. Mr Tsipras has said that a strong "No" vote will help lead to a "better agreement" with creditors. "Our efforts are focused on overcoming the crisis as fast as possible, with a solution that preserves the dignity and sovereignty of our people,'' he said. But EU leaders have warned that a "No" vote on Sunday may see Greece leave...
  • The Greeks Invented Mathematics, and Now It’s Bankrupting Them

    07/02/2015 7:39:59 AM PDT · by SeekAndFind · 23 replies
    National Review ^ | 07/02/2015 | Kevin Williamson
    In the short term, the world runs on words; in the long term, the world runs on numbers. It is as though the Muses came to an agreement: In the here and now, mankind is subject to rhetoric, but mathematics gets the final say. In Athens, in San Juan, in Detroit, in Sacramento, in Springfield, and, soon enough, in Washington, Mathematics is arousing herself from her torpor, and she is cranky as hell. The long term is here. Greece has defaulted on its sovereign debt, and its banks have been shut down. Television viewers accustomed to watching a few odd...
  • How will the National Socialist Left’s excuse the failure of socialism in Greece?

    07/01/2015 2:37:24 PM PDT · by Voice of Reason1 · 37 replies
    It’s axiomatic that when a socialist regime hits the skids, the left will generally try to claim that such regime is ‘right wing’ somehow. Such claims can and will be completely irrational on their face, but for the national socialist Left it’s all about talking points and a simplistic ( but ‘superior’) mentality that favors headlines and shallow thought on the subject And before you complain that I dare use the word ‘national’ next to the word ‘socialist’ I would ask that you please explain in detail (with documentation) Just how in Hades’ the word national modifies the meaning of...
  • U.S. debt headed toward Greek levels [Psalms 9:17]

    07/01/2015 9:11:48 AM PDT · by Jan_Sobieski · 10 replies
    Washington Examiner ^ | 6/30/2015 | Jason Russell
    United States' projected debt over the next 25 years looks a lot like Greece's over the past 25. With all the chaos unravelling in Greece, Congress would be wise to do what it takes to avoid reaching Greek debt levels. But it's not a matter of sticking to the status quo and avoiding bad decisions that would put the budget on a Greek-like path, because the budget is on that path already. A quarter-century ago, Greek debt levels were roughly 75 percent of Greece's economy — about equal to what the U.S. has now. As of 2014, Greek debt...
  • Greek Debt Crisis: How Goldman Sachs Helped Greece to Mask its True Debt

    07/01/2015 7:45:42 AM PDT · by SeekAndFind · 8 replies
    Der Spiegel ^ | 02/08/2010 | By Beat Balzli
    Goldman Sachs helped the Greek government to mask the true extent of its deficit with the help of a derivatives deal that legally circumvented the EU Maastricht deficit rules. At some point the so-called cross currency swaps will mature, and swell the country's already bloated deficit. Greeks aren't very welcome in the Rue Alphones Weicker in Luxembourg. It's home to Eurostat, the European Union's statistical office. The number crunchers there are deeply annoyed with Athens. Investigative reports state that important data "cannot be confirmed" or has been requested but "not received." Creative accounting took priority when it came to totting...
  • Puerto Rico's Financial Crisis Is U.S.' Crisis, Too

    07/01/2015 6:33:34 AM PDT · by SeekAndFind · 14 replies
    IBD ^ | 07/01/2015
    With the financial world transfixed by Greece's debt-driven meltdown, Puerto Rico announces it can't pay its $73 billion in debt. Once again, we're learning that welfare statism is no replacement for fiscal responsibility. Compared to Greece's $353 billion in debt, Puerto Rico's $73 billion doesn't sound so big. On a per capita basis, it's about a third less. But appearances deceive. Puerto Rico is in deep, owing actually much more than that amount. We learned this after a report on Monday, co-authored by former International Monetary Fund No. 2 Anne Krueger, revealed the island's finances are a shambles. The devastating...
  • Glastonbury comes to Greece: festival-like atmosphere at huge anti-bailout protest

