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Government debt threatens to send U.S. economy into death spiral

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  • Government debt threatens to send U.S. economy into death spiral

    This means that the current President in the last period has to do nothing at all. It is an "effective" political model. New presidential candidates promise everything to everyone. Supporters waving flags and balloons. Then, in first term, a small part of the promised and trimmed will be done. And during the second term he does not do anything
    Rising federal debt threatens to choke economic growth within a decade, beginning a death spiral that will sap revenue from government programs even as demands grow, forcing the government to borrow even more, Congress' budget watchdog said in a frightening report Tuesday.

  • #2
    The CBO releases figures based on carefully crafted scenario sthey are handed so CBO figures are always politically shaped and have to be taken with a grain of salt.
    That said...people think we already aren't being impacted by our huge debt and it will cause problems a decade from now? It is causing problems now. The U.S. needs a lot of infrastructure improvement andwe are not going to get it in a timelly fashionbecause we cant afford it.


    • #3
      Originally posted by JDJarvis View Post
      The CBO releases figures based on carefully crafted scenario sthey are handed so CBO figures are always politically shaped and have to be taken with a grain of salt.
      That said...people think we already aren't being impacted by our huge debt and it will cause problems a decade from now? It is causing problems now. The U.S. needs a lot of infrastructure improvement andwe are not going to get it in a timelly fashionbecause we cant afford it.
      Any money that might have been spent on infrastructure has been pissed away in the middle east protecting MNCs profits. Who by the way, only 1 out of 4 actually pay any taxes. And the effective rates on the others are around 14 percent. We have lost a tremendous amount of taxes that drives up debt from the corporations, that the repubs still lie and say are taxed too much.

      Look, this nation has been hollowed out, and continues to be hollowed out, as the middle class which used to pay a large amount of total taxes no longer do that because the income is just no longer there. The income 60 percent or more has moved to the top, and the top are paying less in taxes than at any time since ww2. Of course this will continue to drive up debt, and we are not even spending on a grad D infrastructure. This is what Neoliberalistic economics has created folks, and it would be hard to argue against that.

      Take for instance TPP, which many of the dems have backed away from, due to pressure from voters flooding their phone lines and email bins, and people like Sanders finally making it a issue to be debated, and which in the end will pass, for the republicans especially never saw a corporate created trade bill they did not like. The trade bills have done their part in driving up debt, because of the damage they cause, taking away jobs, replaced by food stamps even as the repubs have worked hard to gut welfare as much as they can.

      If one wanted to be a conspiracy guy, it would be easy to say that our gov't both dems and repubs are working hard to make America a nation with two classes, with a few extremely rich and the rest poor.Then, you use welfare, which americans will need just to eat, to control them, in this one world order conspiracy that lots of people believe is happening. Driven by of course a group of rich elites, the world over. I don't buy into the one world gov't, but more and more MNCs and banksters are getting more and more control, and taking away sovereignty, and each trade bill has certainly contained the tools to do just that, with these corporate trubunals which rule over even our own local and state gov't, and perhaps even the federal govt as well.

      At no time in our history have MNCs and banksters had so much power, taking away national sovereignty than today, and this is what Neoliberalism,brought back by the repubs has yielded.

      Today the majority of americans do not want TPP, and again, as the Princeston Study has shown, the interests of the elites are the only interests considered when it comes to policy and law. If this isn't proof of an oligarchy, what more do you need? When the will of the people is totally ignored, now by the republicans, why in hell would anyone here vote for a single republican? Why? The same can be said of the dems too, but at least there is some resistance to TPP today from the dems, and at least one presidential candidate running as a dem is making this oligarchy an issue. For it is this oligarchy that is driving up our debt, for they have an allegiance to no nation.


      • #4
        Originally posted by JDJarvis View Post
        The CBO releases figures based on carefully crafted scenario sthey are handed so CBO figures are always politically shaped and have to be taken with a grain of salt.
        That said...people think we already aren't being impacted by our huge debt and it will cause problems a decade from now? It is causing problems now. The U.S. needs a lot of infrastructure improvement andwe are not going to get it in a timelly fashionbecause we cant afford it.
        We could easily afford it if we'd stop handing out foreign aid, tweak some regulations to encourage business investment, stop getting involved in occupying nations who do not want us there and from whom we are not stealing everything that isn't nailed down (and some of the stuff that is), maybe try to balance the budget.


