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CBO: Treasury to run out of cash in next 3 days, leading to default or delay in payments.
Free Beacon ^ | Jun e30, 2017 | Ali Meyer

Posted on 06/30/2017 2:11:36 AM PDT by gattaca

The amount of money the government spends on programs and the amount it collects in taxes could change from the budget office projections, so the office warns that the Treasury could run out of funds even earlier.

Currently, the federal deficit stands at $693 billion, which is an increase of $134 billion than what it projected in January. The federal government has an outstanding debt of $19.8 trillion, which includes $14.3 trillion in public debt and $5.5 trillion held by government accounts.

Spending on major government programs such as Social Security and Medicare causes the amount of borrowing to increase. For example, payments to Medicare Advantage and Medicare Part D plans will total $23 billion, spending on Social Security benefits will total roughly $23 billion and funds for active-duty military and recipients of Supplemental Security Income will total roughly $25 billion.

According to the report, unless the debt limit is raised, the Treasury will not be able to issue additional debt.

"That restriction would ultimately lead to delays of payments for government programs and activities, a default on the government's debt obligations, or both," the budget office said. "CBO estimates that without an increase in the debt limit, the Treasury, by using all available extraordinary measures, would most likely be able to continue borrowing and have sufficient cash to make its unusual payments until early to mid-October of this year."


TOPICS: Business/Economy; Government; Miscellaneous; News/Current Events
KEYWORDS: cbo; congress; debt; debtceiling; debtlimit; deficit; govtabuse; inflation; money; nationaldebt; spending; treasury; trump
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Here we go again.
1 posted on 06/30/2017 2:11:36 AM PDT by gattaca
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To: gattaca

There is no debt limit anymore.


2 posted on 06/30/2017 2:23:45 AM PDT by Vince Ferrer
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To: Vince Ferrer

Except there’s a new sheriff in town and we might hear, for the first time, a President say the words, “ Ya’ll gonn’a have to stop spending .... now go get rid of the swampy excess, ............. or I will “


3 posted on 06/30/2017 2:36:03 AM PDT by knarf (There <i>always </i>seems to be a story surrounding weird and unusual events.<p>As the author has sa)
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To: gattaca

Oh yes, these are the same dire warnings the CBO issued daily publically during Obama’s reign of fiscal responsible terror, right?


4 posted on 06/30/2017 2:37:29 AM PDT by CincyRichieRich (We must never shut up. Covfefe: A great dish served piping hot!)
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To: knarf
Except there’s a new sheriff in town

Yes but the last CR went through with out a hiccup.

This should have and could have been the time for President Trump to say "No mas Tomas" and beat the table with both fists.

5 posted on 06/30/2017 2:39:09 AM PDT by eartick (Been to the line in the sand and liked it, but ready to go again)
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To: eartick

It is time to issue some new currency—with Al Capone’s picture on it!


6 posted on 06/30/2017 2:39:51 AM PDT by cgbg (Hidden behind the social justice warrior mask is corruption and sexual deviance.)
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To: gattaca

This doesn’t comport with all the stories we’ve read this winter and spring about the govt (i.e. President Trump) not spending allocated monies and the debt reducing itself. Wonder if all those were a lie and this is true or vice versa?


7 posted on 06/30/2017 2:48:37 AM PDT by major-pelham
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To: eartick

Or,

A. Freeze all Federal spending on July 4th, 2017.

B. Cut, across the board, all Federal spending
by 10%, as of August 1, 2017.

DJT, with immediate effect, directs an audit of
the Fed.

Just sayin’


8 posted on 06/30/2017 2:52:12 AM PDT by jamaksin
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To: major-pelham

There was no “balanced CR” or “surplus”...just “moving the deck chairs around on the Titanic” to avoid the last debt ceiling in March (creative accounting & stopped payments):

https://www.usatoday.com/story/news/politics/2017/03/09/trump-administration-warns-upcoming-debt-limit/98964462/

We/The Feds/Mr. Trump are still running $400-$500 billion yearly deficits.