    06/30/2015 4:51:20 PM PDT · by familyop · 11 replies
    The Telegraph ^ | 30 Jun 2015 | Colin Freeman
    Rally in downtown Athens has live music, speeches - and "solidarity from the people of Carlisle"...Just like an outdoor summer festival, there were huge crowds, live bands, and the occasional whiff of marijuana...Instead, with the music, food stalls and smattering of ageing hippies, the only thing that made it different from last weekend's Glastonbury festival was that the weather was better... However, as with Glastonbury, not everyone paid close attention to the headline acts. Some focused on the side-shows, such as stalls set up by Greece's myriad other radical groups, who think even Syriza represents a sell-out. The Greek Socialist...
  • Bailouts, Bail-ins, and the Greeks’ Trojan Horse

    06/29/2015 12:59:47 PM PDT · by Sean_Anthony · 3 replies
    Canada Free Press ^ | 06/29/15 | Dr. Ileana Johnson Paugh
    The Greek market may be shocked and defaults of various debt instruments may emerge. While Americans are eagerly signing petitions to ban the American flag on the heels of Louis Farrakhan’s Nation of Islam leader call to ban the Stars and Stripes “due to its links to racism” or are busily banning anything attached in any way to the Confederate flag and our history, the United States and the world are in serious financial trouble driven by out-of-control debt, particularly the most visible nation of all, Greece. Healthcare for illegals, gay marriage, and other non-stop crises occupy American overwhelmed minds,...
  • It's Not Politics, It's Math

    06/29/2015 11:19:04 AM PDT · by SatinDoll · 15 replies
    The Market-Ticker ^ | June 29, 2015 | Karl Denninger
    No, really? (smiley face) “The debt is not payable,” Mr. García Padilla said. “There is no other option. I would love to have an easier option. This is not politics, this is math.” Well I'll be damned. On the other side of the table, of course, are hedge funds that bought the debt when Puerto Rico got in trouble at a deep discount and expect 100 cents on the dollar. They're not inclined to bargain, and will now (of course) look to the government to hand them a gun to use on Padilla. Unfortunately that doesn't change the math either....
  • Unpaid Internships Are Worth it: Suck it Up Millennials

    06/29/2015 7:50:18 AM PDT · by Kaslin · 28 replies
    Townhall.com ^ | June 29, 2015 | Kristan Hawkins
    A die-hard Hillary Clinton supporter – a young, female Millennial – recently applied to be a fellow with the campaign and was accepted. However, she was asked to move out of state and work for free. It was hard not to laugh at her over-the-top, entitled millennial reaction published in USA Today: “Finding out that Hillary perpetuates the exploitation known as unpaid internships was like discovering that Santa wasn't real.” Poor baby. Millennials are in a tough position right now. They are hard pressed to find work, with 14% of them unemployed, others barely able to make it on a...
  • Puerto Rico now belongs to Wall Street [Governor Admits Debts Cannot be Paid]

    06/29/2015 9:27:01 AM PDT · by SeekAndFind · 33 replies
    Business Insider ^ | 06/29/2015 | LINETTE LOPEZ AND SHANE FERRO
    The governor of Puerto Rico has admitted that it can't keep paying down the over $72 billion worth of public debt obligations. As a result, it finds itself in a uniquely awful position. It can't go into bankruptcy according to its own laws, so now it has to deal exclusively with its creditors to restructure its debt. That means it has to deal with Wall Street. "I think the surprise was that it happened this quickly," said Brian Kelly, CEO of Connecticut-based fund Brian Kelly Capital. "We thought it would take 6 months to a year... the solution is a...
  • If you like the Greek debt crisis, you'll love the Puerto Rico meltdown

    06/29/2015 6:43:57 AM PDT · by SeekAndFind · 32 replies
    American Thinker ^ | 06/29/2015 | Rick Moran
    The governor of Puerto Rico told the New York Times that the island cannot pay back it's $72 billion debt and will seek permission from its creditors to defer payments. The news precedes an address by Governor Alejandro Garcia to the Puerto Rican legislature, where he will unveil a budget that cuts about $670 million from a $9.8 billion budget, while setting aside another $1.5 billion to pay the debt. Fox News: Gov. Alejandro Garcia Padilla's spokesman, Jesus Manuel Ortiz, confirmed that the island's government is seeking to defer payments while negotiating with creditors. He confirmed comments by Garcia that appeared...
  • The sooner Greece defaults and dumps the Euro the better

