DC Tom Posted July 21, 2009 Share Posted July 21, 2009 Don't forget the VAT tax they will pull when crap-and-trade fails. A small part of me hope it all passes, bring it all on, just so people can see how royally f*cked up the US economy will get. The bigger question is: how !@#$ed does it have to get before the government realizes that there is, in fact, a practical limit on both their ability to tax and their ability to borrow? Link to comment Share on other sites More sharing options...
bills_fan Posted July 21, 2009 Share Posted July 21, 2009 The bigger question is: how !@#$ed does it have to get before the government realizes that there is, in fact, a practical limit on both their ability to tax and their ability to borrow? Great question, and I wish I knew. What I do know is that the US has shifted much of its recent borrowings to the short end of the curve (10 years or less). If we get a big spike in interest rates.... Link to comment Share on other sites More sharing options...
DC Tom Posted July 21, 2009 Share Posted July 21, 2009 Great question, and I wish I knew. What I do know is that the US has shifted much of its recent borrowings to the short end of the curve (10 years or less). If we get a big spike in interest rates.... If? Rolling over that short-term debt could very well cause that spike. Maybe the plan is to pay off the debt with GM stock? Increasingly, watching this administration's fiscal policies bears a frightening resemblance to giving my wife the credit cards and letting her run loose in a shoe store. Link to comment Share on other sites More sharing options...
Kevbeau Posted July 21, 2009 Share Posted July 21, 2009 What doesn't help right now is that health care and cap-n-trade are hanging out there right now as costs that business owners are supposedly going to have to pay for, so I think most businesses -- especially small businesses -- are going to be reluctant to hire or expand until they see just how much money they're going to be paying out for these items. I work for a large corporation and we're having a fantasmic year...and not hiring. All this legislation has our leadership on edge until they see how it plays out and we can better quantify the "true" costs. Link to comment Share on other sites More sharing options...
bills_fan Posted July 21, 2009 Share Posted July 21, 2009 Increasingly, watching this administration's fiscal policies bears a frightening resemblance to giving my wife the credit cards and letting her run loose in a shoe store. LMAO! I'm going to have to ask for permission to use that line in casual conversation! Link to comment Share on other sites More sharing options...
Dwight Drane Posted July 21, 2009 Share Posted July 21, 2009 Increasingly, watching this administration's fiscal policies bears a frightening resemblance to giving my wife the credit cards and letting her run loose in a shoe store. Really though.....how many size 14's can they have? Link to comment Share on other sites More sharing options...
Pine Barrens Mafia Posted July 22, 2009 Share Posted July 22, 2009 I've even seen this miserable economy affect my business. Life Insurance is a huge portion of what I do, and it seems like people are treating it like an un-necessary expense. Shame, that. Link to comment Share on other sites More sharing options...
Adam Posted July 22, 2009 Share Posted July 22, 2009 The fact is, until we suck up the fact that we have to sacrifice the now for the future- and rebuild our shoddy infrastructure, we will always be putting a band aid on a terminal disease. On energy, we have to move away from oil- we can't last forever on domestic oil supplies. they just aren't big enough. Our power grid is older than Yoda- it has to be rebuilt. Health care needs to be reformed one way or the other- I don't have the answer, but if I did, I'd be fairly wealthy by now. Fix these things and the US will be prosperous again- but not until they are fixed. Link to comment Share on other sites More sharing options...
Magox Posted July 22, 2009 Share Posted July 22, 2009 The fact is, until we suck up the fact that we have to sacrifice the now for the future- and rebuild our shoddy infrastructure, we will always be putting a band aid on a terminal disease. On energy, we have to move away from oil- we can't last forever on domestic oil supplies. they just aren't big enough. Our power grid is older than Yoda- it has to be rebuilt. Health care needs to be reformed one way or the other- I don't have the answer, but if I did, I'd be fairly wealthy by now. Fix these things and the US will be prosperous again- but not until they are fixed. Sacrifice the now for the future? I think you got it all backwards, it is more like sacrificing the future for the now. Never in the history of fiat money, has there been a successful outcome when the borrowing exceeds the means to pay for it on a sustained basis. Link to comment Share on other sites More sharing options...
Adam Posted July 22, 2009 Share Posted July 22, 2009 Sacrifice the now for the future? I think you got it all backwards, it is more like sacrificing the future for the now. Never in the history of fiat money, has there been a successful outcome when the borrowing exceeds the means to pay for it on a sustained basis. The things I mentioned will continue to drag the economy down until they are fixed. If we can find a way to stop relying on foreign energy (and borrowing for other foreign sources to buy it), that is a huge start. If we can bring health care costs down, that will help too. As I said, I don't know how to make that happen- nor will I be called on to help make that happen! Link to comment Share on other sites More sharing options...
Chef Jim Posted July 22, 2009 Author Share Posted July 22, 2009 The things I mentioned will continue to drag the economy down until they are fixed. If we can find a way to stop relying on foreign energy (and borrowing for other foreign sources to buy it), that is a huge start. If we can bring health care costs down, that will help too. As I said, I don't know how to make that happen- nor will I be called on to help make that happen! Oh yes you will. Link to comment Share on other sites More sharing options...
Adam Posted July 22, 2009 Share Posted July 22, 2009 Oh yes you will. Nah, what I do doesn't count! Link to comment Share on other sites More sharing options...
Chef Jim Posted July 22, 2009 Author Share Posted July 22, 2009 Nah, what I do doesn't count! You don't pay taxes? Link to comment Share on other sites More sharing options...
Adam Posted July 22, 2009 Share Posted July 22, 2009 You don't pay taxes? I'm not completely serious on that last post! Link to comment Share on other sites More sharing options...
BillsFan-4-Ever Posted July 23, 2009 Share Posted July 23, 2009 Something I found WRT to the Economy I thought interesting. Obama Approval 49% Among U.S. Investors, 87% Overseas In Europe and Asia, 87 percent of respondents say they view Obama positively, compared with just 49 percent in the U.S. His standing among American investors is even lower on economic matters: only a quarter of U.S. poll respondents rate his economic policies as “good” or “excellent,” compared with more than half in Europe and Asia. Equity investors around the world have done well since Obama’s Jan. 20 inauguration. The gains were most pronounced in Asia, where the MSCI Asia Pacific Index has risen 28 percent. In the U.S., the S&P 500 Index has risen 19 percent. The benchmark index for U.S. equities has rallied 41 percent over the past four months, led by a 95 percent rise in financial firms. European investors, though they are more bullish on Obama than their U.S. counterparts, have fared less well: The Eurostoxx 50 Index has risen 14 percent. The poll of investors and analysts on six continents was conducted July 14-17. It’s based on interviews with a random sample of 1,076 Bloomberg subscribers, representing decision makers in markets, finance and economics. The poll has a margin of error of plus or minus 3 percentage points. *************** Update Stocks rallied Thursday, with the Dow industrials reaching 9,000 for the first time since the start of the year, as several major companies reported results that surpassed expectations and a home sales measure topped forecasts. Link to comment Share on other sites More sharing options...
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