US government near to debt limit

#1
http://news.bbc.co.uk/2/hi/business/4780844.stm

US Treasury Secretary John Snow has told Congress to raise the government's credit limit in order to avoid having some of its operations shut down.
...
This is the fourth time George W Bush's administration has asked Congress to raise the government debt limit.

His administration has produced a series of massive deficits, brought on by the post dot-com recession, tax cuts, the September 11 attacks and wars and reconstruction in Afghanistan and Iraq.
3 years ago 1$=31 Rouble
Today 1$=27.88

The US government has never defaulted on its debts...
Attack Iran and it will happen.
 
#2
Withdrawal form Iraq must be an imperative to reduce costs ...since civil war is now increasingly likely and to stay can only mean being further caught up in the civil war and then we will all be there for ever.

Perhaps Bush will have to raise taxes?....I think I just heard fainting in the white house.
 
#3
I'd look for history to repeat itself...Bush;Gulf War;Recession;Clinton...
Bush2;Gulf War2;Recession2;Clinton2...

("It's the economy...stupid!")

ol' Hillary gets a pretty good return on her $investments$...
(remember 'White Water'?)




:roll:
 
#4
It's near an arbitary debt limit it imposed on itself. US government deficit as a % of GDP is well below EU averages.

Sergey, what significance is the $/rouble exchange rate? Are you trying to prove the dollar is declining or the Russian economy expanding, or what?
 
#5
KGB_resident said:
The US government has never defaulted on its debts...
Attack Iran and it will happen.
Unlikely. In the financial community, the US Treasury is considered the nearest thing to a risk free investment. The US defauting on its debt would cause international chaos, and not just within the financial world. The US will stop doing many other things before they default on their debt.
 
#6
AndyPipkin said:
It's near an arbitary debt limit it imposed on itself. US government deficit as a % of GDP is well below EU averages.

Sergey, what significance is the $/rouble exchange rate? Are you trying to prove the dollar is declining or the Russian economy expanding, or what?
Just an observation. By the way there are more than $30 bln. in cash in Russia. Now Russia is strongly $-oriented country but who knows how many yraes it whoud last. I think that you agree with me that bloke like mr.Putin is able to make such step in few days.

American economy has one very serious problem - trade deficit (in fact hidden debt).

http://www.census.gov/foreign-trade/www/

The Nation’s international deficit in goods and services increased to $725.8 billion in 2005 from $617.6 billion in 2004.
PassingBells said:
KGB_resident said:
The US government has never defaulted on its debts...
Attack Iran and it will happen.
Unlikely. In the financial community, the US Treasury is considered the nearest thing to a risk free investment. The US defauting on its debt would cause international chaos, and not just within the financial world. The US will stop doing many other things before they default on their debt.
Of course you are right. Don't understand my words literally. Really I meant that possible war with Iran could be too serious financial burden for American economy.
 

Similar threads

Latest Threads

Top