    06/28/2015 6:46:15 PM PDT · by Tolerance Sucks Rocks · 17 replies
    The Washington Times ^ | June 26, 2015 | Peter Morici
    <p>Greece and its principal creditors—the European Union, European Central Bank and International Monetary Fund—should acknowledge that Athens will never be able to repay the €131 billion it owes, write down its debt and let the Aegean nation exit the euro gracefully.</p>
  • Puerto Rico’s Governor Says Island’s Debts Are ‘Not Payable’

    06/28/2015 6:37:41 PM PDT · by tcrlaf · 48 replies
    NYTimes ^ | 6-28-2015 | MICHAEL CORKERY and MARY WILLIAMS WALSH
    Puerto Rico’s governor, saying he needs to pull the island out of a “death spiral,” has concluded that the commonwealth cannot pay its roughly $72 billion in debts, an admission that will probably have wide-reaching financial repercussions. The governor, Alejandro García Padilla, and senior members of his staff said in an interview last week that they would probably seek significant concessions from as many as all of the island’s creditors, which could include deferring some debt payments for as long as five years or extending the timetable for repayment. “The debt is not payable,” Mr. García Padilla said. “There is...
  • Ignoring Tsipras Plea For Calm, Greeks Storm ATMs, Stores, Gas Stations

    06/28/2015 2:18:22 PM PDT · by tcrlaf · 66 replies
    Zerohedge ^ | 6-28-2015 | Durden
    Just a few hours ago Greek PM Tsipras addressed his nation imploring then to "remain calm" and reassuring them that their "deposits were safe." It appears the Greeks did not believe him. Many were wondering where the Greek bank lines were for the past several months. Turns out the local depositors were merely waiting until just after the last minute to withdraw their funds... horde gas... and stack food. Greece, it appears is Venezuela - the new socialist paradise. Keep Calm...
  • 5 Mistakes That Will Lead To The Fall of America

    06/27/2015 6:15:27 AM PDT · by Kaslin · 50 replies
    Townhall.com ^ | June 27, 2015 | John Hawkins
    Thousands of years after the Roman Empire fell, people are still speculating about how such a powerful empire became too feeble to defend itself. Did it become corrupt? Was its taxes too high? Was it widespread lead poisoning? The refusal to break up tribes it assimilated? Was it the loss of traditional values? Did it over-expand? There are all sorts of theories, but nobody really knows. However, if American falls, historians won’t have to speculate because the problems that are destroying our country are right there for anyone to see. You want to know how to break the greatest nation...
  • Fiscal Hawk Obama Worried The National Debt Will Increase If ObamaCare Is Repealed

    06/23/2015 2:00:21 PM PDT · by Cheerio · 11 replies
    PJ Media ^ | June 22, 2015 | Debra Heine:
    Did you know that the national debt could skyrocket if fiscally irresponsible Republicans decide to repeal ObamaCare? President Barack Obama, sounding a bit like a member of the Tea Party on Twitter Monday, warned that the national debt could increase by $137 billion if his signature achievement is repealed. This marks the first time Obama has ever shown concern about the national debt — which has exploded under his stewardship:The United States’ national debt has now passed the $18 trillion mark and is up by a whopping 70 percent since President Obama took office.
  • College Loans: Liberals Now Think It’s ‘Predatory’ to Expect Borrowers to Repay Taxpayers

    06/23/2015 7:07:02 AM PDT · by SeekAndFind · 18 replies
    National Review ^ | 06/23/2015 | by FREDERICK M. HESS
    That didn’t take long. Earlier this month, in reference to the Department of Education’s $3.5 billion bailout for Corinthian College students, I observed at NRO, “What’s especially worrisome here is the frontal attack the administration is mounting on notions of students’ responsibility.” The fear was that sensible attention to student debt would change into an excuse for borrowers to default and stick taxpayers with the tab. That moment has already arrived. Just last week, the Consumer Financial Protection Bureau issued a report that found that co-signers have a rough time getting released from their promises to repay private student loans....
  • Puerto Rico is America’s Greece

