Posted on 07/16/2011 3:47:55 PM PDT by ejdrapes
Is the GOP about to cave on taxes? [snip] House Speaker John A. Boehner of Ohio underscored the point to dispel the notion that failure to allow more borrowing is an option. "He said if we pass Aug. 2, it would be like 'Star Wars,'" said Rep. Scott DesJarlais, a freshman from Tennessee. "I don't think the people who are railing against raising the debt ceiling fully understand that." The warnings appeared to have softened the views of at least some House members who, until now, were inclined to dismiss statements by administration officials, business leaders and outside economists that the economic impact would be dire if the federal government were suddenly unable to pay its bills. Freshman Rep. Steve Womack (R-Ark.) said the presentation about skyrocketing interest rates that could result from downgraded bond ratings was "sobering."
Rick Moran
July 16, 2011 At a closed-door meeting Friday morning, GOP leaders turned to their most trusted budget expert, Rep. Paul D. Ryan of Wisconsin, to explain to rank-and-file members what many others have come to understand: A fiscal meltdown could occur if Congress fails to raise the debt ceiling.
[snip]
(Excerpt) Read more at americanthinker.com ...
We already have a reasonable interest rate. If we default on our bills by not raising the debt limit our interest rates will go up.
In the example I gave I said get a small loan to keep the bills paid and maintain the credit rating, then as you recommend, get rid of Cable, buy clothes at a thrift store, cook at home instead of eating out. All things which I already do living on Social Security. Then the costs would come down after several months.
I agree. It is impossible for it not to be raised at this point (think about that).
Just like it is impossible for taxes to not go up. Either from ending tax breaks or out right raises. The only question is how much.
This has been the gov’t strategy for decades, with a resulting debt of $14 trillion. Obama wants $2 trillion more debt to last until the election - 16 months. Obviously, the election is the target, not deficit reduction. Another increase after the election is a sure thing.
Our “leaders” in WDC have had years to address the deficit & the insolvency of entitlements. Many commissions have met & produced reasonable, rational solutions. They have all been ignored by pols intent on spending our money to enrich themselves, their families, & friends, & to get reelected to continue the theft.
This country, having elected many new conservative Congressmen, has a unique opportunity to stop this theft in its tracks, by refusing to increase the debt ceiling. No other act of Congress has ever done this, & you can be sure Congress will never vote to end their self-serving spending.
If EVERY liberal in Congress promised to resign if the debt limit is increased, I still would not favor increasing it $1, for the simple reason that they are cheats, liars, & thieves, & you don't bargain with them, especially if you don't have to.
Frankly, I'd like to see a majority in the House tell Reid, McConnell, Boehner, Pelosi, & Obama that they will NEVER vote to increase the debt ceiling except in a national crisis. Tell them they might as well start cutting the deficit now or the debt ceiling will do it for them. Tell them that the voters will decide in 2012 whether they were right or wrong.
Borrowing money to pay bills only creates more debt, & puts off until tomorrow (never) what should be done today - balance the budget.
And if you can find some nice Iowa farmland for $3000 an acre, let me know. It is at least three times that for irrigated land.
It was necessary to show that the base price of $500 per acre for otherwise worthless publicly owned desert wasn't out of line.
Anyway, it's not a reverse mortgage ~ it's going to end up as a highly organized public land sale because cash needs to be paid to the Social Security recipients, and that's how the bonds get redeemed.
What this does is take Social Security OFF THE TABLE so an idiot like Obama can't threaten people with their SS checks.
It's highly probable that we can match up SS bonds with only a portion of Land and resources bonds leaving the US with two things of inestimable value ~ a vast surplus of bonds backed by land and resources ~ which will support the dollar as the world reserve currency, and a clear substitute of value for the job gold and silver used to play in the 1600-1900 period ~
Oh, a third thing ~ those people in New Mexico who want more land under state control? This is it. Every acre sold will fall within the jurisdiction of the state.
Let them put their money where their mouths have been so long.
I am not sure about selling federal land. To often it is “sold” to a non profit or connected group that then destroys it. Now, in New Mexico most of the scrub ground isn't worth much, but there are down sides to selling the land. Once you sell an asset, you don't get it back.
This wouldn't be like the deal where the little old lady donates her family farm to the Sierra Club and they turn around and swap the farm for some other piece of public land they prefer (like with the endangered treetop toad).
This would be a much more organized use of public lands to BACK public debt, and at the margins where sales would be required to raise cash or redeem other bonds (as in a "default swap" eh) there'd be a transfer of value if not necessarily of a specific piece of property.
Any time it was necessary to redeem a bond certain lands would be marketed ~
That's a win-win every time.
Are you saying you would rather that we taxpayers be in the hole for paying government interest rates for the national debt at 7%? I am sure the current rate we are paying is considerably lower than that, probably around 3%, and if we have to borrow more it is now in the neighborhood of 1.5% The point is that if the government defaults on bills, then the interest rate on the national debt will increase and we will all be paying for it.
Your Post #39 is exactly right and every Freeper needs to read it twice. Especially those who seem to be making or buying the nonsense from the establishment. And the congress can hold interest rates at ANY level they wish. If the “banks” say they need to raise it, simply revoke their lease to print our money and bring it back to the Treasury. Jackson and Kennedy both did that. We can do it at any time we please. All this doom and gloom is a total lie.
Your Post #39 is exactly right and every Freeper needs to read it twice. Especially those who seem to be making or buying the nonsense from the establishment. And the congress can hold interest rates at ANY level they wish. If the “banks” say they need to raise it, simply revoke their lease to print our money and bring it back to the Treasury. Jackson and Kennedy both did that. We can do it at any time we please. All this doom and gloom is a total lie.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.