What Route will the US Govt. Take?

[TakeAStepBack]

We really have two options at this point when it comes to debt/deficit/monetary poliicies that I see.

1) The government will no longer have debt buyers and be forced to slash the spending of borrowed money, causing economic pain and hardship.

OR

2) The government will refuse to slash spending and continue down the road of monetary inflation until hyperinflation occurs, causing economic chaos.

The situation is obviously a touch more complicated when figuring in reseerve currency of the world, etc...but the next bubble is being built right now and that bubble is government spending and currency devaluation. There is no where left to suds up another bubble..

What say you?

 

[iamwhatiseem]

I say we haven't learned one damn thing since 2007.
For all of the talk of Obama and the left "making Wall Street pay" and "fairness
etc. etc......they haven't changed a damn thing.
The markets are very much doing exactly what they were doing pre-2007...just in different markets.

 

[TakeAStepBack]

I agree. But there is no industry left to really tank except the dollar or govt. spending (insolvency without a debt purchasing market actor or two). This is an unsustainable road and the next bubble is going to be the big crash if we dont get a new Warren Harding to come in and sound the fiscal responsibility alarm.

I'm predicting outright hyperinflation. It seems modern economists are convinced spending and monetary inflation is the way to create wealth and growth. it's a damn shame that's not only a total lie, it's the worst possible position to take in economics.

 

[The Rabbi]

I agree. But there is no industry left to really tank except the dollar or govt. spending (insolvency without a debt purchasing market actor or two). This is an unsustainable road and the next bubble is going to be the big crash if we dont get a new Warren Harding to come in and sound the fiscal responsibility alarm.

I'm predicting outright hyperinflation. It seems modern economists are convinced spending and monetary inflation is the way to create wealth and growth. it's a damn shame that's not only a total lie, it's the worst possible position to take in economics.

This is probably why you are a narco-libertarian. Maybe if the gov't legalized weed we'd have a whole new industry to hire people.

 

[TakeAStepBack]

Gee, Rabble, that sure is enlightening of you.

 

[Staidhup]

Considering the two options, number 1) requires recognizing there is a problem and having to make substantial cuts, simply politically inexpedient, regardless of party affiliation, congress has not the fortitude nor desire to dance the dance. Option 2) in essence recognizes the dollar is in bubble over drive and destined to tank, again very painful to correct.
To top it off, after one reviews current status of unfunded national, state, and union pension funds it's apparent politicians continue to disavow the reality that returns of 7.5%, as forecast, are unattainable, furthermore, the US government has not the capacity to cure the pending massive pension defaults. The first order of business is to address government spending, holding taxes at current levels, and accept the result that one will not be reelected. Second, pension fund payouts will need to be frozen at current levels, and forced to recognize under current economic conditions guaranteeing rates of returns in excess of realistic market conditions needs to be prohibited. Third, the Federal reserve needs to allow interest rates to rise in accordance to real world market conditions. Fourth, repatriating dollars earned, post tax liability in country's earned, need to be permitted without re-taxation by the fed. Fifth, Corporate tax rates need to be reduced to remain competitive with international manufacturing economies. Sixth, universal right to work legislation needs to be passed. Seventh, Section 4219 of the employees retirement income security act of 1974 as amended (ERISA) 29 U.S.C. section 1399, and NIPF plan document needs to be overturned forcing unions to accept total responsibility for mismanagement of their controlled pension funds. In short, tough decisions need to be made, and unless they are, the sum total of pain will be greater than that which such proposals will yield. The question remain will congress make the tough decisions required to face facts or continue to play the old politics as usual game.

 

[The Rabbi]

Gee, Rabble, that sure is enlightening of you.

I'm not sure a laser beam could enlighten you.
Anyone who thinks there is no industry left in this country is a moron. Or a narco-libertarian. But I repeat myself.

 

[TakeAStepBack]

How shocked am I that you twist my words. There is no industry left for a bubble to foment, Rabble. It is no wonder you're a Rick Perry supporter. You're certainly not the brightest bulb in the box.

