Shocking admission from Tim Geithner: U.S. on the brink of catastrophic collapse
goingbroke
Posts: 1,410
"Says default could occur in just three months... "
The Treasury Secretary of The United States of America just said that if we don’t get another $1 trillion or so dollars by March of this year then this country will begin to default on its debt obligations the opposing view from Karl Denninger Let me be clear: If you extend the debt ceiling and by doing so allow deficits of this sort to continue for another year, say much less two, you will have placed a loaded shotgun in the mouth of this nation and pulled the trigger.
It will go off, and you will splatter this nations’ economic and political system all over the wall.
The Treasury Secretary of The United States of America just said that if we don’t get another $1 trillion or so dollars by March of this year then this country will begin to default on its debt obligations the opposing view from Karl Denninger Let me be clear: If you extend the debt ceiling and by doing so allow deficits of this sort to continue for another year, say much less two, you will have placed a loaded shotgun in the mouth of this nation and pulled the trigger.
It will go off, and you will splatter this nations’ economic and political system all over the wall.
Many successful BST transactions ajia
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mariner67, and Mikes coins
(x2,Meltdown),cajun,Swampboy,SeaEagleCoins,InYHWHWeTrust, bstat1020,Spooly,timrutnat,oilstates200, vpr, guitarwes,
mariner67, and Mikes coins
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Dr. Paul summed it up best when he recently stated "it's not a revenue problem, it's a spending problem."
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
don't lose sleep over it.
<< <i>"Says default could occur in just three months... "
The Treasury Secretary of The United States of America just said that if we don’t get another $1 trillion or so dollars by March of this year then this country will begin to default on its debt obligations Let me be clear: If you extend the debt ceiling and by doing so allow deficits of this sort to continue for another year, say much less two, you will have placed a loaded shotgun in the mouth of this nation and pulled the trigger.
It will go off, and you will splatter this nations’ economic and political system all over the wall. >>
That language is not a quote from Geithner.
<< <i>
<< <i>"Says default could occur in just three months... "
The Treasury Secretary of The United States of America just said that if we don’t get another $1 trillion or so dollars by March of this year then this country will begin to default on its debt obligations Let me be clear: If you extend the debt ceiling and by doing so allow deficits of this sort to continue for another year, say much less two, you will have placed a loaded shotgun in the mouth of this nation and pulled the trigger.
It will go off, and you will splatter this nations’ economic and political system all over the wall. >>
That language is not a quote from Geithner. >>
True, but this is what was said:
“Never in our history has Congress failed to increase the debt limit when necessary,” Geithner said in the letter, which was sent to all members of Congress. “Failure to raise the limit would precipitate a default by the United States. Default would effectively impose a significant and long-lasting tax on all Americans and American businesses and could lead to the loss of millions of American jobs.”
<< <i>
<< <i>
<< <i>"Says default could occur in just three months... "
The Treasury Secretary of The United States of America just said that if we don’t get another $1 trillion or so dollars by March of this year then this country will begin to default on its debt obligations Let me be clear: If you extend the debt ceiling and by doing so allow deficits of this sort to continue for another year, say much less two, you will have placed a loaded shotgun in the mouth of this nation and pulled the trigger.
It will go off, and you will splatter this nations’ economic and political system all over the wall. >>
That language is not a quote from Geithner. >>
True, but this is what was said:
“Never in our history has Congress failed to increase the debt limit when necessary,” Geithner said in the letter, which was sent to all members of Congress. “Failure to raise the limit would precipitate a default by the United States. Default would effectively impose a significant and long-lasting tax on all Americans and American businesses and could lead to the loss of millions of American jobs.” >>
Translation: The game that has enriched me and my friends, at the expense of the public, would start to unravel.
There really is a problem with this setup.
I knew it would happen.
(x2,Meltdown),cajun,Swampboy,SeaEagleCoins,InYHWHWeTrust, bstat1020,Spooly,timrutnat,oilstates200, vpr, guitarwes,
mariner67, and Mikes coins
<< <i>And of course cutting spending is completely off the table. It would never even occur to them that maybe the government needs to scale back any. >>
Hey, remember, it's those "way out"* there guys like Congressman Ron Paul who talk like you are and would absolutely cut the size of this monstrosity that has taken 100 years to build and which is consuming this place, our freedoms and our childrens futures by leaps and bounds at this point.
