Test for Obama as Deficit Stays Over $1 Trillion

[Gerald]

WASHINGTON — Four years ago, Barack Obama campaigned for president on a promise to cut annual federal budget deficits in half by the end of his term. Then came financial calamity, $1.4 trillion in stimulus measures and a maddeningly slow economic recovery. Now, despite small annual improvements, the deficit for the fiscal year that ends on Sunday will surpass $1 trillion for the fourth straight time. Against that headline-grabbing figure, Mr. Obama’s explanation — that the deficit he inherited is actually on a path to be cut in half just a year later than he promised, measured as a percentage of the economy’s total output — risks sounding professorial at best. The fiscal imbalance on Mr. Obama’s watch, however much a result of economic and demographic factors beyond his control as well as his own policy choices, has increased the nation’s accumulated debt by about 40 percent and has saddled him with one of his biggest vulnerabilities. Facing off against Mitt Romney, Mr. Obama is on the defensive over deficits and debt nearly as much as he is over unemployment.

http://www.nytimes.com/2012/09/26/us...illion.html?hp

Note: September 25, 2012

[Onkel Neal]

Our President

—"I think that, you know, as President, I bear responsibility for everything, to some degree"—

He's safe, his supporters neither know, care, nor understand.

[eddie]

Might want to talk to our gridlocked Congress about this too! They couldn't pass a bipartison budget if they tried!

[JU_88]

Yeah this debt crisis is far from over.

Trouble is that making the kind major cuts needed to pay down Americas soveriegn debt, conflicts with its addiction to overspending on public services, expanding government and maintaining an overseas empire, (all of which are unconstitutional by the way)
And none of which anyone in mainstream politics over there seems prepared cut back on, because its too 'unpopular'.

I dont know what you guys are gonna do when people start dumping your bonds and Bernankes printing press makes the dollar near worthless - but Europe is already on life support, so I hope you guys do something quick to start turning things around, or else we are all screwed, if The U.S tanks -which it could if it doesnt act soon,
Pretty much all the developed world could become one giant Greece. It wont be pretty

[Skybird]

Earlier this summer I was sent this text by somebody. Originally I also had the link, but I lost it, must have deleted the first or last line when formatting the text and saved it, so I do not know where it originally came from. As long as you borrow money to pay debts, your debt crisis will not only never end, but progressively becomes worse and worse. Anf when inflation starts to kill private saving of ordinary people, a debts crisis turns into a social crisis. And when that social crisis burns hot enough, then everything become possible. Riots. Revolution and uprise. Civil war. National wars.

Originally Posted by ???

The basic premise of the Global Debt Bubble is that it***8217;s mathematically impossible to repay all principle and interest on global debts by borrowing more money.

By now, it should be a well known fact that through insidious and careful planning, the ***8220;powers that be***8221; have successfully gained control over a majority of the world economies and governments through fiscal manipulation and economic slavery. Although this is not difficult to understand, it is often ignored by those who continue to maintain their convenient denial of the facts.

The following explanation provides a reasonable and rational understanding of how personal wealth and monetary control have created the current Global Debt Bubble.

The majority of global currencies are printed and controlled by the ***8220;powers that be***8221; through a variety of global organizations and corporations known as the Bilderberg Group, International Monetary Fund (IMF), Group of Eight, Group of Twenty, and The Federal Reserve, etc. (hereto referred to as the ***8220;Elite***8221.

Most global currencies are printed for the governments and countries by or on behalf of the Elite and not by the governments and countries for themselves.

All currency that is printed by the Elite is then loaned to the government or country with interest and without any object, mineral, or substance as backing, security, or collateral. In other words, the currency is simply created out of thin air or in this case, paper.

As the amount of currency in circulation is increased (i.e. printing more money), the value of all currency in circulation is decreased and the principle and interest on the debt to the Elite is increased. The result of increasing the currency in circulation is that purchase prices for goods and services must increase in order for any business to maintain the same profit and the same lifestyle. This is known as inflation which is a combination of increasing prices and currency devaluation.

As the amount of currency in circulation is decreased (i.e. removing and destroying money), the value of the remaining currency in circulation is increased and the principle on debt to the Elite is decreased. The result of decreasing the currency in circulation is that purchase prices for goods and services will decrease as fewer people have access to the currency through lower incomes and a reduced lifestyle. This is known as deflation which is a combination of decreasing prices and an increase in currency valuation.

