The Debt Ceiling

[Loulit01]

With the House in a mess there's been lots of talk about what will happen when it comes time to raise the debt ceiling. I'm sure everyone on this forum knows exactly what the debt ceiling is and how it works. But for my own edification I've found some facts on it.

What Is the U.S. Debt Ceiling? - dummies

The debt ceiling, legally known as the debt limit, is the total amount of money that the U.S. government is authorized to borrow to pay existing obligations, su

www.dummies.com

The debt ceiling, legally known as the debt limit, is the total amount of money that the U.S. government is authorized to borrow to pay existing obligations, such as Social Security and Medicare benefits, military salaries, interest on the national debt, tax refunds, and disbursements for other programs.

The debt limit applies to federal debt held by the public, namely, securities held by investors outside the federal government, and to federal debt held by the government’s own accounts. The debt limit does not create new spending commitments but allows the government to finance existing obligations already established by Congress.

U.S. Debt Ceiling: Definition, History, Pros, Cons, and Clashes

The debt ceiling is a limit that Congress imposes on the amount that the federal government can owe. Discover the current debt ceiling and its economic impact.

www.investopedia.com

https://www.washingtonpost.com/business/whats-the-debt-ceiling-and-will-the-us-raise-it-again/2023/01/13/796519ce-936b-11ed-90f8-53661ac5d9b9_story.html

the debt ceiling explained for dummies - Yahoo Video Search Results

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[upsideguy]

With the House in a mess there's been lots of talk about what will happen when it comes time to raise the debt ceiling. I'm sure everyone on this forum knows exactly what the debt ceiling is and how it works. But for my own edification I've found some facts on it.

What Is the U.S. Debt Ceiling? - dummies

The debt ceiling, legally known as the debt limit, is the total amount of money that the U.S. government is authorized to borrow to pay existing obligations, su

www.dummies.com

The debt ceiling, legally known as the debt limit, is the total amount of money that the U.S. government is authorized to borrow to pay existing obligations, such as Social Security and Medicare benefits, military salaries, interest on the national debt, tax refunds, and disbursements for other programs.

The debt limit applies to federal debt held by the public, namely, securities held by investors outside the federal government, and to federal debt held by the government’s own accounts. The debt limit does not create new spending commitments but allows the government to finance existing obligations already established by Congress.

U.S. Debt Ceiling: Definition, History, Pros, Cons, and Clashes

The debt ceiling is a limit that Congress imposes on the amount that the federal government can owe. Discover the current debt ceiling and its economic impact.

www.investopedia.com

https://www.washingtonpost.com/business/whats-the-debt-ceiling-and-will-the-us-raise-it-again/2023/01/13/796519ce-936b-11ed-90f8-53661ac5d9b9_story.html

the debt ceiling explained for dummies - Yahoo Video Search Results

The search engine that helps you find exactly what you're looking for. Find the most relevant information, video, images, and answers from all across the Web.

video.search.yahoo.com

Unfortunately for America (and the rest of the world), there are far too many ignorant Americans that believe that issue of raising the debt ceiling is a leverage point in controlling spending. As you well pointed out, this is about paying for the bills we have already incurred, it has nothing to do with spending. Yet, this garbage sells in the fact-free right wing media, so the wack-a-doo, make a show, right wing nuts that now control the Republican party think this plays well to the their voters. The Republican caucus, right now, is controlled by wing-nuts (crazy people). You don't want crazy people making decisions... but that is what is in front of us.

What is scary is they have no idea of the dire consequences of defaulting on our debt. They think they will control spending, but if they screw with this, they will get the opposite result .... at least a much greater expenditure on interest and may a ton of expenditure of stimulus to right the wrong of the recession/depression they create.

I pray these people don't go full stupid.

 

[Callen]

Unfortunately Lou most don't get it and never will .....until it happens and we see the economic fallout

 

[Napoleon]

Unfortunately Lou most don't get it and never will .....until it happens and we see the economic fallout

Even fewer people understand that the loan inception we’re trapped in hast to stop eventually. It’s a payday loan scheme on steroids.

