70% disapprove of GOP tactics

Originally posted by AThousandYoung
You're an idiot.

In an insane world a sane man much surely appear insane.

The Emperor is naked.

Originally posted by moon1969
Cutting back on spending may be fine, but not raising the debt ceiling and thus not making your car payment is a default, and that will give late fees and added interest, increasing what you owe for the car.

To be sure, not raising the debt ceiling will massively increase the US debt. Thanks GOP and Tea Party.

You are aware that the US brings in money in the form of taxes and brings in more than enough to pay its debts.

Originally posted by Eladar
You are aware that the US brings in money in the form of taxes and brings in more than enough to pay its debts.

The House of Representatives has decided otherwise.

Originally posted by Eladar
You are aware that the US brings in money in the form of taxes and brings in more than enough to pay its debts.

Agreed. That is true.

Also,here are just a few folks from across the political spectrum and in different walks of life saying there is 0% chance that the US will be forced to default on the debt.

The United States can pay any debt it has because we can always print money to do that. So there is zero probability of default.” Alan Greenspan

“In the case of United States, default is absolutely impossible. All U.S. government debt is denominated in U.S. dollar assets.” Peter Zeihan, Vice President of Analysis for STRATFOR

“In the case of governments boasting monetary sovereignty and debt denominated in its own currency, like the United States (but also Japan and the UK), it is technically impossible to fall into debt default.” Erwan Mahe, European asset allocation and options strategies adviser

“There is never a risk of default for a sovereign nation that issues its own free-floating currency and where its debts are denominated in that currency.” Mike Norman, Chief Economist for John Thomas Financial

“There is no inherent limit on federal expenses and therefore on federal spending…When the U.S. government decides to spend fiat money, it adds to its banking reserve system and when it taxes or borrows (issues Treasury securities) it drains reserves from its banking system. These reserve operations are done solely to maintain the target Federal Funds rate.” Monty Agarwal , managing partner and chief investment officer of MA Managed Futures Fund

“As the sole manufacturer of dollars, whose debt is denominated in dollars, the U.S. government can never become insolvent, i.e., unable to pay its bills. In this sense, the government is not dependent on credit markets to remain operational.” Federal Reserve Bank of St. Louis

“A sovereign government can always make payments as they come due by crediting bank accounts — something recognized by Chairman Ben Bernanke when he said the Fed spends by marking up the size of the reserve accounts of banks.” L. Randall Wray, Professor of Economics at the University of Missouri-Kansas City and a Senior Scholar at the Levy Economics Institute

Originally posted by utherpendragon
Agreed. That is true.

Also,here are just a few folks from across the political spectrum and in different walks of life saying there is 0% chance that the US will be forced to default on the debt.

The United States can pay any debt it has because we can always print money to do that. So there is zero probability of default.” Alan Greenspan

Is it possible to do that without the House's support?

Originally posted by utherpendragon

The United States can pay any debt it has because we can always print money to do that. So there is zero probability of default.” Alan Greenspan

Greenspan—whose audience included former senator Alan Simpson of the Simpson-Bowles deficit reduction commission . . . urged that income taxes return to the higher rates of the Clinton era, not just for people earning $250,000 and above, but for everybody . . .

Regarding the partisan trash-talking taking place in Washington over the debt ceiling, Greenspan laid out a grim scenario of what is likely to happen when the two sides can’t agree.

“This is a hard-wired event,” Greenspan said about the August deadline, noting that the government has only a couple of days’ wiggle room. “On the open of business on the day when we are locked into no borrowing,” he went on, “the question as to who and how [the funds] are distributed has got to be judged by somebody. The trouble with that is that it’s a political hot potato.”

Noting that the government currently takes in 60 cents in revenue for every dollar it spends, Greenspan predicted that Treasury Secretary Timothy Geithner will be forced to choose between servicing the nation’s loan obligations and making Social Security, Medicare, and Medicaid payments to retirees and poor people, to say nothing of funding the military.

“No secretary of the treasury ... can allow the federal debt payments to lapse,” Greenspan said. “Medicaid and Social Security and defense ... will be up for question—which is prioritized and to which extent—and there will be a horrendous set of arrears. There will be a lot of bankruptcies.”

Rising from his chair, Simpson seconded Greenspan’s doomsday prophecy.

http://news.yahoo.com/greenspan-doomed-231000135.html

Interestingly, even at just the threat of default, the US credit rating was downgraded.

Originally posted by utherpendragon
Agreed. That is true.

Also,here are just a few folks from across the political spectrum and in different walks of life saying there is 0% chance that the US will be forced to default on the debt.

The United States can pay any debt it has because we can always print money to do that. So there is zero probability of default.” Alan Greenspan ...[text shortened]... University of Missouri-Kansas City and a Senior Scholar at the Levy Economics Institute

However, the avoidance of insolvency depends on the US being willing to mint lots more dollars to pay its debts, which other posters have warned might have catastrophic consequences. In the 1920s German reparations were denominated in marks.

Originally posted by Teinosuke
However, the avoidance of insolvency depends on the US being willing to mint lots more dollars to pay its debts, which other posters have warned might have catastrophic consequences. In the 1920s German reparations were denominated in marks.

So, close the purse strings I say.
Cutting aid to Egypt is a good place to start.

Originally posted by utherpendragon
So, close the purse strings I say.
Cutting aid to Egypt is a good place to start.

It has. But miniscule. All of foreign aid combined is miniscule.

Originally posted by moon1969
It has. But miniscule. All of foreign aid combined is miniscule.

Its a start. Keep going I say.

Originally posted by utherpendragon
Its a start. Keep going I say.

True, every little bit does help.

Yet, notably, we lose tax revenues by cutting foreign aid because we lose influence and thus less US business with those countries. Indeed, we actually get a greater than 1 to 1 return on investment with foreign aid. Thus, cutting the foreign aid over time will increase the US debt.