The only way for any country to repay just the principle on a debt to the Elite is by removing all currency from circulation and returning it to the Elite. It is important to note that there would be no currency remaining in circulation for anyone to purchase goods and services or to ever repay the interest on the debt to the Elite. Such an attempt would result in immediate economic collapse, poverty, and famine.

With any monetary system that is based on borrowing currency from the Elite at interest, it is mathematically impossible to ever repay both the principle and interest on the debt. Since the Elite know this fact, it can be concluded that all such currencies are designed to siphon off profits in the form of interest on the debt until the currency is forced to collapse through inflation and devaluation.

The only way for any country or government to maintain the same amount of currency in circulation and pay any interest on a debt to the Elite is to have the Elite print more currency for circulation. Of course, all currency printed for repayment of the interest on the debt is borrowed from the Elite at additional interest.

As the population of a country expands, the country must borrow more currency from the Elite for circulation in order for a majority of that population to have access to the currency for the purchase of goods and services and to maintain some semblance of a similar lifestyle.

With this debt currency model, one might ask ***8220;How would a country every get out of debt to the Elite?***8221; Answer: NEVER.

Although unlikely and unrealistic, one possibility for a government or country to eliminate this debt would be if the Elite forgave all debt of interest and principle from the government or country. It doesn***8217;t take a genius to realize this is not a realistic option.

Another option might be to remove all currency in circulation, destroy it, and then replace it with a new currency that is devalued to an equivalent of the principle and interest on the previous currency in circulation (debt). This option would give the false and misleading appearance of a new currency with no existing debt, but would also result in an instant devaluation of all new currency in circulation. With this option, any future debt would only be incurred when additional currency is printed by the Elite and placed into circulation. This option has already been planned for implementation by the Elite as soon as an existing currency reaches the point of total collapse. This is also why the IMF is having ongoing discussions on the creation of three (3) new global currencies.

Is there any method for a country or government to maintain a currency and provide their population with a reasonable lifestyle without borrowing currency from the Elite or creating debt? Answer: YES, ABSOLUTELY.

It is a well known fact that throughout history, various countries and governments have created and maintain their own currency model by printed and circulated their own debt-free currency. In such models, all currency was printed, exchanged, or loaned without interest. These models resulted in equality and prosperity for the entire population as the currency in circulation is generally only increased in order to keep pace with population growth or to improve the standard of living.

Due to the obvious advantages of a debt-free currency model for any government or country, various people and organizations throughout history have attempted to stop the Elite from gaining control over their currency. Although at times successful, the majority of these countries and governments were eventually influenced or forced to abolish their debt-free model and to replace them with the Elite***8217;s debt model.

In essence, the Global Debt Bubble is the result of a carefully designed debt currency model that has been forced upon nearly every country and government by the Elite in order to extract all wealth from the countries in the form of interest while devaluing the currency and plunging the populations into ever increasingly poverty.

This perfectly matches my thinking.

[JU_88]

@Sky Well in principle Id agree thats kind of how our sytem works in practice, yes, but your text implies that 'this mysterious elite' is behind everything, that is almost bordering on foil hat territory (illuminati conspiricy)
I dont think this is all part of a well thought out plan, i think its part of a very badly thought out plan, a plan that runs more along the lines of an 'elite' which has decided: 'oh screw integrity and sustainability - lets just make a fast buck and to hell with the consequences'.
My take on it is this: Alot of what happening in the world is likley down to a combination of greed, corruption, incompetance and a LACK of forward planning.
Sure there maybe an elite, but I do not believe its not some evil centralized group or organization like Builderburg or something. No, I think this 'elite' is far more wide spread and chaotic than that.

A total uncontrolled debt collapes would be just that - 'uncontrollable' as would be its long term consquences. If we hit a rapid global collapes, all bets are off.
Why would this elite intentionally risk compromising the very infastructure that allows them to be 'elite' in the first place? It would be a very self destructive plan on their part.
If entire civilaizations were in dissary and running amok, it would be impossible to contain it without a thermo nuclear war, and I'm not convinced 'the elite' are prepared to spend the rest of thir lives confined to an underground bunker.

[Oberon]

Originally Posted by JU_88

@Sky Well in principle Id agree thats kind of how our sytem works in practice, yes, but your text implies that 'this mysterious elite' is behind everything, that is almost bordering on foil hat territory (illuminati conspiricy)

I think the reason why a lot of these people feel the need to blame it on some mysterious cabal/illuminati is that they have trouble believing that whole groups of people, whole societies can be so incredibly stupid for so long.