 

[Callen]

Even fewer people understand that the loan inception were trapped in hast to stop eventually.

The answer isn't default, it is legislation that addresses deficit spending.....including lowering the income stream through thoughtless tax cuts.

 

[Napoleon]

The answer isn't default, it is legislation that addresses deficit spending.....including lowering the income stream through thoughtless tax cuts.

We have to keep raising the debt ceiling precisely because the Treasury can’t stop deficit spending. It’s so deep in a cycle of loans and loans to pay its loans that it can’t stop. Sometimes the only way to stop a runaway train is to derail it.

 

[Phys251]

We have to keep raising the debt ceiling precisely because the Treasury can’t stop deficit spending. It’s so deep in a cycle of loans and loans to pay its loans that it can’t stop. Sometimes the only way to stop a runaway train is to derail it.

^ Vladmir Putin approves this message.

 

[Geoist]

Even fewer people understand that the loan inception we’re trapped in hast to stop eventually. It’s a payday loan scheme on steroids.

Alright, we can start by cutting the defense budget by 10% and ending tax cuts to the super wealthy.

 

[Napoleon]

^ Vladmir Putin approves this message.

^ Greece approves this message.

 

[Helix]

The donor class will suffer if we default. Hopefully that will be enough to prevent it.

 

[Phys251]

^ Greece approves this message.

You want our economy to go off the rails. That's exactly what Putin and our enemies want.

 

[Geoist]

Japan has the greatest debt-to-gdp ratio. Far greater than the US. Almost no one says Japan should default.

 

[PeacefulWarrior]

With the House in a mess there's been lots of talk about what will happen when it comes time to raise the debt ceiling. I'm sure everyone on this forum knows exactly what the debt ceiling is and how it works. But for my own edification I've found some facts on it.

What Is the U.S. Debt Ceiling? - dummies

The debt ceiling, legally known as the debt limit, is the total amount of money that the U.S. government is authorized to borrow to pay existing obligations, su

www.dummies.com

The debt ceiling, legally known as the debt limit, is the total amount of money that the U.S. government is authorized to borrow to pay existing obligations, such as Social Security and Medicare benefits, military salaries, interest on the national debt, tax refunds, and disbursements for other programs.

The debt limit applies to federal debt held by the public, namely, securities held by investors outside the federal government, and to federal debt held by the government’s own accounts. The debt limit does not create new spending commitments but allows the government to finance existing obligations already established by Congress.

U.S. Debt Ceiling: Definition, History, Pros, Cons, and Clashes

The debt ceiling is a limit that Congress imposes on the amount that the federal government can owe. Discover the current debt ceiling and its economic impact.

www.investopedia.com

https://www.washingtonpost.com/business/whats-the-debt-ceiling-and-will-the-us-raise-it-again/2023/01/13/796519ce-936b-11ed-90f8-53661ac5d9b9_story.html

the debt ceiling explained for dummies - Yahoo Video Search Results

The search engine that helps you find exactly what you're looking for. Find the most relevant information, video, images, and answers from all across the Web.

video.search.yahoo.com

There better be enough to fund my free BidenCare™ plan. My healthcare is very important.

 

[BlueTex]

We have to keep raising the debt ceiling precisely because the Treasury can’t stop deficit spending. It’s so deep in a cycle of loans and loans to pay its loans that it can’t stop. Sometimes the only way to stop a runaway train is to derail it.

CONGRESS determines what HAS to be spent... Ever heard of the Impoundment Act of 1974?

 

[multivita-man]

Unfortunately Lou most don't get it and never will .....until it happens and we see the economic fallout

Most Americans think that the federal budget is analogous to their own personal finance, which it is not.

