ozboy
Member of DD Central
Mine's a Large One! (Snigger, snigger .......)
Posts: 3,156 
Likes: 4,830
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Post by ozboy on Jul 23, 2019 16:09:48 GMT
When there's a Default and a property is sold we have all been comforted by how "professionally" accurate the RICS Valuations have been. Not. Wonder then what these properties will sell for when it all goes mammaries up? :- Budget Deal. President Trump and congressional leaders from both parties struck a sweeping budget deal yesterday, removing the threat of a shutdown standoff ahead of September 30th deadline. The deal funds the federal government for two years and suspends the debt ceiling - the limit on the amount of money the government can borrow - until July 21st, 2021. The federal budget is traditionally broken into broad categories known as mandatory and discretionary spending (see primer). The former includes programs required by law, like Social Security and Medicare, while the latter requires Congress to pass annual appropriations bills for funding. The deal would raise discretionary spending to $1.375T by 2021, nearly $350B over the spending caps provided in the 2011 sequester bill (paywall, WashPo), bringing the projected total federal budget to around $4.75T. With estimated revenues at $3.8T each year, the deal is expected to add over $2T to the federal debt, which *currently stands at $22T.* www.thebalance.com/the-u-s-debt-and-how-it-got-so-big-3305778SOURCE: Daily Digest www.1440.com |
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Post by gravitykillz on Jul 24, 2019 22:16:54 GMT
So sooner or later they will have to stop spending $600 billion a year on their military. Which will slowly result in the US no longer being the worlds military super power. That leaves Chinas military to take over from the US ? Then there is a domino effect and communism takes over the world  |
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Post by gravitykillz on Jul 24, 2019 22:24:44 GMT
For the uk to match the military spending of the US it would have to divert all spending from education, pensions, healthcare.
Interesting theory a country can be a military superpower or have a welfare state. I know what the voters would prefer.
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Post by propman on Jul 25, 2019 13:15:52 GMT
i refuse to acknowledge that the main determinant of the effectiveness of a military is the amount spent on it. Today the prospect of effective "weapans" at a fraction of the price of conventional alternatives is frightening. The worry is that the impact of significant cuts is depression of all expenditure and hence a reduction in morale and effectiveness across the board.
Economically the prospect of greater federal expenditure to support the US economy is good news in my opinion as with Brexit looming a boost to the world economy is necessary to cushion domestic economic impacts. also the strong dollar will hopefully be contained by increased borrowing, a much better way of US hurting China than the tarrifs used to date, there might even be some opportunities for Britain!
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jj
Member of DD Central
Jolly Jammy
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Post by jj on Jul 25, 2019 13:40:02 GMT
<RANT BEGINS>
Does not matter! If there is a debt there is also a credit somewhere else.
The central banks can now make their own money out of thin air (which they do anyway).
What I have a problem with is why should the taxpayer be enslaved to a debt in the first place?
Why should the taxpayer pay bankers interest in the first place.
It is obvious to me that the system has been designed that way, to keep you enslaved!
When you look at your paycheck it should read "payment to bankers for nothing".
<RANT NOW OVER> 
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Post by Harland Kearney on Jul 25, 2019 14:28:18 GMT
The military spending encompasses a large size of the federal workforce, as well as defence companies ect. It is not as simple as just cutting the funding, that will have impacts on those employed by the Goverment.
Military spending and Military effectiveness have a correlation. Of course it is not the only correlation but it is a extremely valid one. Lack of funding costs lives, as we saw in Iraq & afghanstan before the introduction of MRAP's due to IED & other of ordance, the UK lack of initative to change out of it was due to politcal spending, than that over command incompetence in many reguards (Arguable).
Just one of many examples, I think the U.S has alot of issues and nobody here can quite give the defo answer. Stream lining spending I guess is the best way? I don't know enough about the subject but I defo know that cutting Military spending is a dangerous game.
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Post by Deleted on Jul 25, 2019 15:10:16 GMT
I suspect that cutting taxes for corporates and wealthy individuals in the US in order to drive up the borrowing is unlikley to do anything but to make corporates and wealthy more wealthy. Interesting to think that some people still believe in trickle down.
Probably more useful for Americans would be to improve school teacher's pay. Teachers just about spend all their pay so the money goes around much faster than if given to the wealthy. It also adds to the education of country(pitiful). Alternatively they could introduce a single payer medical system... but they have religious reasons to avoid this. They have to religious as logical evidence does not seem to change their minds. Improved medical services also ensure improved cash turnover. Finally they could rebuild their streets and general infrastructure which, guess what turns the cash over pretty well.
Still with demographics destroying the Euro and the Yen there is no real place to hide your money but in the $.
