10 myths about govt debt - Professor Anthony Davies

[Truth Detector]

Is the way to fix a reduction in spending such as entitlements and military? Or something different altogether?

There is no "fix" to entitlements. They should be eliminated as they are unconstitutional power grabs by dishonest political hacks.

If you are serious about the "fix", you start with term limits on Congress. Then you supplant the current abomination tax code with the Fair Tax (no politics in it).

Next you start carving down the unconstitutional departments created since FDR's days:

Department of Agriculture
Department of Commerce
Department of Defense
Department of Education
Department of Energy
Department of Health & Human Services
Department of Housing & Urban Development
Department of Labor.

 

[Truth Detector]

Here is a Quiz:

1. Do you want to GIVE the Government Money?
2. Or, do you want to LEND the Government Money.

See. Rich People. They prefer to lend the Government money at an Interest Rate, rather than just 'give' it to the Government./B]

This is the definition of moron.

 

[LV426]

We have some $30 trillion in debt

But what do we have to show for that $30T in debt, cawacko?

Well, we have Medicare, we have Social Security, we have national infrastructure, we have airports, we have seaports, we have parks, we have safety inspectors, we have a military, we have the NIH, we have a lot of things to show for the money we've spent.

But we also have some things to show that probably aren't that great like billionaires going to space instead of solving the problems their pursuit of those billions created, military bases in countries we haven't been at war with in 75 years, and a fossil fuel industry that is unsustainable and unprofitable without generous welfare and subsidies.

So if you look at our $30T of debt, and look at our crumbling infrastructure, bloated military, erratic climate, and personal medical debt levels, then you can pretty much conclude that some of that $30T we spent giving tax breaks to billionaires wasn't money well spent because we have nothing to show for it.

untold trillions in unfunded liabilities

Extremists like cawacko love scaring people with ambiguous "unfunded liabilities"...but the thing is, they are funded.

What Cawacko and other sophists do is imagine a huge number and try to scare people with it. So they say something like..."$50T in unfunded liabilities", but what they aren't saying is that $50T is over 100 years and it's paid by taxes.

There is no such thing as an "unfunded liability", that's just a term stupid people came up with to argue against raising taxes to fund pensions for workers who agreed to work those jobs for that compensation.

Cawacko doesn't like it when promises are kept and fulfilled. He would much prefer a world where one party can change the terms of a deal unilaterally based on lies, misinformation, sophistry, and bullshit.

 

[LV426]

Sorry dude. The rich don't have that much money.

Yes they do, they gained a few trillion just in the last year.

They've convinced your stupid ass they don't have that much money because they know you're a sucker who will believe them.

How's that boot taste? You know they're never, ever going to invite you to their parties, right? They think you're scum.

 

[Truth Detector]

The Republicans in the middle of this claiming to be driving for small government was just one more giant lie.

And yet, in the very short time Republicans controlled the Congress, they actually balanced and passed budgets. Do you have any idea how many years Republicans have controlled the House and the Senate?

Since the FDR presidency, Republicans have only been in control for NINE years. Democrats have run the congress and spent our nation into debt for the other 88 years.

 

[Truth Detector]

THe quality of the people is not just important, it is damn near everything. THe reason that there is no hope for America now is because so many people are so shit quality.

Wrong. The EDUCATION of the people is paramount. Our founders knew this when they decided on the electoral college over a straight vote democracy.

 

[Truth Detector]

It is way the fuck too late to reform and avert calamity.

America is going down....HARD.

 

[Truth Detector]

Reducing government spending isn't going to reduce the debt AT ALL.

The new definition of STUPID.

 

[Truth Detector]

Correct. The government has never cut the budget of anything. When Congress talks about a 'cut', it is about a reduction of the increase, not a cut at all!

Correct!

 

[Truth Detector]

LOL. Yeah, because Trump ran on a platform of reducing entitlements and military spending and Congress increased it against his will and he wasn't able to veto it. Ok.

How is Trump the problem? He was dealing with a House Democrat majority most of his Presidency and only in office for four short years. This bullshit has been going on for eighty years.

We have some $30 trillion in debt, untold trillions in unfunded liabilities and partisans like you want to claim "my guy isn't responsible". Exact reason we're in the position we are.

It's about the Congress. Not the Presidency. Democrats have ruled the roost for 88 years. They ARE the problem.

 

[Celticguy]

If a politician came out said our entitlement programs at current levels are unsustainable (which is accurate) and we are going to reduce benefits, you don’t think there would be an uproar from voters? I have a very difficult time believing they will accept that.

It can definitely be argued there is a huge gravy train attached to the military and military spending, but we clearly see people who want military spending increased.

There is zero demand to do anything about it.

pols have made note that entitlements are not sustainable, it cost some and not others mainly because they havent articulated a specific policy change to deal with it nor will they.

but there will come a point where default is real and unavoidable. When spending every penny of revenue taken in does not cover the debt service, noone will loan us money and the fed cannot print enough. then they will all declare it an unforeseen disaster and just do it when they have no other option.

they all know its coming. well maybe not AOC as she is just not very bright. right now they are just grabbing the last few bucks they can grab before the jig is up.

 

[Celticguy]

There are only two ways to deal with the debt:
1) pay it back. That means cutting federal programs substantially.
2) default. A debt crash, and quite probably the end of all federal programs, plus faith in the dollar collapsing much faster than it already is.

well if we take whats behind door #2 we take down the world. it is possible that we bounce back being the most sound among a collection of unsound leaders (and we have the military to tell others to f*ck off).

this guy's one time haircut and five year freeze is the least disruptive. IMO

 

[Into the Night]

LOL. Yeah, because Trump ran on a platform of reducing entitlements and military spending and Congress increased it against his will and he wasn't able to veto it. Ok.