    06/23/2015 4:41:20 AM PDT · by SeekAndFind · 9 replies
    Washington Times ^ | 06/23/2015 | By Richard W. Rahn
    Like Greece, the Puerto Rican government has more debt than it can service, and some are calling for a bailout by U.S. taxpayers. The major Puerto Rican state-owned or controlled enterprises are all losing money, including the power authority which is insolvent. Puerto Rico is an American territory that was acquired from Spain in 1898 during the Spanish-American War. The island has a population of about 3.6 million, which is declining as many Puerto Ricans emigrate to the U.S. mainland or elsewhere because of the continuing economic stagnation. Puerto Ricans are American citizens, but their per capita income is about...
  • Living in Detroit Surprisingly expensive

    06/19/2015 2:15:44 AM PDT · by Cronos · 23 replies
    The Economist ^ | 4 Feb 2015 | DK
    DETROIT may be one of the only cities in the rich world where it is possible for someone on a fairly modest income to buy a street. At the edges of Boston-Edison, a historic district of gorgeous old houses built as one of the city’s first wealthy suburbs, so low has the cost of housing fallen that fairly grand houses can be acquired simply for the cost of back property taxes. ..Chief among the costs that are higher in Detroit is transport. One of the reasons people who live in Manhattan don’t mind paying so much for housing is that...
  • We Might As Well Face It – America Is Addicted To Debt

    06/18/2015 10:36:21 AM PDT · by SeekAndFind · 13 replies
    TEC ^ | 06/18/2015 | Michael Snyder
    Corporations, individuals and the federal government continue to rack up debt at a rate that is far faster than the overall rate of economic growth. We are literally drowning in red ink from sea to shining sea, and yet we just can’t help ourselves. Consumer credit has doubled since the year 2000. Student loan debt has doubled over the course of the past decade. Business debt has doubled since 2006. And of course the debt of the federal government has doubled since 2007. Anyone that believes that this is “sustainable” in any way, shape or form is crazy. We have...
  • 90 Days: Treasury Says Debt Has Been Frozen at $18,112,975,000,000

    06/15/2015 10:19:03 AM PDT · by SaveFerris · 39 replies
    CNSNews.com ^ | June 15, 2015 | 12:48 PM EDT | Terence P. Jeffrey
    (CNSNews.com) - The portion of the federal debt that is subject to a legal limit set by Congress closed Thursday, June 11, at $18,112,975,000,000, according to the latest Daily Treasury Statement, which was published at 4:00 p.m. on Friday. That, according to the Treasury's statements, makes 90 straight days the debt subject to the limit has been frozen at $18,112,975,000,000. $18,112,975,000,000 is about $25 million below the current legal debt limit of $18,113,000,080,959.35.
  • 'Drive-By' Default: Lee Siegel's Poor Financial Advice

    06/15/2015 6:45:10 AM PDT · by DWW1990 · 5 replies
    American Thinker ^ | June 15, 2015 | Trevor Thomas
    Chalk this one up to yet another New York Times liberal who wants others to pay his bills. (Paul Krugman must be proud.) On the 71st anniversary of what some considered the most important day of the twentieth century, a day where thousands of men, for the sake of others, paid with all that they had, the opinion pages of the New York Times ran the “brave” piece, “Why I Defaulted on My Student Loans.” (I suppose the author will receive the Bruce Jenner award for courage.)
  • The intangible value of a college education

    06/13/2015 5:32:07 AM PDT · by TurboZamboni · 26 replies
    Oakland Press ^ | 6-9-15 | Hunter Rawlings
    Pick up any paper or magazine, and you’re likely to see a front-page article on college: It costs too much, spawns too much debt is or isn’t worth it. I entered academia 52 years ago as a student of Latin and Greek expecting to enter a placid sector of American life, and now find my chosen profession at the center of a media maelstrom. With college replacing high school as the required ticket for a career, what used to be a quiet corner is now a favorite target of policymakers and pundits. Unfortunately, most commentary on the value of college...
  • Reforming anti-poverty programs: Results and data matter