Yeah, he and the rest of us who have similar views are really far out.
* one of several ignorant insults lodged by the mostly main stream press, the various useful idiots ( there's a lot of them ) and others who have thrown their support behind these evil, immoral "ideas" that have consistently failed. One has to wonder at some point I would think to change course.
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
NYT
Washington Post
WSJ
<< <i>And of course cutting spending is completely off the table. It would never even occur to them that maybe the government needs to scale back any. >>
True dat!
So tell me, why did the dollar suddenly get stronger today?
Or did something harpoon the Euro?
TD
(x2,Meltdown),cajun,Swampboy,SeaEagleCoins,InYHWHWeTrust, bstat1020,Spooly,timrutnat,oilstates200, vpr, guitarwes,
mariner67, and Mikes coins
Or did something harpoon the Euro?
The dollar came up quickly to key resistance at 80.5 and sat there for a few hours....until the 10 am whack to PM's. Most everything in the commodity and stock sector took a splunge at that point propping up the dollar. I don't think it was a rush to get into the dollar, but probably a rush to get out of everything "risky" once the risk trade was sold out at 10 am. Guess it's open to debate what actually started yesterday's morning splunge.
US Dollar futures
roadrunner
<< <i>How can anyone in this enviornment part with their physical
You would have to be nuts or cash poor or a full time bullion dealer. Those are the only 3 scenarios where one is selling physical right now IMO.
Box of 20
An excellent example was on the news last night. the local school district is going to raise the class size from 21 to 25 so the reporter was interviewing the locals. You would have thought someone was casting their children into hell and they were going to fight in the streets to keep this from happening. It would have been very interesting to have seen a story on the other side of the coin about property owners having to get their taxes raised the 8% that it would take to maintain the current level of funding and class size. This is an excellent example of what the national budget fight is going to be about.
On one side, you have the general population that has been the beneficiary of our past economic growth and the creation of support programs that could be paid for with that growth. On the other side you have the people representing those that have to pay for it. The people that have to pay for it just put a bunch of their guys into congress where they decide what gets funded and what doesn't.
Spending must be reduced so the free rides and cushy gains of the irrational exhuberance era will likely be the first things cut, there is simply no money to fund them without borrowing money that does not exist. The cushy programs will likely still exist, they just won't have any funding. The next question is will they still have staff and directors or exist in name only. Of course, the directors and staff could always work for free as their contribution to society and the programs that they so deeply believe in...yeah.
Box of 20
<< <i>It is so much easier to demand that we keep funding those programs than it is to take the political heat for removing them, particularly, education related expenses. The solution will be to simply defunded them.
An excellent example was on the news last night. the local school district is going to raise the class size from 21 to 25 so the reporter was interviewing the locals. You would have thought someone was casting their children into hell and they were going to fight in the streets to keep this from happening. It would have been very interesting to have seen a story on the other side of the coin about property owners having to get their taxes raised the 8% that it would take to maintain the current level of funding and class size. This is an excellent example of what the national budget fight is going to be about.
On one side, you have the general population that has been the beneficiary of our past economic growth and the creation of support programs that could be paid for with that growth. On the other side you have the people representing those that have to pay for it. The people that have to pay for it just put a bunch of their guys into congress where they decide what gets funded and what doesn't.
Spending must be reduced so the free rides and cushy gains of the irrational exhuberance era will likely be the first things cut, there is simply no money to fund them without borrowing money that does not exist. The cushy programs will likely still exist, they just won't have any funding. The next question is will they still have staff and directors or exist in name only. Of course, the directors and staff could always work for free as their contribution to society and the programs that they so deeply believe in...yeah. >>
I remember when I went to school we had over 40 kids in my classes and we did not suffer from it.
This has gotten way out of hand in the class sizes and needs to stop.
Kids today have it way too easy.
