Posted on 05/02/2011 2:24:08 PM PDT by cotton1706
Treasury Secretary Timothy Geithner is warning that the federal government will begin employing "extraordinary measures" to avoid as financial crisis as the United States nears its debt limit.
But Geithner also extended the absolute deadline for a U.S. default on its debt until Aug. 2, three weeks later than previous estimates. Geithner said "stronger than expected tax receipts" pushed the deadline back from mid-July.
In a letter to Senate Majority Leader Harry Reid (D-Nev.) on Monday, Geithner said the Treasury would begin postponing some debt offerings this week, as well as suspend daily "reinvestment" of some Treasury securities.
"While this updated estimate in theory gives Congress additional time to complete work on increasing the debt limit, I caution strongly against delaying action," Geither said. "The economy is still in the early stages of recovery, and financial markets here and around the world are watching the United States closely. Delaying action risks a loss of confidence and accompanying negative economic effects."
Here's an idea. Find out how much we can spend this year without raising the debt ceiling. And then allocate the funds accordingly. That's what the rest of us have to do.
What tricks are they up to now.
CUT EXPENSES....like Michelle's vacations!!
Timmy is slowly starting to master TurboBudget and is learning that the US can prioritize payments so that debt service is maintained without defaulting even without an increase in borrowing.
God help us with these clowns in charge.
where’s your debt reduction, deficit reduction plan, Mr Sec’y???
“as well as suspend daily “reinvestment” of some Treasury securities”
Well there goes the social security “lock box”.
Maybe he just paid his taxes?
Turbobudget..yuk yuk. Tx for the laugh.
Ping regarding something previously discussed.
Heh. Good one! There’s more. I’ll send you a private message.
Agreed! Thanks to the Pols, many do not have the “means” going over to the Dole and Food Stamps. No longer counted as “Unemployed” because there has been no jobs for a few years. There are problems when 50% of a month’s hiring was by Mickey D, mostly attributable to Mickey M policies, taxes, lining their pockets etc.
...sooooo how can the Gov live within their means? Cut spending and red tape! Represent the people, not your parties. The pols painted the US into a corner and the Dems are waiting to blame the Pubs for everything they inherited (from Bawney et al). Blame? Look at pushing Grandma off the cliff when Ryan was trying to fix Medicare!
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