Gov't shutdown averted as House votes $4B cuts

Gov't shutdown averted as House votes $4B cuts

news.yahoo.com

The House passed emergency short-term legislation Tuesday to cut federal spending by $4 billion and avert a government shutdown. Senate Democrats agreed to follow suit, handing Republicans an early victory in their drive to rein in government.

(visit the link for the full news article)

I know a lot of people here were thinking that the Government would shut down on March 4th and that chaos would ensue.

I had called this "showdown" political theater...and it appears that is exactly what it was. The Republicans made a deal with the democrats to pass a short term solution with a token cut in spending just to please their voters.

So look what happens...the Republicans look like they are trying to keep their promises...and the Democrats look like they are somewhat standing up to the Republicans.

It's political theater...a shutdown was never a possibility...I know this because the media didn't try to hype it up.

news.yahoo.com
(visit the link for the full news article)

reply to post by MindSpin

But Republicans seized on the vote as setting a precedent for cuts of $2 billion a week — which, if extended through the end of the budget year, would match the $61 billion in cuts in a measure passed by the House last month to meet their promise of cutting federal agency operating budgets back to levels in place before Obama took office.

Amazing though, when Obama took office the country needed to cut spending..
But now they're hoping to get BACK to pre Obama operating budgets??

4 billion $ in cuts. This is so BS.

Guess what people, 1.7 trillion needs cutting. You know how many 4 billion that is? 425.

And everyone is focusing on the ``budget extension`` BS... when the REAL THREAT is the DEBT CEILING... which will be reached WITHIN THE MONTH.

reply to post by Vitchilo


Whats the US Debt? 80 trillion? I hardly think 4B would even put a tiny weeny dent in it.

reply to post by Vitchilo


The debt ceiling is the thing to keep an eye on.

If that fails to be increased, we could see the US credit rating lowered and even intervention by the IMF.

Austerity measures will not be fun.

reply to post by MikeboydUS

Austerity measures will not be fun.

That is the understatement of the century.

Moodys, the liars that they are, say that if the US government approves the GOP measure of cutting this 4 billion $, resulting in 61 billion $ in total for the year, would mean a loss of 700 000 jobs to 2012.

Here Washington Post quoting Moody

Let's ASSUME that they are right... and do some maths.

61 billion $ cut = 700 000 jobs lost
1700 billion $ needed to be cut to stop deficit = 19.5 million jobs lost

Of course, that is ASSUMING that the interest on the bonds stay the same, which is IMPOSSIBLE since they are at record low.

It's also ASSUMING that the government income will stay the same, which is IMPOSSIBLE since 19.5 million jobs will have been lost.

It's also ASSUMING that those 19.5 million jobs will be the ONLY ONES lost if the US government cuts spending by 1700 billion. The GDP would crash by 10%+ at least IN THE FIRST YEAR.


When the US bond market FINALLY AWAKES and it goes the way of Greece/Portugal/Ireland.... you can bet that ``Austerity measures will not be fun``...

reply to post by MindSpin


With all due respect, it isn't "over" yet. We'll see what happens come mid-March, when the "new shutdown deadline" rolls around.

Originally posted by Vitchilo

When the US bond market FINALLY AWAKES and it goes the way of Greece/Portugal/Ireland.... you can bet that ``Austerity measures will not be fun``...

edit on 2-3-2011 by Vitchilo because: (no reason given)

I think i remember a past president saying “We do these things not because they are easy but because they are hard…” So this should be right up your street :-)

It's all a big sick joke being played on us. Yes cut all of these programs that people get jobs from and people who need help get it from, meanwhile spend trillions overseas to help other people (whom we aren't even helping!)

Of course, it's apparent our goal never was to help iraqis, or afghanis, or anyone else. We just have to give the appearance of helping to justify this spending. Cut the military spending and watch America flourish!

It's a bit too late for that, talk about burning bridges, we've done our share of bridge burning.

People we must wake up!

Originally posted by bluemirage5
reply to post by Vitchilo

 

Whats the US Debt? 80 trillion? I hardly think 4B would even put a tiny weeny dent in it.

BUT you have to start somewhere. I don't care how small. Start the cuts and keep them coming.

Where are you people getting these numbers? Debts of 80 Trillion? WTF? What wrote that?

Here folks look:

www.usdebtclock.org...

14 trillion in National DEBT. 1.3 Trillion DEFICIT.

Please folks, stop watching FOX News, they aren't good for denying ignorance.

80 Trillion? WTF? Seriously, and who is the who said we are giving TRILLIONS away to foreign countries? Seriously people stop throwing out numbers that make absolutely no sense whatsoever and aren't backed by ANYTHING.

This stop gap measure is just that, a stop gap measure and just pushed off the inevitable for a few weeks. Real solutions have to be found and not just by cutting the throats of the poor.

Originally posted by MikeboydUS
reply to post by Vitchilo

 

The debt ceiling is the thing to keep an eye on.

If that fails to be increased, we could see the US credit rating lowered and even intervention by the IMF.

Austerity measures will not be fun.

Just like this budget "fight"...the debt ceiling will be raised with little real opposition.