[JU_88]

Originally Posted by Oberon

I think the reason why a lot of these people feel the need to blame it on some mysterious cabal/illuminati is that they have trouble believing that whole groups of people, whole societies can be so incredibly stupid for so long.

Agreed.

[Skybird]

People in power - do not like to share power.

And that explains a whole damn lot of what goes wrong in the world over and over and over again.

No tin foil hat protects you against this simple truth: people in power do not like to share power.

Another basic truth: capitalisms hates competition and rivals. Capitalists want monopolies.

And that also explains a whole damn lot of what goes wrong in the world over and over and over again.

[August]

Originally Posted by Neal Stevens

Our President

He's safe, his supporters neither know, care, nor understand.

This is why I have grown to detest the Democratic party.

Democrats in 1952: "The buck stops here"

Democrats in 2012: "Well it technically is my responsibility, sorta, kinda, more or less, unless I can pin the blame on someone else."

[mookiemookie]

Originally Posted by JU_88

almost bordering on foil hat territory (illuminati conspiricy).

Bordering on? Sounds to me like it's crashed straight through that border and is careening full on into foil hat territory.

Hanlon's Razor, people. Hanlon's Razor.

[Gerald]

[August]

Pretty scary stuff. No comment from the forum Obamanoids?

But the larger point concerns executive leadership.Every President "inherits" a government that was built over generations, which he chooses to change, or not to change, to suit his priorities. Mr. Obama chose to see the government he inherited and grow it faster than any President since LBJ.

The pre-eminent political question now is whether to reform the government we have to make it affordable going forward, or to keep growing the government and raise taxes to finance it, if that is even possible.


Mr. Obama favors the second option, though he pretends he can merely tax the rich to do it. Nobody who has looked honestly at the numbers believes that—not his own Simpson-Bowles commission and not the Congressional "super committee" he sanctioned but then worked to undermine.

[eddie]

Originally Posted by August

Pretty scary stuff. No comment from the forum Obamanoids?

A lot of blame for this mess falls at the feet of the Republicans too August, your selective memory is still working just fine!

" In 2005, the Republican controlled House of Representatives passed a GSE reform bill (Federal Housing Finance Reform Act) which "would have created a stronger regulator with new powers to increase capital at Fannie and Freddie, to limit their portfolios and to deal with the possibility of receivership". [51] However, the Bush administration opposed the bill and it died in the Senate. Of the bill and its reception by the Bush White House, Ohio Republican Mike Oxley (the bill's author) said: "The critics have forgotten that the House passed a GSE reform bill in 2005 that could well have prevented the current crisis. All the handwringing and bedwetting is going on without remembering how the House stepped up on this. What did we get from the White House? We got a one-finger salute." [52] The Bush economic policy regarding Fannie Mae and Freddie Mac changed during the economic downturn of 2008, culminating in the federal takeover of the two largest lenders in the mortgage market. Further economic challenges have resulted in the Bush administration attempting an economic intervention, through a requested $700 billion bailout package for Wall Street investment houses"

"The seasonally adjusted unemployment rate rose from 4.3% in January 2001, peaking at 6.3% in June 2003 and reaching a trough of 4.4% in March 2007. After an economic slowdown, the rate rose again to 6.1% in August 2008 and up to 7.2% in December 2008.[59] From December 2007 when the recession started to December 2008, an additional 3.6 million people became unemployed"

'The total surplus in FY 2001 was $128 billion. A combination of tax cuts and spending initiatives has added almost $1.7 trillion—through budget deficits—to the national debt since then (October 1, 2001 through September 30, 2007'

And during the Bush Administration, the size of the Federal Governent grew by 42%

I guess Republican don't walk on water either do they!

[soopaman2]

But the Kenyan....He uhh... He did uh.....

You know he is a mooslim?

A kenyan Mooslim, lemme see dat birf certificate.

Ohh, nice birth certifiicate, it's still fake, I believe in chemtrails and planet Niburu, that is gonna crash into us.

Did I mention he is the same religion as da guys who messed up the World Trade Center.
Huh? We have to hate him, cuz he is moozlim! And Kenyan, africans are uhh, worthless to us amirite...High 5 ya'll

Yeah, people take you all seriously.

Obama may not be the best we can give, but it is the best we have at the time. (imho of course)



Yes it is sad...

Chris Christie/Rick Perry 2016

(now those 2 are what real moderate Republicans look like)