Debt warning rocks US economy

Debt warning rocks US economy

www.rawstory.com

"Because... the path to addressing these (problems) is not clear to us, we have revised our outlook on the long-term rating to negative from stable," S&P said.

With a federal budget gap estimated at 10.8 percent of GDP by the end if this year, it said Washington will find it difficult to achieve its goal of halving the deficit by 2013.

(visit the link for the full news article)

S&P is says the U.S. could loose its AAA rating as early as 2013. they are reducing it to Negative now based on the fact that we have no plan to get out of the inevitable, at least half our population is out of work or in a low paying job.
our political leaders and Pres. can not come to any sort of agreement.

this quote from White House does not give me hope. anything will be solved and only gives me the impression of a planned collapse.

"We think that the political process will outperform S&P expectations," said White House spokesman Jay Carney.

"The fact is, when the issues are important, history shows that both sides can come together and get things done."

The inference is that the S&P will not wait for the full election process to play itself... and that a plan must be in place before the (2012) presidential election to avoid a downgrade," said currency specialist Alan Ruskin of Deutsche Bank.

amazing to me none of the mainstream US is interested in this our dollar markets are terrible silver and gold are skyrocketing but that's just a fluke the dollar will recover. and everyone believes it, just go along citizens pay your taxes and all will be taken care of...

all the while what is the Fed Reserve doing?

Analysis: Fiscal Mess a Growing Worry for the Federal Reserve

"As (economic) activity continues to pick up, large sovereign funding requirements will put upward pressure on interest rates, slowing the recovery of the private sector and lowering potential output," the WEO went on. "This could cause abrupt increases in interest rates in the United States (from especially low levels) that could destabilize global bond markets, with particularly deleterious effects on emerging market economies."

WE are being stalled!! the worst thing to do is NOTHING and that is what our 2 party fighting system is forcing upon us. they are stalling any and all progress.

www.rawstory.com
(visit the link for the full news article)

The article that Cantor sent around (CNBC www.cnbc.com... ), also pointed out that the last time there was a warning like this was during the Clinton administration - the last time the Republicans threatened to not vote to raise the debt ceiling (unlike the 19 times the did raise the ceiling under a republican president. I guess Cantor was so giddy he forgot to read all of the article -- or he figured the public was to dumb to read the article.

I read somewhere that the debt is actually around 117 trillion.

Stand Fast Soldier !!!
We have a few weeks left.
The new DHS Detainee Handbooks will not be
available from the printing house til after April, 29
2011. Then add a couple weeks to get them disbursed
and implemented. So I'd say the US Dollar will last
til around the middle of May.

reply to post by boondock-saint


But...there are only about 500,000 books to be printed, and there's way more of us than that.

Oh, wait, the Georgia Guidestones said to keep the population to 500,000 or so, so we're good.

Originally posted by Arcade425
I read somewhere that the debt is actually around 117 trillion.

Estimates are all over the board, and given the Federal Reserve's secrecy and how they take the majority of profits into their own pockets, and pass any losses off to us, I couldn't even begin to throw down an accurate number.

Our $100 Trillion National Debt

Now that doesn't take into account the Fed's shadow debt.

www.theaustralian.com.au...

Mr Kotlikoff and Mr Moylan agree US national debt is much more than the official $US13.4 trillion number, but they disagree over how to add up the exact number.

Mr Kotlikoff says the debt is actually $US200 trillion.

Mr Moylan says the number is likely about $US60 trillion.

U.S. is BANKRUPT Actual U.S. Debt 200 TRILLION :
www.abovetopsecret.com...

The problem is not only a landlocked government, but the banks have failed again into doing what they were supposed too do. The bailouts were paid back, but the bad bank debt wasn't resolved. The promises to help foreclosure rates by the banks have not been kept.

This is why regulation is so very important.

reply to post by nixie_nox


The "official" bailouts were paid back however the Fed secretly gave out trillions in 0.007% loans to bankers around the world. The banks then loaned that money back to us and the government at much higher rates.

The only was this issue can be solved is if the government repudiates all debts held by the Federal Reserve and the bankers then seizes control of currency policy and puts a responsive political body in charge. I would much rather have a politician who is worried about the vote be in charge of monetary policy than a banker who could care less.