In debt, despite a trillion dollars in new taxes:
President Barack Obama proposed a $3.8 trillion budget for fiscal 2011 that will add fuel to the debate over the size and scope of government. The plan includes big increases in personal and business taxes, modest spending cuts and increased outlays for education, defense and jobs initiatives…
Overall, Mr. Obama’s budget plan would shrink the current deficit to $727 billion, or 4.2% of the gross domestic product, by 2013. But if annual deficits shrink, the total federal debt will keep growing. In all, the president’s budget would add $8.5 trillion to the federal debt through 2020, pushing the debt as a percentage of GDP to 77%, up from 53%.
Kenneth Rogoff, a Harvard University economist who has studied other countries’ experiences, says that level could push the U.S. toward a tipping point where interest rates could soar, the value of the dollar could plunge and the economy could face another crisis.
That tipping point, according to Rogoff, is 80%.
What a world.
Great.
This’ll cheer ya right up:
http://johngaltfla.com/blog3/category/the-day-the-dollar-died-series/
Stock up on ammo, canned goods, & toilet paper.
BUTCH, don’t forget the p**s-tubes and slit trenches for the back-yard–unless you’ve got plenty of chem. toilets stored away, that is…
butch … We Texans are already doing that, as well as getting concealed carry permits. Just in case.
Downs and I are not getting carry permits, but we are practicing with our house gun, the trusty Taurus ‘The Judge.’ In Texas we have a law described as “a man’s home is his castle” law. You can guess how that works.
Marianne
Defending the inner perimeter. And if they make it to the door be sure to drag them back inside!
Go here, the second video down is Glenn Beck discussing a possible economic meltdown with some financial manager.
This is scary, folks.
Best regards, Peter Warner.
Ooops, sorry, here is the link:
http://www.glennbeck.com/content/tv/
Peter Warner.
I read last week that 40 cents of every dollar the federal government spends is borrowed. Sounds like grounds to indict every past and present member of Congress for treason or malfeasance to me.
We mostly stay around for the Guinness