That does not mean that we can rack up debt-GDP ratios of 300% and not suffer consequences -- the Republicans do have a point in that respect. The problem with this point, which ignorant Americans don't understand, is that we could have long ago solved this problem with moderation in spending and increasing the tax obligations of wealthier Americans. I could be wrong but I think the last time federal income taxes increased was in the early 1990s - I tried checking Google, but SEO has pretty much ****ed up Google forever as an accurate search tool. ****ing worthless now.

Anyway, my **** Google rant aside, all that needs to be done in the end is to make sure we can meet our interest obligations and pay bondholders. We can do that. But Republicans have created a false crisis and false choices.

 

[Napoleon]

Alright, we can start by cutting the defense budget by 10% and ending tax cuts to the super wealthy.

10? How about 25% and prison time for the top down if it fails its next audit?

 

[Geoist]

10? How about 25% and prison time for the top down if it fails its next audit?

Your conservatives friends would laugh you out of the room for suggesting 25% defense budget cut. Hell, most would laugh at my more grounded 10%.

 

[Napoleon]

CONGRESS determines what HAS to be spent... Ever heard of the Impoundment Act of 1974?

Lol. When Congress has no choice but to raise the debt limit it’s lost control. The creditors decide what must be spent now.

 

[Phys251]

Most Americans think that the federal budget is analogous to their own personal finance, which it is not.

That does not mean that we can rack up debt-GDP ratios of 300% and not suffer consequences -- the Republicans do have a point in that respect. The problem with this point, which ignorant Americans don't understand, is that we could have long ago solved this problem with moderation in spending and increasing the tax obligations of wealthier Americans. I could be wrong but I think the last time federal income taxes increased was in the early 1990s - I tried checking Google, but SEO has pretty much ****ed up Google forever as an accurate search tool. ****ing worthless now.

Anyway, my **** Google rant aside, all that needs to be done in the end is to make sure we can meet our interest obligations and pay bondholders. We can do that. But Republicans have created a false crisis and false choices.

The solution is to put Democrats in charge. Deficits go down under Democrats and up under Republicans.

 

[BlueTex]

Lol. When Congress has no choice but to raise the debt limit it’s lost control. The creditors decide what must be spent now.

Bullshit... BY LAW the president MUST spend the money congress authorizes... The Impoundment Control Act is JUST AS MUCH a federal law as the debt limit. The 14th amendment is very clear...

 

[Napoleon]

Bullshit... BY LAW the president MUST spend the money congress authorizes... The Impoundment Control Act is JUST AS MUCH a federal law as the debt limit. The 14th amendment is very clear...

Lol. Then don’t raise the debt limit and tell that to the creditors. See what happens.

 

[BlueTex]

Lol. Then don’t raise the debt limit and tell that to the creditors. See what happens.

Or tell congress to piss off and keep paying the creditors and borrowing...

 

[Napoleon]

Your conservatives friends would laugh you out of the room for suggesting 25% defense budget cut. Hell, most would laugh at my more grounded 10%.

Well, that’s just the price the DOJ hast to pay for not being able to account for 25% of what it spends.

 

[Geoist]

Well, that’s just the price the DOJ hast to pay for not being able to account for 25% of what it spends.

You do realize it's your CONSERVATIVE FRIENDS who don't give a shit about the Pentagon losing billions?

 

[Loulit01]

Most Americans think that the federal budget is analogous to their own personal finance, which it is not.

That does not mean that we can rack up debt-GDP ratios of 300% and not suffer consequences -- the Republicans do have a point in that respect.

What makes you think republicans spend less than democrats?

The problem with this point, which ignorant Americans don't understand, is that we could have long ago solved this problem with moderation in spending and increasing the tax obligations of wealthier Americans. I could be wrong but I think the last time federal income taxes increased was in the early 1990s - I tried checking Google, but SEO has pretty much ****ed up Google forever as an accurate search tool. ****ing worthless now.

Anyway, my **** Google rant aside, all that needs to be done in the end is to make sure we can meet our interest obligations and pay bondholders. We can do that. But Republicans have created a false crisis and false choices.