        • #5
          Originally posted by reality View Post

          We could easily afford it if we'd stop handing out foreign aid, tweak some regulations to encourage business investment, stop getting involved in occupying nations who do not want us there and from whom we are not stealing everything that isn't nailed down (and some of the stuff that is), maybe try to balance the budget.
          Business investment in what sector? We are a service sector economy. And look at the quality of jobs added since we became one. When you compete with cents on the dollar labor, well, we cannot compete, no matter how much we deregulate. Anyways, many of the regulations are regulations that keep others out of business, to stifle competition. And those are not going anywhere. So that only leaves environmental regulations. No one wants us to look like china, that has a living brain cell,

          The only manufacturing we will ever see grow will use robotics, which doesn't need hardly a workforce at all to make what we consume. We are in times that will lead to an implosion of capitalism as we know it. It cannot be avoided. So I would go ahead and get your socialist t shirt from china,or Vietnam while you still have an income to buy one.

          National debt will continue to grow, or we implode sooner when we cut people off from food. For we will not stop our war contractors from making their money. We will not rebuild and repair our infrastructure, for a hollowed out America cannot afford it, and wage perpetual war for perpetual peace. The US is headed towards a third world nation unless we get these corporate goons in DC out, and put people in not owed by the elites. Yet we think we can remain this course which hollows out America and be just fine. Won't work. And you can drop taxes to nothing, deregulate till the cows come home. For too many people cannot grasp what is driving this, and so they fall back on regulations and taxes.


          • #6
            Here is an interesting article that concerns debt, and which most americans know nothing about...

            In April 2003, with Baghdad occupied by American troops, the top officials of the Bush administration were already dreaming of building bases in Iraq that would be garrisoned more or less in perpetuity. Everyone was too polite to call them permanent bases, so they were sometimes referred to by the Pentagon as enduring camps. Still, planning for permanent access to at least four giant Iraqi bases was underway, as Thom Shanker and Eric Schmitt of the New York Times reported then. These were intended to anchor a Pax Americana in the Middle East.
            In the months that followed President Bushs mission accomplished speech, the U.S. military began constructing bases in remarkable profusion. By late 2003, Lieutenant Colonel David Holt, "tasked with facilities development" in Iraq, was quoted in an engineering magazine speaking proudly of several billion dollars already having been sunk into base construction. ("The numbers, he said, are staggering.") By 2005, as the country disintegrated into Sunni and Shiite insurgencies and chaos ensued, there were 105 U.S. bases in the country, ranging from tiny combat outposts to monster facilities like Balad Air Base with its own Pizza Hut, Subway, and Popeye's franchises, "an ersatz Starbucks," a 24-hour Burger King, two post exchanges, and four mess halls. By the height of the occupation, Washington had reportedly constructed a mind-boggling 505 bases without any kind of public accounting of what was being spent on them. By 2011, when the last U.S. troops slipped out of the country, every one of them (except the 506th base, the giant three-quarters-of-a-billion-dollar American Embassy that the Bush administration built in Baghdad) had been abandoned to the Iraqi military, to looters, or to the ravages of time.
            And that was that... or was it?
            When the Obama administration launched Iraq War 3.0 last year, sending in 3,000 American advisers, trainers, and other personnel, it garrisoned some of them on familiar bases reoccupied for the occasion. Last week, as it was preparing to dispatch the next round of trainers and other personnel to Iraq, it also announced the opening of a brand-new lily pad (or bare-bones) base for them at Taqaddam in al-Anbar Province, nearer to the front lines of the conflict with the forces of the Islamic State. At the same time, Chairman of the Joint Chiefs General Martin Dempsey began to talk up the possibility of building additional lily pads -- a network of new bases -- for more U.S. personnel elsewhere in Iraq. (Such a lily-pad strategy was, by the way, tried in Afghanistan and essentially failed.) Soon after, the New York Times reported that President Obama was open to such a strategy. In other words, in Washingtons Groundhog Day-style conflict in Iraq, round two of base building was now underway.
            And heres one strange thing: no newspaper reporting on any of this mentioned that there had been a previous history of base building in Iraq -- not even the Times, whose reporters first covered the story back in April 2003. That crucial history has, it seems, simply vanished. In this country, its as if it never happened. And yet the minute you consider the proposed lily-pad strategy in the context of those 505 abandoned bases, it seems risible.
            TomDispatch regular Andrew Bacevich turns to this very combination of collective amnesia and repetitive madness today, so feel free to follow him down the Washington rabbit hole
            Yet when the question of debt comes up, we never talk about an area which drives debt up, and while we cannot find the money to rebuild America, they can always find it for things like what the the article lays out. And of course, since we have privatized so many things, who benefits from this waste of tax dollars and borrowing? Would you say, MNCs, big corporations? We always have money to give to these corporations, but holler and scream when we might want to help out own people who are struggling from the corporate coup that has taken over our gov't?


            Talking about sinking money and going in debt in a black hole!!! Corporations are sucking this nation dry and the only thing the repubs are concerned about is sinking more into this, and dropping taxes on the same people who end up sucking America dry.