Saturday, August 06, 2011

So... the WHAT NOW has Happened

So, the last time I was in here, the question was, "What Now?"

The US government was just in the process of signing into law a bill to raise the debt ceiling to prevent a default disaster.

But after all the bickering, posturing, politicking and pouting, not nearly enough was done to satisfy investors and creditors around the world, and the USA lost their golden triple-A rating.

C,mon, people!  If the average family ran their household the way the government runs theirs, EVERYBODY would be broke!  A friend sent this to me, yesterday, and this just about sums it up:

If the US Government was a family, they would be making $58,000 a year, they would be spending $75,000 a year, and they would be carrying $327,000 in credit card debt.  They would be currently proposing BIG spending cuts to reduce their spending to $72,000 a year.  These are actual proportions of the federal budget and debt, reduced to a level we can all understand.


OK, I don't think anybody needs grade 12 math to see what's wrong with that, yet around the world these same dumb clowns keep getting voted in to office!  So what's wrong with the voters?  That is, those people we all see when we look in the mirror?

Fellow Canadians, do you think it can't happen here?  ... in this country where the vast majority of our exports are to the USA, because it's always been so darn easy to sell everything there, rather than do a little legwork in order to diversify our markets?

Wherever you live, take a look at the size of your country's national debt and then tell me straight it can't happen here!

Maybe it's time for us to LISTEN to those crazy "Tea Party" types.  Maybe they DO know something, after all!

how to Survive 2012!  Do you know how?

Tuesday, August 02, 2011

So, What Now?

So, Congress has passed the bill to raise the debt ceiling and avert a default disaster.  But many on both sides of the floor are still grumbling about it.

Tea Party members of the GOP are grumbling, because there were no real, meaningful cuts and taxes were not reduced.

A LOT of Democrats are grumbling, because there are no spending increases to social programs and taxes were not increased.

Leaders of both parties continue to posture, both in Congress and in the Senate.

But the big question remains:  What now?

The fact is that the USA is multiple trillions of dollars in debt, and is about to raise those numbers once again to avoid a default.  But what is the cost of this?

There is a very slight possibility that the US credit rating will not be downgraded, mainly due to the "old boy's club" that the USA seems to have a very big say in.  But the reality is that the US is in a state of RUNAWAY debt creation, and this little spat between the GOP and the Dems that we've just witnessed is nothing compared to the storm that is coming.

When people realize that their great grandchildren have been sold out by this present mob of criminals in Washington, there's going to be some BIG changes.  Mr. Obama wanted change, but not the kind of change he's going to see if the general population ever wake up to what's really going on!

Under this agreement that is being signed into law as I write this, nothing has really been fixed.  The day of reckoning has merely been delayed.  A bigger storm is being allowed to brew.  Contrary to what Mr. Biden likes to say, you cannot avoid bankruptcy by spending more money you don't have!

A default would have been bad for the USA and the whole world.  But what is coming could be (and probably will be) a lot worse.  A total collapse now may have been the best thing that could have happened, before things get worse.  Only time will tell.