 

[TakeAStepBack]

Considering the two options, number 1) requires recognizing there is a problem and having to make substantial cuts, simply politically inexpedient, regardless of party affiliation, congress has not the fortitude nor desire to dance the dance. Option 2) in essence recognizes the dollar is in bubble over drive and destined to tank, again very painful to correct.
To top it off, after one reviews current status of unfunded national, state, and union pension funds it's apparent politicians continue to disavow the reality that returns of 7.5%, as forecast, are unattainable, furthermore, the US government has not the capacity to cure the pending massive pension defaults. The first order of business is to address government spending, holding taxes at current levels, and accept the result that one will not be reelected. Second, pension fund payouts will need to be frozen at current levels, and forced to recognize under current economic conditions guaranteeing rates of returns in excess of realistic market conditions needs to be prohibited. Third, the Federal reserve needs to allow interest rates to rise in accordance to real world market conditions. Fourth, repatriating dollars earned, post tax liability in country's earned, need to be permitted without re-taxation by the fed. Fifth, Corporate tax rates need to be reduced to remain competitive with international manufacturing economies. Sixth, universal right to work legislation needs to be passed. Seventh, Section 4219 of the employees retirement income security act of 1974 as amended (ERISA) 29 U.S.C. section 1399, and NIPF plan document needs to be overturned forcing unions to accept total responsibility for mismanagement of their controlled pension funds. In short, tough decisions need to be made, and unless they are, the sum total of pain will be greater than that which such proposals will yield. The question remain will congress make the tough decisions required to face facts or continue to play the old politics as usual game.

That's the crux of it. More so that the public demand that congress do the right thing and cut spending massively. But neither will happen, so the question then becomes how far down the drain will we go....

 

[The Rabbi]

How shocked am I that you twist my words. There is no industry left for a bubble to foment, Rabble. It is no wonder you're a Rick Perry supporter. You're certainly not the brightest bulb in the box.

I don't have to twist them. You do a good enough job yourself:

But there is no industry left to really tank except the dollar or govt. spending

the dollar is not an industry. Neither is "gov't spending". I don't know how a bubble foments. Maybe you can enlighten us here since you obviously speak a language that isn't taught in standard institutions.

 

[TakeAStepBack]

Maybe you should fuck off. Since Im entertaining morons today.

 

[The Rabbi]

Maybe you should fuck off. Since Im entertaining morons today.

translation: I can't explain it either.

Thank you for confirming you are an idiot.

 

[TakeAStepBack]

I can explain it all quite well. I just have no interest in entertaining your pathetically retarded mind over it so you can keep asking stupid fucking questions. But please, believe whatever you like, Rabble.

 

[The Rabbi]

I can explain it all quite well. I just have no interest in entertaining your pathetically retarded mind over it so you can keep asking stupid fucking questions. But please, believe whatever you like, Rabble.

Translation: I don't know either.

 

[The Rabbi]

I dont' know what's more pathetic: your original posts or your lame responses to mine.

 

[TakeAStepBack]

That's nice. Thanks for trolling. Feel free to troll in threads that are on par with your IQ. There are plent of truthmatters threads around here...

 

[The Rabbi]

That's nice. Thanks for trolling. Feel free to troll in threads that are on par with your IQ. There are plent of truthmatters threads around here...

Asking you to explain your absurd posts is trolling. Got it. I guess anything but a narco-lib circle jerk on why Ron Paul ought to be elected Supreme Deity makes you uncomfortable and out of your depth.

 

[TakeAStepBack]

I'd be happy to explain it to a nontroll. But you're a troll. You're not here to participate, but to derail discussion. That's why you came in here, thats why you show up in every libertarian related thread. That's why I'm not entertaining you.

 

[The Rabbi]

I'd be happy to explain it to a nontroll. But you're a troll. You're not here to participate, but to derail discussion. That's why you came in here, thats why you show up in every libertarian related thread. That's why I'm not entertaining you.

You couldn't explain it if you tried. Mainly because it makes no sense. You are wrong on facts, wrong on theory. You can't even explain what "foment" means.
You are entertaining me. You are displaying your gross ignorance of something you think you actually understand. Hey, what was the last book on economics you read?

 

[CrusaderFrank]

Obama reelected: no budget, unending trillion deficits, rich people flee the USA for Fiji, Sweden and Panama, dollar loses its place as world currency, gas $10/gallon, prime 9-10% Liberals blame Reagan and Bush

Romney elected: Spending Freeze, budgets in place to lower spending under 20% GDP first term and under 15% second term, Obamacare repealed replaced with Whole Foods Recommendations, SocSecurity privatized, Budget Impoundment Act repealed, gold falls to $600, prime 5%