(x2,Meltdown),cajun,Swampboy,SeaEagleCoins,InYHWHWeTrust, bstat1020,Spooly,timrutnat,oilstates200, vpr, guitarwes,
mariner67, and Mikes coins
Knowledge is the enemy of fear
<< <i>The "default" would be on the promises made to those receiving entitlements. The USA will not default on its debt. >>
Then lets not raise the ceiling, and instead start living within our means.
<< <i>
<< <i>The "default" would be on the promises made to those receiving entitlements. The USA will not default on its debt. >>
Then lets not raise the ceiling, and instead start living within our means.
What a novel idea.
Why didn't congress and the president think of that.
I would love to have an ingot of gold too, but I can't afford it, so I guess I won't buy it!
= = = = = =
Didn't those holding GM debt get the shaft... and those receiving entitlements at GM, were awarded ownership?
Yes, at least 50 years of legal precedent was completely trashed as failed management practices coupled with bloated union pensions were funded by extorting money from the US taxpayers in the name of saving capitalism, when in reality it resembled nothing like capitalism.
I knew it would happen.
<< <i>"The "default" would be on the promises made to those receiving entitlements. The USA will not default on its debt. "
= = = = = =
Didn't those holding GM debt get the shaft... and those receiving entitlements at GM, were awarded ownership? >>
GM should have been let to fail. The Unions should have failed. People are getting fed up with this. The tide is turning, albeit very slowly.
As an aside, there is lots of political turmoil in Europe about letting holders of bank debt lose money. I cant believe this is even a topic of discussion. ANYONE who has an investment in ANYTHING should know there is a possibility of loss and should suffer loss when/if that investment turns. I guess its just too logical.
Knowledge is the enemy of fear
Then we can go back to producing what we consume.
Paying cash for what we can't produce.
And getting back to the basics!
Bob
<< <i>
<< <i>"The "default" would be on the promises made to those receiving entitlements. The USA will not default on its debt. "
= = = = = =
Didn't those holding GM debt get the shaft... and those receiving entitlements at GM, were awarded ownership? >>
GM should have been let to fail. The Unions should have failed. People are getting fed up with this. The tide is turning, albeit very slowly.
As an aside, there is lots of political turmoil in Europe about letting holders of bank debt lose money. I cant believe this is even a topic of discussion. ANYONE who has an investment in ANYTHING should know there is a possibility of loss and should suffer loss when/if that investment turns. I guess its just too logical.
I agree. Unless it's my investment.
TD
Why People Don't Buy Gold
(x2,Meltdown),cajun,Swampboy,SeaEagleCoins,InYHWHWeTrust, bstat1020,Spooly,timrutnat,oilstates200, vpr, guitarwes,
mariner67, and Mikes coins
<< <i>Didn't those holding GM debt get the shaft... and those receiving entitlements at GM, were awarded ownership?
Yes, at least 50 years of legal precedent was completely trashed as failed management practices coupled with bloated union pensions were funded by extorting money from the US taxpayers in the name of saving capitalism, when in reality it resembled nothing like capitalism. >>
It was far cheaper to give the union an interest in GM for pension obligations. Otherwise the $100 billion liability for pensions would fall on the taxpayers through the Pension Benefit Guaranty Corporation.
GM's pension obligations are not taxpayer liabilities and never should be taxpayer liabilities. The union benefits drove that company into the ground and should never have been extended. GM workers were always well-paid and their pensions were cadillac plans. Many people have no pension benefits at all, myself included. To make GM pensioners into a protected class doubles the insult to anyone who pays taxes. Since the number of people who actually pay taxes on their earnings keeps shrinking, it becomes a question of when to bail, not if.
I knew it would happen.
<< <i>"Says default could occur in just three months... " >>
That's NOT what was said. The credit limit could occur in just three months, and if the debt limit is not raised , a default WILL occur.
When a debtor is in default, the creditors can accelerate all the outstanding loans to be payable immediately. Typ[ically they can seize
assets and raise the interest rates on defaulted obligations. This would cost the country trillions of dollars if not a war or nuclear blackmail
from communist China. Is this really something the teabaggers want to risk?
Before we all die off and only the "PC liberals" are all that's left and the REDs just come take anything they want
<< <i>
<< <i>"Says default could occur in just three months... " >>
That's NOT what was said. The credit limit could occur in just three months, and if the debt limit is not raised , a default WILL occur.