    06/11/2015 5:06:13 AM PDT · by TurboZamboni · 5 replies
    Washington Post ^ | 6-7-15 | Jennifer Rubin
    The U.S. and other wealthy nations have spent trillions of dollars over the past half-century trying to lift the world’s poorest people out of penury, with largely disappointing results. In 1966, shortly after President Lyndon B. Johnson declared war on poverty, 14.7% of Americans were poor, under the official definition of the U.S. Census Bureau. In 2013, 14.5% of Americans were poor. Finally, after decades of failure there is a movement afoot to launch “a new generation of experimental programs focusing not on large-scale social support and development but on helping the poor and indebted to save more, live better...
  • Government plans to erase student debt for Corinthian students

    06/09/2015 6:00:07 AM PDT · by TurboZamboni · 10 replies
    Pioneer Press ^ | 6-8-15 | Anne Flaherty
    The federal government will erase much of the debt of students who attended the now-defunct Corinthian Colleges, officials announced Monday, as part of a new plan that could cost taxpayers as much as $3.6 billion. Corinthian Colleges was one of the largest for-profit schools when it nearly collapsed last year and became a symbol of fraud in the world of higher education and student loans. According to investigators, Corinthian schools charged exorbitant fees, lied about job prospects for its graduates and, in some cases, encouraged students to lie about their circumstances to get more federal aid. In a plan orchestrated...
  • In their universe, a costly train is success

    06/03/2015 6:39:35 AM PDT · by TurboZamboni · 14 replies
    Pioneer Press ^ | 6-3-15 | Joe Soucheray
    The political class -- they build themselves new office buildings and such -- live in a different universe from the rest of us, and the rest of us are getting routinely pickpocketed. No greater proof of this truth exists than the remarks of St. Paul's own City Council Member Dave Thune last week after Metro Transit released the financial figures for the first six months of the Green Line. Passengers boarding the Green Line from its debut in June, 2014 through the end of the year paid $6.21 million into the farebox, or about 35.8 percent of what it costs...
  • Millies

    06/01/2015 8:30:04 AM PDT · by Sean_Anthony · 7 replies
    Canada Free Press ^ | 06/01/15 | Michael Obrendorf
    Half of the Millies are out of work and up to their eyebrows in student loan debt, Millies Millenials—people born between 1980 and 2000—have become a hot topic for politicos, economists, marketers, the “mainstream” media (read: Leftist Democrat Propaganda Machine) and a host of others in recent months. It’s estimated that there are about 80 million of these Millies in the U.S., a pretty hefty demographic comprising about a third of our population. Though the 2016 elections are nearly a year-and-a-half away, this significant bloc of potential voters is being looked at with increasing interest—more like with drooling jowls -...
  • Green Line's $6.21M in 2014 fares pay 35.8 percent of expenses

    05/29/2015 6:16:02 AM PDT · by TurboZamboni · 17 replies
    Pioneer Press ^ | 5-28-15 | Fredrick Melo
    While Metro Transit's Green Line isn't exactly paying for itself through passenger fares, it's doing a better job than most other Minnesota public transit options. Passengers boarding the state's second light-rail line from its debut in June through the end of 2014 paid $6.21 million into the fare box, or about 35.8 percent of what it costs to operate the 11-mile route. "I think 35 percent is a really good percentage," said St. Paul City Council member Dave Thune. "I love it. I think it has been a success. The kind of traffic it's seeing, going from one end of...
  • Fed’s Bullard says he now favors targeting nominal GDP

    05/28/2015 10:12:50 AM PDT · by Oldeconomybuyer · 2 replies
    Market Watch ^ | May 28, 2015 | By Greg Robb
    The uneven results of the Federal Reserve’s monetary policy since the financial crisis should cause new thinking about how to conduct interest rate policy, said St. Louis Fed President James Bullard on Thursday in advocating for a new, controversial target. Standard economic theory predicted that the Fed’s decision to leave rates at zero and buy trillions of dollars of bonds would result in a consumption boom and above-average inflation, but that has not happened, sending economists back to the drawing board. Under Bullard’s proposal, the Fed would set an overall inflation target. In good times, the central bank would keep...
  • Poroshenko Signs Moratorium on Foreign Debt Repayment (Ukraine)