9 posted on 06/30/2017 3:08:10 AM PDT by Drago
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To: gattaca

This, despite receiving record amounts of tax revenue. And idiots like Rob Portman are holding up the ObummerCare replacement bill because it doesn’t spend enough on Medicaid EXPANSION, which had been pushed in Ohio by fellow idiot John Kasich.


10 posted on 06/30/2017 3:09:35 AM PDT by SharpRightTurn (Chuck Schumer--giving pond scum everywhere a bad name.)
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To: gattaca

Once Trump was sworn in, I believe I stated, the Waterloo for me was the vote on the debt ceiling. Well, we are there or very nearly there. If not now, when? If not us, our children, or Grandchildren? Ten percent spending CUT, not that reduction of the annual increase, but a ten percent spending cut, every year for five years or some other appropriate plan, but it is now or never, and never is not an option, because before you get to never, reality will hit sooner rather than later, and then what?


11 posted on 06/30/2017 3:10:39 AM PDT by wita (Always and forever, under oath in defense of Life, Liberty and the pursuit of Happiness.)
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To: jamaksin

Works for me. Wake me up when it happens. I think I will have a very long nap.......;)


12 posted on 06/30/2017 3:15:53 AM PDT by eartick (Been to the line in the sand and liked it, but ready to go again)
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To: gattaca

No problem we are already 20 TRILLION dollars behind!


13 posted on 06/30/2017 3:16:58 AM PDT by 48th SPS Crusader (I am an American. Not a Republican or a Democrat)
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To: gattaca

https://treasurydirect.gov/NP/debt/search?startMonth=01&startDay=21&startYear=2017&endMonth=06&endDay=29&endYear=2017

The amazing thing is that Trump has kept the debt below $20 trillion since he took office.

He even managed to lower the debt by $ 101 billion.


14 posted on 06/30/2017 3:27:46 AM PDT by exit82 (The opposition has already been Trumped!)
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To: gattaca
Currently, the federal deficit stands at $693 billion,

Start here. NO more deficit spending. Then you will not increase the debt.

693 thousand million dollars. In my life, I have yet to earn a million dollars. This is like 693,000 people like me spending their entire working life's earnings. I"m trying to paint a picture of just how much 693,000,000,000 dollars is. These numbers we throw around casually. This is the amount we're spending currently OVER what the government takes in, which is even more.

15 posted on 06/30/2017 3:37:27 AM PDT by Big Giant Head
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To: gattaca

If we would once and for all get rid of the illegals, fine/imprison employers, withhold monies from sanctuary cities, that’s got to be worth tens of billions right there.

Putting a stop to the senseless perpetual wars would save hundreds of billions as well.

Eliminate the social engineering and political correctness in the armed forces is another mistake costing untold amounts of blood and treasure.


16 posted on 06/30/2017 4:04:03 AM PDT by MichaelCorleone (Jesus Christ is not a religion. He's the Truth.)
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To: gattaca

The sky is falling.


17 posted on 06/30/2017 4:09:45 AM PDT by x1stcav (White. Male. Unreconstructed. Never owned a slave.)
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To: wita

I’m with you. However it’s a 30-40% cut in federal spending that’s necessary if we want to SS & medicare.


18 posted on 06/30/2017 4:12:13 AM PDT by vooch (America First)
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To: gattaca

Yet do nothing Congress took off a day early for a long weekend.


19 posted on 06/30/2017 4:15:43 AM PDT by Paladin2 (No spelchk nor wrong word auto substition on mobile dev. Please be intelligent and deal with it....)
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To: gattaca

A billion here, a billion there, and pretty soon it adds up to real money (apologies to Everett Dirkson).


20 posted on 06/30/2017 4:19:43 AM PDT by buckalfa (Slip sliding away towards senility.)
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