Assuming both sides do not want the country to default, what
exactly are the Republicans offering...and where we they the three
times trump wanted to raise the debt ceiling? Sounds more
like a hostage negotiation than anything else.
look, the government spends like drunken sailors we all know
that, but a deal has to be reached, the consequences of a default
are too great - both sides should realize that
yes the republicans would like to use it as leverage to reduce
spending, but that should be for another time, cannot afford to
default on the debt
I find that a lot of laymen on the street simply say: we need to
the gov to stop spending, the republicans should not cave no matter
what even if results in a default- but those people have no
idea the pain that would cause and also negatively affect them
Posted by DigiNomad on 19th of May 2023 at 02:57 pm
Matt, I was a Fed Gov employee during multiple Gov shutdowns.
Each time they tell us it's going to be the end of the world, and
each time it isn't. Not ideal, but everyones treasury interest will
get paid. It's the Fed Gov employees who will go through the drill
again (which is why they are suing to stop it).
Keep in mind that unlike a shutdown from not passing a CR
(then they lose authority to make payments), this would only
prevent adding on additional debt. That means the Gov can still
operate with the considerable amount of revenue that they receive.
Not getting a deal right away would be like taking your
credit card away - you can still spend all your earnings, you just
can't spend more than your earnings. As a former acquisition policy
branch chief, I think the 14th amendment falls flat legally,
because they could still use their ongoing revenue to pay debts and
interest.
"Each time they tell us it's going to be the end of the world,
and each time it isn't". Perhaps not for you or I, but tell
that to the millions of senior citizens who paid in over a lifetime
and whose only source of income is their monthly social security
check. Wish people weren't living that close to the edge, but
many are.
Lawrence Tribe disagrees with you about the 14th amendment.
Not knocking your knowledge or wisdom, but on this one I'll
go with Tribe.
Posted by DigiNomad on 19th of May 2023 at 03:26 pm
They will get their social security payments. Just look at the
history of shutdowns...and this wouldn't even be a shutdown. The
market is smarter than all of us. If there was a realistic
possibility that debt wasn't going to get paid or social security
checks wouldn't go out, the market would be throwing a MASSIVE fit.
It's not because it knows the reality of the situation.
We're getting our chains yanked with political theatre.
Shocker.
Posted by DigiNomad on 19th of May 2023 at 03:33 pm
In FY 2022 total government spending was $6.27 trillion and
total revenue was $4.90 trillion. Failure to get a debt deal
would just force austerity down to a spend level of 4.9
Trillion. I promise that leaves plenty of room to pay treasury debt
and social security and medicare. From experience, they will
furlough a bunch of Fed employees first, shut down national parks,
and stop non essential contract spend (the part I implement in my
old position). It's not good, but we will pay our debts and support
seniors.
Posted by DigiNomad on 19th of May 2023 at 03:41 pm
Typically, yes. Congress has always passed a bill (post
shut down) for retroactive payments to Gov employees furloughed
when they were deemed "non essential." I don't expect that to
change this time, nor do I think it really should.
GOP walks out of talks.
Posted by brophy on 19th of May 2023 at 01:12 pm
GOP walks out of talks.
DEMS do not even want
Posted by rbreese on 19th of May 2023 at 01:21 pm
DEMS do not even want to give in on any issues and threaten to use special gimmick by Biden .
Assuming both sides do not
Posted by RichieD on 19th of May 2023 at 02:27 pm
Assuming both sides do not want the country to default, what exactly are the Republicans offering...and where we they the three times trump wanted to raise the debt ceiling? Sounds more like a hostage negotiation than anything else.
look, the government spends like
Posted by matt on 19th of May 2023 at 02:33 pm
look, the government spends like drunken sailors we all know that, but a deal has to be reached, the consequences of a default are too great - both sides should realize that
yes the republicans would like to use it as leverage to reduce spending, but that should be for another time, cannot afford to default on the debt
I find that a lot of laymen on the street simply say: we need to the gov to stop spending, the republicans should not cave no matter what even if results in a default- but those people have no idea the pain that would cause and also negatively affect them
Matt, I was a Fed
Posted by DigiNomad on 19th of May 2023 at 02:57 pm
Matt, I was a Fed Gov employee during multiple Gov shutdowns. Each time they tell us it's going to be the end of the world, and each time it isn't. Not ideal, but everyones treasury interest will get paid. It's the Fed Gov employees who will go through the drill again (which is why they are suing to stop it).
Keep in mind that unlike a shutdown from not passing a CR (then they lose authority to make payments), this would only prevent adding on additional debt. That means the Gov can still operate with the considerable amount of revenue that they receive. Not getting a deal right away would be like taking your credit card away - you can still spend all your earnings, you just can't spend more than your earnings. As a former acquisition policy branch chief, I think the 14th amendment falls flat legally, because they could still use their ongoing revenue to pay debts and interest.
"Each time they tell us
Posted by RichieD on 19th of May 2023 at 03:22 pm
"Each time they tell us it's going to be the end of the world, and each time it isn't". Perhaps not for you or I, but tell that to the millions of senior citizens who paid in over a lifetime and whose only source of income is their monthly social security check. Wish people weren't living that close to the edge, but many are.
Lawrence Tribe disagrees with you about the 14th amendment. Not knocking your knowledge or wisdom, but on this one I'll go with Tribe.
They will get their social
Posted by DigiNomad on 19th of May 2023 at 03:26 pm
They will get their social security payments. Just look at the history of shutdowns...and this wouldn't even be a shutdown. The market is smarter than all of us. If there was a realistic possibility that debt wasn't going to get paid or social security checks wouldn't go out, the market would be throwing a MASSIVE fit. It's not because it knows the reality of the situation. We're getting our chains yanked with political theatre. Shocker.
In FY 2022 total government
Posted by DigiNomad on 19th of May 2023 at 03:33 pm
In FY 2022 total government spending was $6.27 trillion and total revenue was $4.90 trillion. Failure to get a debt deal would just force austerity down to a spend level of 4.9 Trillion. I promise that leaves plenty of room to pay treasury debt and social security and medicare. From experience, they will furlough a bunch of Fed employees first, shut down national parks, and stop non essential contract spend (the part I implement in my old position). It's not good, but we will pay our debts and support seniors.
Sounds right... don't forget they
Posted by fredsaid on 19th of May 2023 at 03:39 pm
Sounds right... don't forget they will ensure they pay themselves as well.
Typically, yes. Congress has always
Posted by DigiNomad on 19th of May 2023 at 03:41 pm
Typically, yes. Congress has always passed a bill (post shut down) for retroactive payments to Gov employees furloughed when they were deemed "non essential." I don't expect that to change this time, nor do I think it really should.
It's like Clint Eastwood says
Posted by RP on 19th of May 2023 at 02:01 pm
It's like Clint Eastwood says they gotta goooo! My guess we default what is one more catastrophe when you have 2 year olds running the country....