    05/28/2015 9:21:20 AM PDT · by tcrlaf · 1 replies
    Sputnik ^ | 5-28-2015 | Sputnik
    Ukrainian President Petro Poroshenko has signed a law allowing Ukraine to impose a moratorium on repayment of its foreign debt until at least July 2016, a press release on Poroshenko's official website said Thursday. The Ukrainian parliament approved the bill, which could affect repayment of the country's $3-billion debt to Russia on May 19. Russian President Vladimir Putin said earlier the bill de facto was an announcement of a default, casting a negative light on the professionalism of Ukraine's leadership. Moreover, Russian Finance Minister Anton Siluanov said that Moscow would turn to an international court if the Ukrainian president signed...
  • The world is drowning in debt warns Goldman Sachs

    05/26/2015 3:46:19 PM PDT · by concernedcitizen76 · 31 replies
    UK Telegraph ^ | May 26, 2015 | Szu Ping Chan
    The world is sinking under too much debt and an ageing global population means countries' debt piles are in danger of growing out of control, the European chief executive of Goldman Sachs Asset Management has warned. Andrew Wilson, head of Europe, Middle East and Africa (EMEA), said growing debt piles around the world posed one of the biggest threats to the global economy.
  • It Is Mathematically Impossible To Pay Off All Of Our Debt

    05/22/2015 5:14:38 PM PDT · by fhayek · 133 replies
    Zero Hedge ^ | 5/22/15 | Michael Snyder/Tyler Durden
    Did you know that if you took every single penny away from everyone in the United States that it still would not be enough to pay off the national debt? Today, the debt of the federal government exceeds $145,000 per household, and it is getting worse with each passing year. Many believe that if we paid it off a little bit at a time that we could eventually pay it all off, but as you will see below that isn’t going to work either. It has been projected that “mandatory” federal spending on programs such as Social Security, Medicaid and...
  • Teen Genius Solves College Loan Conundrum that So Baffles President Obama

    05/22/2015 12:03:53 PM PDT · by SeekAndFind · 27 replies
    Townhall ^ | 05/22/2015 | Charlotte Hays
    A brilliant young man has single-handedly solved the problem of college loan debt. It was a daringly simple maneuver! Tennessee high school senior Ronald Nelson, Jr., who is a National Merit Scholar, star athlete, sax player, SAT high scorer, and student body president, turned down acceptances from eight Ivy League colleges and will instead attend the University of Alabama this fall. Young Ronald seems to have absorbed at an early age a lesson that eludes many youths (and those who have long since left youth behind): avoid going head over heels in debt. This is not to denigrate an Ivy...
  • Senate Democrats Demand More Money for Amtrak Repair Backlog

    05/21/2015 11:15:54 AM PDT · by Oldeconomybuyer · 20 replies
    ABC News ^ | May 21, 2015 | By JOAN LOWY
    Senate Democrats on Thursday demanded that Republicans provide more money for Amtrak so the railroad can tackle a $21 billion maintenance and repair backlog, including replacing tunnels more than a century old. Democrats at a news conference cited last week's deadly crash in Philadelphia and said the backlog is compromising safety and service. Democrats want to Congress to give Amtrak the entire $2 billion in subsidies the railroad requested for the budget year that starts Oct. 1. They say GOP lawmakers have starved the railroad financially for years. A Republican-controlled House panel approved a spending bill the day after the...
  • My 2015 Commencement Address

    05/17/2015 9:42:53 AM PDT · by Sean_Anthony · 1 replies
    Canada Free Press ^ | 05/17/15 | Al Caruba
    The best I can do is to wish you good luck. You’re going to need it. All manner of people are giving commencement speeches to students graduating from colleges and universities these days. It is doubtful that any will be remembered because the prospects of students depend in large part on the economy into which they are entering, the majors they pursued, their individual ambitions, and capacity for hard work. Then, too, there’s dumb luck which often plays a role. For those graduating this year, my profound sympathy because the economy could not be much worse short of being declared...
  • FOREIGN OWNERSHIP OF US DEBT RISES; CHINA RECLAIMS TOP SPOT

