" tough to redeem."
Say what? How can govt bonds issued by the govt and redeemed by the govt be tough to redeem. All they do is issue cash for them. Inflationary maybe but certainly not tough.
"add to the deficit to fund"
This is completely wrong. The deficit or debt includes the above mentioned bonds. Redeeming an existing bond actually remove debt from the books lessening the national debt.
No, not really. Without reforms the Fed will need to borrow new money (bond issue)to pay old debt.(bonds issued earlier)
Around we go!
Can you say tax increases? How about a three dollar gas tax?
At some point, the crap will hit the fan.
All this needs to be recognized by the public now. It is not a hidden plot, or a Republican caused problem.
We recognized that the economic power of the U.S. cannot sustain high taxes and continued fed spending. Bush funded some of the most important items and reduced taxes to frustrate the growth of government.
9/11 caused a bit of a deficit situation, but we will grow our way out.
The project now is to reduce the growth in government while addressing the future financial obligations.
A task that nobody wants.
SS must come off the budget. It won't help much, but it is the easiest to address.
If we cannot address it now, we will certainly be forced to address it later. The cost will be higher and all the rest of the difficulties will frustrate the process.
The government paralysis could cause the markets to react and away we go!!!!!!!
No bankruptcy attorney can fix that. The government would default.
There are no "bonds". There are only IOU's.
You would think so. But unless the government is running a surplus in excess of the amount of bonds redeemed, the government will just issue a new bond to pay the old bond.
It is no different than paying the Visa with the Mastercard.