You will hear Republicans on Fox News say how we can simple not let the debt ceiling raise anymore...that we have to be "fiscally responsible" to spend within that ceiling.

Then an increase will pass.

And they will come back out and say, "we had to do it for the good of the country, it's not something we wanted to do, but we couldn't let the country fail".


Democrats will come out looking as the "winners" in that battle.

Originally posted by MadDogtheHunter
reply to post by MindSpin

 

With all due respect, it isn't "over" yet. We'll see what happens come mid-March, when the "new shutdown deadline" rolls around.

Meh, just two more weeks for both sides to flex muscle and show their voters they are fighting for what they believe in.

No one is going to let the government shut down...at least for no longer than a week or so.

Since Fed's spend almost $7M a min, the $4B cut equates to about 9.5 hrs worth of Federal spending.
Drinks on the house we're in the money!

How are they gunna cut $4 billion? Israel needs our hard raped money, were in lIbya now, afghanaistan has been an ongoing unpopularity of overspending...they cant even pay off the defecit!
afghanistan should have stopped a lONG time ago, and sending money to Israel, because of hillary clinton..she should be pushed out or fired or something then,..helping ot bankrupt the federal government that in itself is an act of terrorism dont ya think?
eh its useless i guess. i dont see why they dont just leave the money machine on at the federal reserve, and leave a note for us taxpayers UOME in time

reply to post by whatukno

14 trillion in National DEBT. 1.3 Trillion DEFICIT.

14 trillion in debt is ``correct``...
According to Richard W. Fisher, the president and CEO of the Federal Reserve Bank of Dallas, the unfunded liabilities of the US Social Security and Medicare system stand at $99.2 trillion today. That figure is not a misprint. If the US government plans to keep operating the Social Security system and the Medicare system, then the official federal debt really is $11.3 trillion plus $99.2 trillion, or $110.5 trillion.

And the deficit being 1.3 trillion IS A LIE.

From their own TREASURY NUMBERS.
2010 fiscal year deficit (Oct. 1 2009-Sep. 30 2010) : 1.64 trillion deficit
2010 year deficit (Jan 1-Dec.30 2010) : 1.73 trillion deficit.

Don't believe me? Go calculate it yourself from the Treasury own website : Treasury website debt to the penny.

Stop believing the freaking medias and your lying president and his bunch of crooked advisers and start doing your own calculations!

Seriously, and who is the who said we are giving TRILLIONS away to foreign countries

They meant the MILITARY BUDGET of invading Iraq and Afghanistan, which was over a trillion $ + foreign aid to various countries who don't need it/don't deserve it...

GUESS WHAT! YOU WON'T GET YOUR PENSIONS AND YOUR BENEFITS.

Well, at least everyone agrees that we cannot ever ever EVER cut a penny from defense and intelligence. Cause THAT would be unTHINKable!

Heck, if we simply stop _growing_ the budget for them, it's called a 'cut' by the ever-lovin', ever-trustable Fox "News".

So, yeah, let's cut discretionary spending, cause that's simple (and nowhere NEAR enough) and find 1.2 trillion in a few hundred billion.

I'm sure if we just believe REALLY hard, and pray, and ask Father Santa Clause for help, it'll all work out, somehow.

Right?

Right?!

RIGHT?!

Cause, otherwise... we'll have to deal with, y'know, reality and that's simply unacceptable.

Originally posted by whatukno
This stop gap measure is just that, a stop gap measure and just
pushed off the inevitable for a few weeks.

that's the point a lot of folks here are missing.
This law just pushed the date forward by 2 weeks.
Then we are right back to square one again.
There were no winners here. No different than
filing an extension on your tax return.

Originally posted by skylightsintheillions
It's all a big sick joke being played on us. Yes cut all of these programs that people get jobs from and people who need help get it from, meanwhile spend trillions overseas to help other people (whom we aren't even helping!)

Of course, it's apparent our goal never was to help iraqis, or afghanis, or anyone else. We just have to give the appearance of helping to justify this spending. Cut the military spending and watch America flourish!

It's a bit too late for that, talk about burning bridges, we've done our share of bridge burning.

People we must wake up!

I wish I could understand the reasoning. Are they really trying to take over in Middle East? Are they really after the Oil? Are they worried that the Middle East will destabilize? Although that would push oil prices through the roof... it's no different than what is happening now. I no longer think it's about the oil. I no longer think it's about the stability... I think they are worried that if they leave, Middle East will actually stabilize and become another, un-wanted economic threat. Why else seed and support so many dictators?

This reminds me of the huge corporation, I can no longer stand, I work for... everyone has their own agenda. Every team will fight tooth and nail to keep their code from other teams. The left hand is made blind to what the right is doing. I don't understand this mentality... it is insanity. Is this one of those redundant systems to promote 'stability'?

If I have it all wrong, can someone with sufficient knowledge of this stuff post a message on my profile or something please? Please! I have tried to grasp it but I cannot.

It is obvious to me that if America stopped with all the overseas spending, they would rock... well, until China rocks them... and then India.

Regarding people waking up; you are preaching to the wrong crowd. Post it on your facebook and die a little inside when not one of your 300+ friends leave a comment.

"Damn, we are stupid in the future."

These are my opinions.