    05/16/2015 5:28:04 AM PDT · by 9thLife · 16 replies
    AP ^ | May 15, 4:26 PM EDT | BY CHRISTOPHER S. RUGABER
    WASHINGTON (AP) -- Foreign holdings of U.S. debt rose in March as China ramped up its purchases and displaced Japan as the leading owner of U.S. Treasury securities. The Treasury Department says overseas ownership of U.S. debt rose 2.1 percent in March to $6.18 trillion. That is below January's record of $6.22 trillion. China added $37.3 billion ... bringing its stockpile to $1.26 trillion... ahead of Japan, which added just $2.5 billion...to $1.23 trillion. ... The U.S. deficit topped $1 trillion from 2009 through 2012. Foreign governments...account for two-thirds of the foreign holdings...rose 1 percent from the previous month to...
  • Fed said to have emergency plan to intervene if U.S. defaulted on debt

    05/12/2015 1:12:16 PM PDT · by Citizen Zed · 26 replies
    Reuters ^ | 5-11-2015 | Sarah N. Lynch and Jason Lange
    The Federal Reserve drew up extensive plans for handling a U.S. debt default that included scheduling deferred payments and lending cash to investors, according to a lawmaker who cited Fed documents. America courted disaster in 2011 and 2013 when political fights over the national debt nearly left the federal government unable to pay its bills. Analysts and officials warned that missing payments could lead to economic calamity, and details have only slowly emerged over how financial officials braced for the unthinkable. In a June 2014 letter to Treasury Secretary Jack Lew seen by Reuters on Monday, Republican Representative Jeb Hensarling...
  • A Generational Storm Is Coming

    05/13/2015 8:40:08 AM PDT · by all the best · 11 replies
    Bonner & Partners ^ | May 12, 2015 | Bill Bonner
    Yesterday, we began our high-minded graduation speech to the Class of 2015. We explained how the young graduates were not only the most heavily indebted in history, but also the least likely to be able to pay their debts. Median wages have been going down since these graduates were about five years old… So have economic growth rates. Today, we continue the speech no one wants us to give… You are heirs to claptrap, nonsense, bogus theories, and trillions of dollars in debt. The systems, programs, and institutions your parents set up are mostly worthless scams. Worse, they produce outcomes...
  • Exclusive: Greece taps IMF reserves to pay IMF debt - sources

    05/12/2015 10:07:37 AM PDT · by tcrlaf · 8 replies
    Yahoo News ^ | 5-12-2015 | Lefteris Papadimas and George Georgiopoulos
    Greece emptied an IMF holding account to repay 750 million euros ($840 million) due to the fund, a Greek central bank official said, avoiding default but underscoring the dire state of the country's finances. With Athens close to running out of cash and a deal with its international creditors still elusive, there had been doubts about whether the leftist-led government would pay the IMF or opt to save cash to pay salaries and pensions later this month. Greece, like all other International Monetary Fund members, holds reserves from the IMF that are denominated in Special Drawing Rights (SDR), a basket...
  • Harvard, Dartmouth: Social Security forecasts have been too optimistic — and increasingly biased

    05/09/2015 2:14:24 PM PDT · by T Ruth · 26 replies
    Hot Air ^ | May 9, 2015 | Ed Morrissey
    [snip] Studies from Harvard and Dartmouth this week corroborate Bush’s warnings on Social Security, and further accuse the SSA of increasing bias in its analyses in order to maintain the illusion of a slower decline: [snip] researchers find that the SSA’s actuarial forecasts have been consistently overstating the financial health of the program’s trust funds since 2000. “These biases are getting bigger and they are substantial,” said Gary King, co-author of the studies and director of Harvard’s Institute for Quantitative Social Science. “[Social Security] is going to be insolvent before everyone thinks.” … Researchers examined forecasts published in the annual...
  • Plenty of ideas would trump that $2 billion train

    05/04/2015 6:29:56 AM PDT · by TurboZamboni · 10 replies
    Pioneer Press ^ | 4-28-15 | Joe Soucheray
    As recently as 2010, the estimated cost for the Southwest Light Rail Transit line was estimated to be $1.2 billion, or about the cost of a new football stadium. Then the cost jumped to $1.7 billion because somebody spun the magic wheel. Now the cost is projected to be $2 billion. OK, $1.994 billion, but if they find an endangered earthworm or an especially exotic cattail, all bets are off and the project will shoot over $2 billion in a European minute, for the Metropolitan Council loves to keep playing Europe. The train stops are called Royalston, West Lake, Blake...
  • Low Oil Prices Could Destabilize Financial System

