8 replies to this topic

[nicolasillo]

Congress Asked to Lift Debt Limit Wednesday September 19, 10:25 am ET By Martin Crutsinger, AP Economics Writer Paulson Tells Congress the Current Debt Ceiling Will Be Hit on Oct. 1 WASHINGTON (AP) -- Treasury Secretary Henry Paulson told Congress on Wednesday that the federal government will hit the current debt ceiling on Oct. 1. He urged quick action to increase the limit, saying it was essential to protect the "full faith and credit" of the country, especially at a time of financial market turmoil. ADVERTISEMENT The current debt limit is $8.965 trillion. Unless Congress votes to raise that ceiling, the country would be unable to borrow more money to keep the government operating and to pay debt obligations coming due. The United States has never defaulted on a debt payment but the decision on whether to raise the debt ceiling often sparks a prolonged political battle in Congress. In his letter to congressional leaders, Paulson said that according to data now available, the Treasury expects to hit the current debt ceiling on Oct. 1 -- the first day of the new federal budget year. However, that projection does not take into account maneuvers the government often has to employ of withdrawing investments from certain trust funds to create room for extra borrowing until Congress finally approves a debt increase. "The full faith and credit of the United States, to which we all remain committed, is a national asset and a cornerstone of the global financial system," Paulson said in his letter. "In light of current developments in financial markets, which would be exacerbated by uncertainty in the Treasuries market, I urge the Senate to pass the legislation reported by the Finance Committee to increase the debt limit as soon as possible." The Senate Finance Committee earlier this month approved increasing the limit on the national debt to $9.82 trillion. That boost of $850 billion would be the fifth increase in the government's borrowing limit since President Bush took office in 2001. The national debt is the total accumulation of annual budget deficits, which must be financed with borrowed money. Democrats blame Bush's tax cuts and the war in Iraq for pushing the debt to record levels. Republicans defend the tax cuts, saying the deficit is now on a downward trajectory in part because of the economic stimulus provided by the tax cuts. The House approved an increase in the debt limit in May when it adopted the annual congressional budget resolution, but the full Senate has yet to act to raise the limit.

[eminimee]

I have no idea how you make any money reading and absorbing all this useless information....the market doesn't give a [bleeeep] about it.

[nicolasillo]

Agree that market doesn t give a [bleeeep].......at the moment!

[Sentient Being]

nicolasillo, don't worry about the debt level. The democrats told us that Republican spending was destroying our childrens future and if elected they would save our childrens future. The idea that the democrat congress is now outspending the republican congress is only proof the statistics are flawed, surely the democrat congress is by now operating on a balanced budget and killed all pork spending?

And just for fun lets toss another 100 billion plus at health care and don't forget, Dems will "protect" social security from actually being fixed.

Edited by Sentient Being, 19 September 2007 - 10:38 AM.

[SandStorm]

What in the world Paulson is worrying about anyway? With Easy Ben at the helm we can't ever run out of money, duh.

Edited by SandStorm, 19 September 2007 - 10:44 AM.

[Mtrader]

Well, Just print more. Chinese loves them.

[Russ]

While many think it is a joke, the US debt will eventually turn into a nightmare of hyper-inflation and bond defaults. As James Dines says..."I hope I am not alive when it happens".

[linrom1]

nicolasillo, don't worry about the debt level. The democrats told us that Republican spending was destroying our childrens future and if elected they would save our childrens future. The idea that the democrat congress is now outspending the republican congress is only proof the statistics are flawed, surely the democrat congress is by now operating on a balanced budget and killed all pork spending?

And just for fun lets toss another 100 billion plus at health care and don't forget, Dems will "protect" social security from actually being fixed.

FCC Fiscal Year 2007 Budget Estimates
Submitted to Congress February 2006

News Release: FCC Budget of $302,542,000 Proposed for Fiscal Year 2007

Small details; but, what party controlled Congress in 2006?

The One Hundred Tenth United States Congress is the current meeting of the legislative branch of the United States federal government, comprised of the Senate and the House of Representatives. It is scheduled to meet in Washington, D.C. from January 3, 2007 to January 3, 2009, during the last two years of the second administration of President George W. Bush.

FCC Fiscal Year 2008 Budget Estimates
Submitted to Congress February 2007

News Release: FCC Budget of $313,000,000 Proposed for Fiscal Year 2008

Edited by linrom1, 19 September 2007 - 01:31 PM.

[OEXCHAOS]

If you want to do something about this, go support Ron Paul. If you want to make some money in the market, ignore this. You'll lose money if you focus on such fundamental nonsense. Not only is it hazardous to your wealth, it's both off topic and wandering into politics. NO GOOD CAN COME OF THIS. Mark Young Founder Traders-Talk