Lie.

We have some $30 trillion in debt, untold trillions in unfunded liabilities and partisans like you want to claim "my guy isn't responsible". Exact reason we're in the position we are.

Congress is responsible. Only Congress has authority to go into debt. Only Congress can spend money on entitlements or military.

Trump was never a member of Congress.

 

[Hawkeye10]

Wrong. The EDUCATION of the people is paramount. Our founders knew this when they decided on the electoral college over a straight vote democracy.

I dont know about that, but I do know that the Electoral College looks to be about over. I also know that the schools Pre-K to Post Doc have been wrecked. I also know that journalism has been wrecked. I also know that the vast majority of Americans are alarmingly ignorant.

 

[Into the Night]

But what do we have to show for that $30T in debt, cawacko?

A loss of confidence in the dollar.

Well, we have Medicare,

Unconstitutional. Paid for by medicare and income taxes.

we have Social Security,

Unconstitutional. Paid for by SS and income taxes.

we have national infrastructure,

Not paid for by the debt. It is paid for by gas taxes and DOT fees.

we have airports,

Not paid for by the debt. It is paid for by gas taxes and DOT fees and local taxes.

we have seaports,

Paid for by local taxes.

we have parks,

Paid for by local taxes, except for the national parks, which are paid for through park fees and federal budget.

we have safety inspectors,

Paid for by local taxes.

we have a military,

Yes.

we have the NIH,

Unconstitutional.

we have a lot of things to show for the money we've spent.

Yeah. Fascism.

But we also have some things to show that probably aren't that great like billionaires going to space instead of solving the problems their pursuit of those billions created,

Private money. Not paid for by the federal government.

military bases in countries we haven't been at war with in 75 years,

You don't put military bases in countries you are at war with, dumbass.

and a fossil fuel industry that is unsustainable and unprofitable without generous welfare and subsidies.

There is no fossil fuel industry. Fossils don't burn. The only heavily subsidized energy industries are hydroelectric, wind, and solar.

So if you look at our $30T of debt, and look at our crumbling infrastructure,

Freeways are maintained by the States, though they were initially built by a federal project.

bloated military,

Nope. It's not bloated. It happens to be the best in the world.

erratic climate,

Define 'erratic climate'. Climate has no value associated with it that change.

and personal medical debt levels,

Not part of a federal budget.

then you can pretty much conclude that some of that $30T we spent giving tax breaks to billionaires wasn't money well spent because we have nothing to show for it.

We have a lot of unconstitutional programs and departments, and fascism.

Extremists like cawacko love scaring people with ambiguous "unfunded liabilities"...but the thing is, they are funded.

No, they are not.

What Cawacko and other sophists do is imagine a huge number and try to scare people with it. So they say something like..."$50T in unfunded liabilities", but what they aren't saying is that $50T is over 100 years and it's paid by taxes.

No, they are not. They are paid for by debt.

There is no such thing as an "unfunded liability",

Yes there is. This is a commonly used accounting term. It actually means something. Something you don't seem to understand.

that's just a term stupid people came up with to argue against raising taxes to fund pensions for workers who agreed to work those jobs for that compensation.

Nope. Not the meaning of an unfunded liability. Try again.

 

[Into the Night]

Yes they do, they gained a few trillion just in the last year.

You are making shit up. The current debt is approx. $30 trillion. You don't get to confiscate everything they own.

They've convinced your stupid ass they don't have that much money because they know you're a sucker who will believe them.

They don't. It is wealth, not money.

How's that boot taste? You know they're never, ever going to invite you to their parties, right? They think you're scum.

Nah. I don't have people like my boot and I don't lick anyone else's boot. I don't give a damn about their parties. Many of the rich ARE scum.

So are you, even though you are not rich.

 

[Into the Night]

And yet, in the very short time Republicans controlled the Congress, they actually balanced and passed budgets.

At least, they did not add to the debt any further.

Do you have any idea how many years Republicans have controlled the House and the Senate?

Yes.

Since the FDR presidency, Republicans have only been in control for NINE years. Democrats have run the congress and spent our nation into debt for the other 88 years.

This is correct.

 

[Into the Night]

Wrong. The EDUCATION of the people is paramount. Our founders knew this when they decided on the electoral college over a straight vote democracy.

No one gets to speak for the dead. Not even you. Omniscience fallacy.

The purpose of the electoral college was to give each state some representation in choosing the President, regardless of population. That is it's only purpose.
A democracy has no constitution and no representatives.

 

[Into the Night]

Poor ole' Hawkeye has given up. His fatalistic approach to life solves nothing.

Fortunately, many citizens ARE standing up to defend America from The Oligarchy.

 

[Into the Night]

pols have made note that entitlements are not sustainable, it cost some and not others mainly because they havent articulated a specific policy change to deal with it nor will they.

but there will come a point where default is real and unavoidable. When spending every penny of revenue taken in does not cover the debt service, noone will loan us money and the fed cannot print enough. then they will all declare it an unforeseen disaster and just do it when they have no other option.

they all know its coming. well maybe not AOC as she is just not very bright. right now they are just grabbing the last few bucks they can grab before the jig is up.

The current debt is approx $30 trillion. Interest on that debt annually is about $0.45 trillion.
The largest budget items are Medicare/Medicaid (an unconstitutional program) at $1.26 trillion annually, and
Social Security (an unconstitutional program) at $1.099 trillion.

The military is only $0.719 trillion by comparison.

All taxes combined brought in $4.05 trillion.

The debt is now currently 126.64% of the GDP.

Source: US Treasury, US Federal Reserve, US Congressional Budget Office