Posted on 01/11/2011 9:41:29 PM PST by Angelus
It is one thing for Sarah Palin, media pundits, or economic analysts to speak on the potential insolvency of the US government, but when the US Treasury Secretary says this in a formal letter to Congress, Americans had better take note.
Secretary Timothy Geithner on January 6th sent a formal letter to Congress specifying that if they do not agree to raise the debt ceiling when it is reached sometime in March, the US will (and the word used is WILL) default on its debt.
Lew Rockwell.com posted an article yesterday on this action taken by the Treasury Secretary, and pointed out that in fact, the government at this point in time is bankrupt, and simply trying to postpone the inevitable.
A few months back, Laurence Kotlikoff wrote that "The U.S. is bankrupt." Using the governments numbers properly labeled, he found that the U.S. fiscal gap, which is the difference between the present value of projected spending and revenues, is $202 trillion. An IMF study of the U.S. finances found that it would have to double taxes to close its fiscal gap. This is an impossibility. It would destroy the struggling economy. Geithners statement confirms those of other analysts outside of the U.S. government.
(Excerpt) Read more at examiner.com ...
Bike trails. It was the GD bike trails.
Funny line.
It was also the received wisdom that a bankrupcy would destroy GM.
The expansion of socialism was bi-partisan plus driven by the media and that is why it happened. With the “fairness doctrine”, there was no effective opposition voice and the socialists in both parties ran roughshod over the constitution for decades.
The Rinos and Democrats want to return to those days and Obama will go for using the FCC to silence the opposition with or without a new unfairness doctrine.
Yup.
When will it reach the chasm is the only question.
If the Govt cut spending would you still have to raise the debt ceiling?
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