Posts Tagged ‘2012 budget’
Hooda thunk it?
Just The Numbers, Mam
By Les Dunaway
Well the suspense is over – what little suspense there was.
“Super Committee Says It’s Unable to Agree on Debt Reduction Deal“
We all knew that Boehner got rolled on the debt limit deal. [read] [read] [read] He should have asked Bush I about trusting Democrats. At least, he called Obama out on sending the Democrats into the “Super Committee” with orders to avoid making a deal so that they can all blame the Republicans for being unwilling to raise taxes on the evil rich.
Embarrassed Again! – Just The Numbers, Mam
By Les Dunaway
Well, it happened. Just as the warnings foretold. When will there be some sign of adult behavior in Washington? During the debt cap discussions, the rating companies wrote to the President, the Senate and the House and pointed out that just raising the debt cap would not prevent a rating downgrade. Think about it! Would you see it as positive if your dead-beat neighbor bragged to you that he’d gotten his limit raised on his credit cards? The “deal” that was cut does NOTHING to address the issue of spending and so would ADD around $10T to the debt.
No More Smoke and Mirrors – Just The Numbers, Mam
By Les Dunaway
This April 18th, 2011 will be one of those dates hated by school kids – because it will be part of the dreaded “essay question”. It’s still to be seen what the essay will describe – the beginning of America’s slide into oblivion or the beginning of her heroic escape from the yawning abyss of Euro-socialism.
One essay tied to 18 Apr 2011 can be written now “The End of Smoke and Mirrors”. The day when politicians could publish a bundle waste paper, label it a “budget” or a “recovery plan” and get away with it is gone. The markets and the nation of the world are out of patience and will no longer give the US the benefit of the doubt. If you haven’t read the “frank and open” statement from S&P conference call, I strongly recommend that you do and then read it to your Congressman.
The next hurdle is the debt ceiling. If the Congress and the Administration fail to agree to real spending reforms, expect to see more from the financial community and from other nations.
Did you know that S&P wasn’t the first to downgrade the US? Do you know who “Dagong” is? [read more]
Regardless of the side of the aisle on which your Congressman is seated, helping heshe to understand that IT’S TIME TO GET REAL would be a good idea.
S&P Cuts U.S. Ratings Outlook to Negative – Just The Numbers, Mam
By Les Dunaway
A Special Breaking News Edition
In a move surprising only those who believe demagoguery is a substitute for economics, the Standard & Poor Ratings Services downgraded its outlook on the US to “Negative” from “Stable”. This is the first step toward a downgrade of the US credit rating from AAA, which would increase borrowing costs and hasten America’s spiral into economic ruin.
The Statement
“More than two years after the beginning of the recent crisis, U.S. policy makers have still not agreed on how to reverse recent fiscal deterioration or address longer-term fiscal pressures,” S&P credit analyst Nikola G. Swann said. He said the rating agency puts the chance of a U.S. downgrade within two years at least one-in-three.
“We believe there is a significant risk that Congressional negotiations could result in no agreement on a medium-term fiscal strategy until after the fall 2012 Congressional and Presidential elections. If so, the first budget proposal that could include related measures would be Budget 2014 (for the fiscal year beginning Oct. 1, 2013), and we believe a delay beyond that time is possible,” S&P added.
