Filed under: 2-party system, bailout, Barack Obama, Bill Clinton, bush, Credit Crisis, DEBT, debt clock, deficit, devaluation, Dictatorship, Dollar, dollar collapse, Economic Collapse, economic depression, Economy, Empire, GDP, George Bush, Great Depression, Greenback, health care reform, hyperinflation, Inflation, John McCain, left right paradigm, main street, middle class, national debt, obama, obama spending, obama stimulus, obamacare, stimulus, Stock Market, Taxpayers, US Economy, US Treasury, Wall Street, White House
U.S. Debt Hits $12 Trillion, Will Double By 2019
Outside the Beltway
November 18, 2009
Barack Obama has been president for just under 10 months but he’s added two trillion to the national debt and will double it by the end of the decade. CBS’ Mark Knoller:
- This latest milestone in the ever-rising journey of the National Debt comes less than eight months after it hit $11 trillion for the first time. The latest high-point is not unexpected, considering the federal deficit for the just-ended 2009 fiscal year hit an all-time high at $1.42-trillion – more than triple the previous year’s record high.
Much of the increase in the deficit and debt is attributed to government spending outpacing revenue – both exacerbated by the recession and the government response to it – including hundreds of billions in bailouts and stimulus spending and tax cuts along with decreased tax revenues due to rising unemployment.
[…]
The National Debt has increased about $1.6 trillion on Mr. Obama’s watch, though less than $4.9 trillion run up during the presidency of George W. Bush.
But the White House budget review issued in August projects that by the end of the current fiscal year on Sept 30th, the National Debt could top $14 trillion. It gets worse. The same document projects that by the end of the decade, the National Debt will hit $24.5 trillion — exceeding the Gross Domestic Product projected for 2019 of $22.8 trillion.
According to the Treasury Department, the debt stood at $5.727 trillion on January 19, 2001, Bill Clinton’s last day in office, and $10.627 trillion when Bush left office eight years later. That’s $612.5 billion (or $0.6125 trillion) a year, during which we fought two major wars, had the 9/11 attacks, and at least two major bailouts to deal with a global financial crisis.
We’re thus far averaging $1.92 trillion a year under Obama, or a factor of 3.146 more. And the government is projecting that we’ll continue spending at this crisis rate for the next decade, more than doubling the current record level?
That ain’t good.
Presumably, we’d have had another major bailout had Bush stayed in office for a third term (were that Constitutionally or politically possible) or had John McCain been elected. So spending and thus the debt would have escalated substantially regardless. But we likely wouldn’t be talking about adding a massive health care payment on top of the pile.
Obama: We must spend our way out of recession (and into deeper debt)
No End in Sight to Govt. Spending Spree: $12.1T Debt Ceiling Set to Be Raised
Filed under: 2-party system, Barack Obama, bush = obama, Congress, Credit Crisis, DEBT, deficit, deficit spending, deflation, Dollar, dollar collapse, Economic Collapse, economic depression, Economy, George Bush, george w. bush, Great Depression, Greenback, health care reform, House, hyperinflation, Inflation, left right paradigm, Mitch McConnell, national debt, Neolibs, obama, obama = bush, obama stimulus, obamacare, Senate, stimulus, Stock Market, US Economy, Wall Street
Dems Looking To Raise Debt Ceiling To $13 Trillion
Washington Post
October 22, 2009
Within the next few weeks, probably as soon as the votes on health-care reform have been taken, the Senate faces the painful duty of once again raising the statutory limit on the national debt, as the House already has done.
It is never fun for the party in power, but this year will be harder than ever on the Democrats. The final accounting on the just-ended fiscal year, delivered last week, showed a record deficit of $1.4 trillion, a gap that is the largest since the end of World War II when measured against the size of the overall economy.
This is what $1 Trillion dollars looks like. The Obama administration spent One-Trillion-Four-Hundred-Billion dollars in just one year.
The Republicans are poised to pounce. Senate Republican leader Mitch McConnell accused the Democrats of “acting like a teenager on a spending spree with his parent’s credit card with no regard to who pays the bill.”
