'Emergency' allows the Fed to bypass Debt Ceiling?

[Engineer]

SS receipts monthly are +90% of what is needed.

Elsewhere, I've demonstrated/explained how the special SS T-Bonds can be rolled over (refinanced) into regular Treasuries thereby both (1) providing cash to the SS fund and (2) not increasing the overall federal debt.

Fern

Even though we have cut nearly 32.25% of the employee SS Payroll tax this year (from 6.2 to 4.2%)?

 

[Fern]

Even though we have cut nearly 32.25% of the employee SS Payroll tax this year (from 6.2 to 4.2%)?

Yeah.

I linked it another thread a week ago or so, the numbers were from the CBO.

It's either 93% or 97%, can't remember. IIRC, the monthly shortfall is about $4 billion.

Fern

 

[Nebor]

This is more than one thread where he's made the same threat.

Whether you find such threats & actions detestable or not, history has shown that those willing to use violence and death to impose their will on others invariably triumph over those that are above such primitive things. 😉

Pinochet: He knew how to deal with liberals 😛

 

[JSt0rm]

Whether you find such threats & actions detestable or not, history has shown that those willing to use violence and death to impose their will on others invariably triumph over those that are above such primitive things. 😉

Pinochet: He knew how to deal with liberals 😛

Killing all liberal thinkers? You guys are what you hate.

 

[JSt0rm]

Notice the mind of the neocon. They see the intelligence and rational thought of the liberal mind and they want to kill it.

 

[Nebor]

Killing all liberal thinkers? You guys are what you hate.

Explain. I have a simple mind, after all. 😉

 

[BarneyFife]

Came across an interesting post here.

The gist: In New York City alone, every month people (seniors/disabled) depend on $1 billion in payments from the Federal Government. Based on precedent, it seems that under 'emergency' situations, the Fed may be buying securities from someone other than the U.S. Treasury in order to provide liquidity. It seems that no matter what we'll just be printing and printing more and more.

Look on the bright side, once the government stops sending checks out, the tea party people will stop posting because they are all a bunch of hypocrites who love their heating aid, welfare, disability, unemployment check.

 

[Zorba]

Unlike Liberals I really don't need others to tell me how and what to think.

This is funny, except for a couple people on MSNBC and XM Left, I can't think of any leftist hosts, much less ones that promote a extremist left view. I could probably rattle off at least 20 major rightist hosts, at least half of whom are complete extremist. Just looking at the numbers of right versus left shows and hosts, it looks to me like it is he righties that need to be told want to think. Also notice the viewership numbers for Fox News as compared to MSNBC.

 

[Darwin333]

But since it's been loaned out to the rest of government, the rest of government must now either fund with incoming tax receipts or borrow the money to replenish the SS fund to make the payments, no? If they cannot come up with enough money to repay the fund for the current payments, then what? Check go bouncy, bouncy?

SS bonds, which do not carry the full faith and credit and are not marketable debt, are counted towards our debt limit.

So basically every dollar owed to SS (or bond held by the SS trust) can be rolled over to an actual Treasury bond and sold for cash without affecting the debt limit by a single penny. It would have to be pretty strategically done though because by law any excess revenue must be loaned to the general fund which would impact the debt ceiling but it could definitely be done.

 

[a777pilot]

The ballot box works just fine. You are getting exactly the government you voted for.




Also, you forgot the jury box.

Thanks. But that is irrelevant if we actually have to resort to the ammo box......which I hope never really happens.

 

[a777pilot]

This is funny, except for a couple people on MSNBC and XM Left, I can't think of any leftist hosts, much less ones that promote a extremist left view. I could probably rattle off at least 20 major rightist hosts, at least half of whom are complete extremist. Just looking at the numbers of right versus left shows and hosts, it looks to me like it is he righties that need to be told want to think. Also notice the viewership numbers for Fox News as compared to MSNBC.

All good points.

 

[MovingTarget]

Why do we even have a 'debt ceiling' in the first place? Many other first world countries do not have one. It seems to me that the government should borrow whatever it needs to fund spending that is authorized by law, and nothing more. If the government wanted to reign in spending/debt, then it should de-authorize/cut spending or raise revenues. The debt ceiling is redundant, and quite dangerous when used as a political football as we've recently seen. Using it as a way to force cuts in spending is pretty fucking stupid.