Posted on 01/21/2011 3:35:29 PM PST by Notary Sojac
Contrary to what many people are saying, when the national debt approaches the limit, it does not mean that the federal government suddenly won't be able to pay its bills.
Default on such debt need not occur if Congress passes and the president signs a law directing the Treasury to sequence our spending and prioritize the payment of interest and principal on the debt, as well as other critical budget items.
Simply guaranteeing that the government will pay its outside debts would not solve our fiscal crisis. But it would properly frame our fiscal challenge - as a choice not between more debt and default, but between more debt and responsible spending reductions that would ensure we don't trigger a default. And by signaling to world markets that the United States is serious, it would buy us time to restructure entitlement spending and end the Ponzi scheme being run by the federal government.
Setting aside the false threat of defaulting on our debt payments, the upcoming debate over raising the debt limit is a similar moment for Washington. Entitlement programs need to be dramatically reformed. Given no other choice, I believe a bipartisan consensus could be created around ideas such as means-testing the cost-of-living increase in Social Security benefits, capping and block-granting Medicaid payments to states, and moving Medicare to a more efficient, pay-for-performance model.
While national defense is obviously a top priority, even the Pentagon needs to pursue greater efficiencies by using priority budgeting to ensure that our military remains the most capable and effective in a dangerous world.
Last year's midterm elections demonstrated that the public is eager to cut the deficit. But every program has an interest group that will fight hard to defend it. We can succeed only if lawmakers are given no other choice.
(Excerpt) Read more at washingtonpost.com ...
Here is a list of taxes that have gone or will go into effect This is a couple of them.
Medicine Cabinet Tax ($5 Billion/January 2011): Americans no longer able to use health savings account (HSA), flexible spending account (FSA), or health reimbursement (HRA) pre-tax dollars to purchase non-prescription, over-the-counter medicines (except insulin).
HSA Withdrawal Tax Hike ($1.4 Billion/January 2011): Increases additional tax on non-medical early withdrawals from an HSA from 10 to 20 percent, disadvantaging them relative to IRAs and other tax-advantaged accounts, which remain at 10 percent.
Obamacare can be slowed or parts of it changed, but you have to pass laws to make those changes.
You dance better than Bristol Palin. Yes, the taxes will go forward. Taxes aren’t spending. The spending to enact the rest of the law will stop if the House fails to pass an authorization to spend money to do it.
To reiterate, Congress must repeal this monstrosity. They can delay portions of it, but they can't stop it.
We are almost in agreement with one exception, “Bureaucrats are writing thousands of pages of regulations now.” Those bureaucrats will have to do something else with their time if the House refuses to appropriate money for them to enact regulations.
As someone who worked for the federal government for 36 years, you couldn’t be more wrong.
Ah okay. Never mind. Now I understand. Take your government pension and enjoy.
LOL.
Correct that to "taxpayer-funded health care must be rationed" and we are in 100% agreement.
It seems that a majority of Freepers are in denial about this reality, which doesn't say much for the electorate at large....
Look for any long pro-Palin thread. See how long it takes for the Palinstinians to start ragging on other candidates.
There will have to be rationing and I want the patients to be in charge of the rationing, not the government or the insurance companies.
That would be true too, but doesn’t change my comment.
so I paid into what was promised to me as a retirement system(SS) and you want to take the money I worked for, for 50 years and was not allowed to put into a private fund ...and call it welfare? I think your confusing people who worked all their lives.... for zer0bamas constituents in the ghetto...
Welfare is welfare and none of it is constitutional.
supposedly my SS was a paid insurance
and I want it back. I didnt make the crappy law....I would have prefered it would have been privatized or not exist but it does and I was forced to pay into this so called insurance..
if you want to give away the money that was promised to you...go ahead....that means more for me and my family.
I want mine back....
You can see why it's so hard to end these welfare programs and why new welfare programs like the prescription drug "benefit" and Obamacare get passed. Once most people are on the dole, how do you get enough votes to end the welfare programs?
I hope you understand how it will soon end - we run out of money. I trust you'll prepare for that.
Well your exception to the 100% Debt to GDP limit is starting to fall.
http://www.freerepublic.com/focus/f-news/2663992/posts
I am prepared...I have various funds.
I also paid into this BS for the past 47 years and I will take every dime back that I can....with interest if possible.
this is NOT welfare to me...it is a bad system, Commie FDR and his rubber stamp congress foisted this crap on America near 80 years ago...but as long as it is a separate ‘tax’ where the money was ‘suppose’ to be earmaked(yes I know the b@st@rds take it from the general fund..) as a retirement plan for me...and I busted my @ss to make that money and I want it back....
It is not the only exception if you take a look at the global map. Japan is the second largest foreign holder of our debt. Most of Japan’s debt is held domestically. What’s your point?
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