    04/30/2015 12:06:48 PM PDT · by Opintel · 12 replies
    Oilprice.com ^ | 30-04-2015 | Mark Rutte
    Could the rising levels of debt in the oil industry contribute to destabilization in the financial system? The collapse in oil prices has forced drillers to turn to debt markets to keep their operations going. According to the Wall Street Journal, there has been $86.8 billion in new debt issued so far in 2015, a 10 percent increase over last year. But that trend is not necessarily new. The oil industry has relied on debt for quite some time, but the dramatic fall in oil prices has put a bright spotlight on the practice. The Bank for International Settlements concluded...
  • A Mathematics and History Lesson for Conservative Candidates for President

    04/28/2015 9:54:19 AM PDT · by Sean_Anthony · 11 replies
    Canada Free Press ^ | 04/28/15 | Dale Summitt
    From liberal Democrats and the radical left, the mindset of tax, borrow and spend has been their legacy throughout American history It was 1963, and I was a 16 year old high school junior, sitting attentively in an American History class, when our history teacher informed us that the national debt was 311.6 billion dollars. Being good at math even then, it was not difficult, knowing the population stood at about 180 million in 1963, that the debt amount to approximately 1600.00 for every adult and minor child in America. My reaction, even at age 16, was one of concern...
  • Oil-Industry Debt Mounts Up

    04/28/2015 6:17:41 AM PDT · by thackney · 12 replies
    Wall Street Journal ^ | April 27, 2015 | ERIC YEP And FIONA LAW
    Oil and gas companies are continuing to pile up debt, a trend some warn could extend the slump in energy prices and hit economies reliant on the sector for growth and tax revenue. Both independent and state-owned companies are involved in the borrowing bonanza, issuing $86.8 billion worth of bonds in dollars, euros and yen globally this year, up 10% from the same period in 2014, according to Dealogic, a data-tracking company. The rise is largely due to a high number of bond sales in Europe, the Middle East and Africa, and in the U.S., where both Exxon Mobil Corp....
  • Greece's Piraeus Bank offers relief to poverty-stricken borrowers (writes off debt)

    04/23/2015 6:41:40 PM PDT · by dynachrome · 5 replies
    Reuters ^ | 4-23-15 | George Georgiopoulos
    Piraeus Bank will write off credit cards and retail loans up to 20,000 euros ($21,484) for Greeks who qualify for help under a law the leftist government passed to provide relief to poverty-stricken borrowers, it said on Thursday.
  • Puerto Rico officials: Our government is likely to shut down and it will be devastating

    04/23/2015 7:58:50 AM PDT · by SeekAndFind · 38 replies
    Business Insider ^ | 04/23/2015 | EDWARD KRUDY, REUTERS
    Puerto Rico's top finance officials said the government of the US territory will most likely shut down in three months because of a looming liquidity crisis, and they warned of a devastating impact on the island's economy. In a letter to leading lawmakers, including Gov. Alejandro Padilla, the officials said a financing deal that could potentially salvage the government's finances looked unlikely to succeed. It warned of laying off government employees and reducing public services. "A government shutdown is very probable in the next three months due to the absence of liquidity to operate," the officials said. "The likelihood of...
  • The Biggest Ponzi Scheme in the History of the World "When She Blows It'll Be Krakatoa Redux"

    04/22/2015 2:11:51 PM PDT · by concernedcitizen76 · 73 replies
    April 22, 2015 | Self
  • Where your tax dollars go

    04/18/2015 9:31:14 AM PDT · by TurboZamboni · 5 replies
    Pioneer Press ^ | 4-14-15 | John Gray
    It's a question that naturally springs to mind when tax season rolls around: Where are all those tax dollars being spent? In total, Washington will spend $12,304 per citizen. Unfortunately, the government will collect only $10,878 in tax revenue per person. That means that, you, the American citizen, will be left with an additional tab of $1,426, on average. The $1,426-per-person represents this year's deficit of $455 billion. Perspective: Adjusting for inflation, the government spent $894 per person in 1940, $7,319 per person during the peak of World War II (1945), $6,026 per person in 1980 and slightly more than...