When a debtor is in default, the creditors can accelerate all the outstanding loans to be payable immediately. Typ[ically they can seize
assets and raise the interest rates on defaulted obligations. This would cost the country trillions of dollars if not a war or nuclear blackmail
from communist China. Is this really something the teabaggers want to risk? >>
So you would continue to kick the can down the road? Keep raising the debt limit hoping no one will notice? We've gone from $10.6T to $14T in two years. At the end of this term the national debt will be around $17T. After the 2nd term possibly $24T.
So we default in three months or keep kickin' it and default in a year, 2 years, 3 years,... When? Either way it's going to happen. The longer we wait the harder it will be to restore America.
I didn't know that, but what good does it do the creditor if the debtor isn't paying anyhow? Default means that if you are owed money, "you're screwed" in any language.
Typ[ically they can seize assets and raise the interest rates on defaulted obligations. This would cost the country trillions of dollars if not a war or nuclear blackmail from communist China. Is this really something the teabaggers want to risk?
Nobody seized assets from the USSR or nuked the USSR when they defaulted. What did happen was that the state lost control of territories and the people in those territories took some control back from the USSR.
By the way - why the name calling, Frank? I thought that enlightened people didn't have to resort to name calling, and were satisfied to deal with the facts and the issues at hand.
I knew it would happen.
<< <i>When a debtor is in default, the creditors can accelerate all the outstanding loans to be payable immediately.
I didn't know that, but what good does it do the creditor if the debtor isn't paying anyhow? Default means that if you are owed money, "you're screwed" in any language.
Typ[ically they can seize assets and raise the interest rates on defaulted obligations. This would cost the country trillions of dollars if not a war or nuclear blackmail from communist China. Is this really something the teabaggers want to risk?
Nobody seized assets from the USSR or nuked the USSR when they defaulted. What did happen was that the state lost control of territories and the people in those territories took some control back from the USSR.
But, Comrade jmski, territories separated from the USSR to (re)create their own countries. That is one possibility here...the Balkinization of America.
<< <i>
GM's pension obligations are not taxpayer liabilities and never should be taxpayer liabilities. The union benefits drove that company into the ground and should never have been extended. GM workers were always well-paid and their pensions were cadillac plans. Many people have no pension benefits at all, myself included. To make GM pensioners into a protected class doubles the insult to anyone who pays taxes. Since the number of people who actually pay taxes on their earnings keeps shrinking, it becomes a question of when to bail, not if. >>
All pensions are guaranteed ultimately by taxpayers under the Employee Retirement Income Security Act of 1974, signed by Richard Nixon.
<< <i>The world will soon wake up to the reality that everyone is broke and can collect nothing from the bankrupt, who are owed unlimited amounts by the insolvent, who are attempting to make late payments on a bank holiday in the wrong country, with an unacceptable currency, against defaulted collateral, of which nobody is sure who holds title.
Why People Don't Buy Gold >>
Excellent
<< <i>
<< <i>
GM's pension obligations are not taxpayer liabilities and never should be taxpayer liabilities. The union benefits drove that company into the ground and should never have been extended. GM workers were always well-paid and their pensions were cadillac plans. Many people have no pension benefits at all, myself included. To make GM pensioners into a protected class doubles the insult to anyone who pays taxes. Since the number of people who actually pay taxes on their earnings keeps shrinking, it becomes a question of when to bail, not if. >>
All pensions are guaranteed ultimately by taxpayers under the Employee Retirement Income Security Act of 1974, signed by Richard Nixon. >>
Not if we default.
<< <i>By the way - why the name calling, Frank? I thought that enlightened people didn't have to resort to name calling, and were satisfied to deal with the facts and the issues at hand. >>
I did no name calling...If you are referring to teabaggers, they still sell these souvenirs at their rallies...
They may be guaranteed but I think they can reduce the benefits. I don't think you get the full value of your pension. Bethlehem Steel
Box of 20
<< <i>Can the priciple on my mortgage be indexed to inflation in a SHTF scenario in the US/hyperinflation? >>
I do not believe so, but certainly that will be the last of your worries or the mortgage company's.