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Post by gravitykillz on Jul 25, 2019 17:02:03 GMT
i refuse to acknowledge that the main determinant of the effectiveness of a military is the amount spent on it. Today the prospect of effective "weapans" at a fraction of the price of conventional alternatives is frightening. The worry is that the impact of significant cuts is depression of all expenditure and hence a reduction in morale and effectiveness across the board.
Economically the prospect of greater federal expenditure to support the US economy is good news in my opinion as with Brexit looming a boost to the world economy is necessary to cushion domestic economic impacts. also the strong dollar will hopefully be contained by increased borrowing, a much better way of US hurting China than the tarrifs used to date, there might even be some opportunities for Britain! China spends $250 billion on average every year on its military and the UK $66 billion. Money = power
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ozboy
Member of DD Central
Mine's a Large One! (Snigger, snigger .......)
Posts: 3,156
Likes: 4,830
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Post by ozboy on Jul 25, 2019 20:14:34 GMT
<RANT BEGINS>
Does not matter! If there is a debt there is also a credit somewhere else.
The central banks can now make their own money out of thin air (which they do anyway).
What I have a problem with is why should the taxpayer be enslaved to a debt in the first place?
Why should the taxpayer pay bankers interest in the first place.
It is obvious to me that the system has been designed that way, to keep you enslaved!
When you look at your paycheck it should read "payment to bankers for nothing".
<RANT NOW OVER> Not having a go jj, but I genuinely don't understand that statement, can you expand on it? AFAIK the last Big One was caused by exactly the same circumstances, Out Of Control Will Never Be Repaid Debt?
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michaelc
Member of DD Central
Posts: 4,888
Likes: 2,767
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Post by michaelc on Jul 25, 2019 20:42:19 GMT
<RANT BEGINS>
Does not matter! If there is a debt there is also a credit somewhere else.
The central banks can now make their own money out of thin air (which they do anyway).
What I have a problem with is why should the taxpayer be enslaved to a debt in the first place?
Why should the taxpayer pay bankers interest in the first place.
It is obvious to me that the system has been designed that way, to keep you enslaved!
When you look at your paycheck it should read "payment to bankers for nothing".
<RANT NOW OVER> Not having a go jj , but I genuinely don't understand that statement, can you expand on it? AFAIK the last Big One was caused by exactly the same circumstances, Out Of Control Will Never Be Repaid Debt? haha - that's the main bit I did understand although have no idea what it means in isolation.
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jj
Member of DD Central
Jolly Jammy
Posts: 320
Likes: 358
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Post by jj on Jul 25, 2019 22:07:32 GMT
Not having a go jj , but I genuinely don't understand that statement, can you expand on it? AFAIK the last Big One was caused by exactly the same circumstances, Out Of Control Will Never Be Repaid Debt? The figures that was quoted is public debt which is different from private debt.
I think what you are getting at is the last financial disaster. Which was caused by over leveraged banks & then the following bad debts.
My understanding is that the packaged bonds that the banks purchased were falsified to look better than they were. A bit like the dodge LTV figures you get in P2P. So the bonds were worthless & because they were
overleveraged the bad debts were multiplied by the overleveraged amount. This was a private/corporate debt which somehow found its way onto the public debt!
In conclusion the last financial crisis was caused by wreckless private/corporate debt & should not have ended up as public debt.
What I am saying in the original statement is public debt is not that important where Keynesian theory & the multiplier effect kicks in (my opinion).
What I do think is worrisome is the fact we have full employment and we still run a deficit.
P.S. If you have the time you could look at some of Mark Blyth's videos about debt & autherity. Could be heavy going though. From 7mins onwards he gets to the debt & autherity bit.
Direct answer to your question.
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Post by gravitykillz on Jul 26, 2019 18:24:56 GMT
UK and US national debt will never get paid off. We got to deal with it and move on and hopefully buy swiss francs.
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agent69
Member of DD Central
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Post by agent69 on Jul 26, 2019 19:01:22 GMT
UK and US national debt will never get paid off. So does anyone know what the true UK national debt is? You know, the real figure that includes all of the debt that the government doesn't include in the official £1.8tn.
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Post by robberbaron on Jul 27, 2019 7:14:48 GMT
For the uk to match the military spending of the US it would have to divert all spending from education, pensions, healthcare. Interesting theory a country can be a military superpower or have a welfare state. I know what the voters would prefer. Factually untrue. The military is only 16% of the US government total spending. The rest is mainly social spending. The US has both a massive military and a gargantuan welfare state.
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Post by robberbaron on Jul 27, 2019 7:20:48 GMT
UK and US national debt will never get paid off. Depends what you mean by "paid off". A country can always pay off a debt denominated in its own currency no matter how large.
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