The Democrats, in turn, blamed the George W. Bush administration for starting the deficit spending and say that they themselves had no choice but to spread the red ink in order to deal with the potential economic collapse they inherited.
The one barely possible benefit from this predictably futile partisan bloodbath is the opportunity it could offer to leverage support for a long-standing bipartisan effort to force Congress to confront the hard steps needed to put the nation on a safer fiscal course.
Filed under: 2-party system, AIG, audit the fed, bailout, bailouts, Barack Obama, Bear Stearns, bernanke, Big Banks, Credit Crisis, DEBT, deficit, deflation, Dictatorship, Dollar, Economic Collapse, economic depression, Economy, Empire, Fascism, Federal Reserve, George Bush, global economy, Goldman Sachs, Great Depression, Greenback, housing market, hyperinflation, Inflation, interest rate cuts, left right paradigm, obama, rate cut, socialism, Stock Market, Taxpayers, Tim Geithner, unemployment, US Economy, Wall Street
Embracing Bushonomics, Obama Re-appoints Bernanke
Mark A. Calabria
Cato @ Liberty
August 25, 2009
In re-appointing Bernanke to another four year term as Fed chairman, President Obama completes his embrace of bailouts, easy money and deficits as the defining characteristics of his economic agenda.
Bernanke, along with Secretary Geithner (then New York Fed president) were the prime movers behind the bailouts of AIG and Bear Stearns. Rather than “saving capitalism,” these bailouts only spread panic at considerable cost to the taxpayer. As evidenced in his “financial reform” proposal, Obama does not see bailouts as the problem, but instead believes an expanded Fed is the solution to all that is wrong with the financial sector. Bernanke also played a central role as the Fed governor most in favor of easy money in the aftermath of the dot-com bubble — a policy that directly contributed to the housing bubble. And rather than take steps to offset the “global savings glut” forcing down rates, Bernanke used it as a rationale for inaction.
Perhaps worse than Bush and Obama’s rewarding of failure in the private sector via bailouts is the continued rewarding of failure in the public sector. The actors at institutions such as the Federal Reserve bear considerable responsibility for the current state of the economy. Re-appointing Bernanke sends the worst possible message to both the American public and to government in general: not only will failure be tolerated, it will be rewarded.
Geithner: Auditing the Fed is a “line that we don’t want to cross”
Filed under: bailout, Big Banks, central bank, Credit Crisis, DEBT, deficit, Dollar, Economic Collapse, economic depression, Economy, Euro, freddie mac, global economy, gold, Great Depression, Greenback, housing market, hyperinflation, Inflation, infrastructure, liquidation, Mexico, morgan stanley, mortgage companies, mortgage lenders, ohio, Oil, privatization, real estate, Stock Market, tax, Toll Roads, US Economy, Wall Street | Tags: highways, infrastructure transactions, investing, roads, run on banks
U.S. Roads, Airports Being Sold To Private Investors
Reuters
August 4, 2008
Cash-strapped U.S. state and city governments are likely to sell or lease more highways, bridges, airports and other assets to investors desperate for stable returns after being frazzled by the credit crisis.
The trend is set to pick up speed given worsening budget deficits in state capitals and city halls nationwide.
It will also be welcomed by Wall Street bankers hoping to help create and market so-called “infrastructure” transactions at a time many debt markets remain paralyzed, and after major U.S. stock indexes fell into bear market territory.
“When you are nervous about everything else, you put your money in a toll road,” said John Schmidt, a partner at the law firm Mayer Brown LLP in Chicago. “That’s the logic of infrastructure. Returns are stable and predictable. You won’t get fabulously rich, but you’ll get stable cash flow.”
The latest enthusiasm for at least partially privatizing infrastructure assets came on July 30 from New York Gov. David Paterson, who is trying to plug a budget deficit caused in part by lower tax revenue as Wall Street retrenches.
“We’re just looking at ways to be more efficient and that’s why I used the term public-private partnerships — trying to find some creative solutions,” Paterson said. “The reason I’m avoiding taxes is because I think taxes are addictive.”
Bankers and others in the industry say there is pent-up demand from dedicated infrastructure funds and public pension funds to invest in hard assets — perhaps $75 billion to $150 billion of equity capital — but not enough supply.
http://www.bloomberg.com/apps/news?pi…fQ0PVYvOgzI&refer=home
Dropping USD Makes Mexican Vacations Go Up
http://www.usatoday.com/news/world/2008-08-06-mexico_N.htm?csp=1
Dollar soars to 5-mth high vs euro as turnaround eyed
http://www.guardian.co.uk/business/feedarticle/7709840
list of ’fastest-dying’ cities includes four in Ohio
http://www.dispatch.com/live/content/busin../05/forbes.html?sid=101
Mexico’s Poor Forgo Goods as Income From U.S. Drops
http://www.bloomberg.com/apps/news?pid=20..A2CsXnpEac&refer=home
Freddie Mac’s negative net worth raises questions
http://www.reuters.com/article/news..geNumber=2&virtualBrandChannel=0
Gold sinks to $860
http://uk.reuters.com/article/goldMktRpt/idUKL144962020080808
Oil Falls To $118
http://biz.yahoo.com/ap/080805/oil_prices.html?.v=13&printer=1
Report: Freddie Mac Chief Disregarded Warnings
http://news.yahoo.com..g1D3M8_8.Si1pc1w4tgtv24cA
Roubini: Hundreds Of Banks Will Fail
http://www.reuters.com/article/bondsNews/idUSN0344130720080803?sp=true
No Change Expected In Fed Interest Rates
http://news.yahoo.com/s/ap/20080..1D3M8_8.Si1pc1w4tgtv24cA
Filed under: Abu Dhabi, Africa, Big Banks, central bank, China, Congress, corporations, Credit Crisis, DEBT, deficit, Dollar, Economic Collapse, economic depression, Economy, GE, George Bush, global economy, Great Depression, Greenback, haiti, henry paulson, housing market, humor, Inflation, infrastructure, Jim Cramer, Mad Money, Merrill Lynch, mortgage companies, mortgage lenders, neocons, Paulson, real estate, Russia, Stock Market, subprime, subprime lending, Uncategorized, US Economy, Wall Street, writedown | Tags: run on banks
Bush: “Wall Street got drunk”
http://www.financialpost.com/story.html?id=685851
Russia Cuts Exposure To Mortgage Companies
http://www.reuters.com/article/fundsFundsNews/idUSL863553320080728
Aussi Bank Writedown Shock Street?
http://www.freemarketnews.com/WorldNews.asp?nid=58634
Merrill Lynch forced to take emergency action ahead of writedown
http://business.timesonline.co.uk/tol/b..banking_and_finance/article4420207.ece
Haiti: Mud cakes become staple diet as cost of food soars
http://www.guardian.co.uk/world/..internationalaidanddevelopment
China Owns America
http://www.washingtontimes.com/ne..chinas-economic-bargaining-chip/
Economy hitting the elderly especially hard
http://www.msnbc.msn.com/id/25804814/page/2/
Congress Taps Paulson’s Helmet
http://www.321gold.com/editorials/schiff/schiff072808.html
No Angry Lines At New Failed Banks
http://news.yahoo.com/s/ap/200…AhOmkT7fUvH9bYpM6zC6uZlv24cA
Abu Dhabi To Buy Stake In GE
http://business.timesonline.co.u..try_sectors/industrials/article4380773.ece
Russia Owns 10% Of U.S. Steel Industry
http://www.reuters.com/article/reutersEdge/idUSL0746834220080407?sp=true
Cramer: Stocks are Doomed, Sell Now
http://moneynews.com/streettalk/cramer_sell_stocks_now/2008/07/09/111259.html
Controller tells Schwarzenegger he won’t cut workers’ wages
California Governor Schwarzenegger to cut state worker pay to $6.55/hr
Ford Posts Loss of $8.7 Billion on Asset Woes
Food Price Rise Has Coca Farmers Planting Rice
Pelosi Eyes $50 Billion In New Economic Stimulus
Dow Drops 200 Points On Housing Data
noworldsystem.com 