Will the economy crash when government checks run out?

[TAB]

NO PAIN NO GAIN

Let 'er rip potater chip.

I disagree, there will be fall out world wide.  the only question is how much.

[Ulmus]

Huge!

China will pounce with their idea of a BRIC currency based partially on gold as the new world currency.

[twyacht]

http://www.bloomberg.com/news/2011-07-13/u-s-rating-placed-on-review-for-downgrade-by-moody-s-as-debt-talks-stall.html


Moody’s Investors Service put the U.S. under review for a credit rating downgrade as talks to raise the government’s $14.3 trillion debt limit stall, adding to concern that political gridlock will lead to a default.

The Aaa ratings of financial institutions directly linked to the U.S. government, including Fannie Mae, Freddie Mac, the Federal Home Loan Banks, and the Federal Farm Credit Banks, were also put on review for cuts, Moody’s said in a statement today.

The U.S., rated Aaa since 1917, was put on review for the first time since 1995 on concern the debt limit will not be raised in time to prevent a missed payment of interest or principal on outstanding bonds and notes even though the risk remains low, Moody’s said. The rating would likely be reduced to the Aa range and there is no assurance that Moody’s would return its top rating even if a default is quickly cured.

Just some more hopey changy feel good stuff to ponder,.....

The reset button has to start somewhere,....we'll see if the Republicans have the "belly for it".....

[Rastus]

....
Moody’s Investors Service put the U.S. under review for a credit rating downgrade as talks to raise the government’s $14.3 trillion debt limit stall, adding to concern that political gridlock will lead to a default.
.....

The rich bankers are worried.  Someone wants this thing to crash...and no it has not crashed yet.  For individuals yes but for the whole not even close.

Weimar Republic II if they keep raising the debt.

[Badgersmilk]

So if we miss a payment, what?  China's gonna bring in a big tow truck and take the country?   

I can almost hear them whispering in bama's ear...  Wait till the timer reads :01 second left, then jump in and miraculously save the day and the people will love you!

Once this plays out, is everybody ready for all the press coverage on the new Harry Potter movie?  Hope the coverage on it is as dramatic as this!

[Sponsor]

[tombogan03884]

BM, You need to read more History.
Creditors taking over management of defaulting creditor nations has been a fairly common event .
That's how England wound up running Egypt.
TR avoided war with Germany over occupation of Venezuela by allowing them to collect port duties from ships entering Venezuelan harbors that had been blockaded by a German Naval squadron, with the provision that they could not land and take over other fiscal management.
You could wind up paying your taxes to an address in Beijing.

[Badgersmilk]

BM, You need to read more History.
Creditors taking over management of defaulting creditor nations has been a fairly common event .
That's how England wound up running Egypt.
TR avoided war with Germany over occupation of Venezuela by allowing them to collect port duties from ships entering Venezuelan harbors that had been blockaded by a German Naval squadron, with the provision that they could not land and take over other fiscal management.
You could wind up paying your taxes to an address in Beijing.

Might just be the sort of thing we need.  Get people off their butts and wanting to do something about the mess we've let our politicians get us into!    

I welcome it.  Come get some Chinese repo. man!   WOLVERINES!!!  

[kmitch200]

The U.S., rated Aaa since 1917, was put on review for the first time since 1995 on concern the debt limit will not be raised in time to prevent a missed payment of interest or principal on outstanding bonds and notes even though the risk remains low

There is enough money to pay the interest on outstanding bonds and notes.
There just isn't enough money to pay for that and all the bullshit redundant govt programs and WASTE that this huge federal manure pile has become.

Choose one or the other - they can't have both.
CUT THE FREAKING SPENDING!!!!

[PegLeg45]

There is enough money to pay the interest on outstanding bonds and notes.
There just isn't enough money to pay for that and all the bullshit redundant govt programs and WASTE that this huge federal manure pile has become.

Choose one or the other - they can't have both.
CUT THE FREAKING SPENDING!!!!

You mean the multi-billion dollar 'pickle research & seahorse mating' program in Wyoming is BS??    

[JC5123]

You mean the multi-billion dollar 'pickle research & seahorse mating' program in Wyoming is BS??    

HEY NOW!!!

You are talking about one of the few SOLVENT states. And that's even after paying for YOUR wolves. Not to mention that we do it without a state income tax. 

I had a conversation with our Governor a few weeks ago. (Yes we are small enough that he knows me by name.) I suggested that we buy California. We certainly have the funds to bail them out. However, their legislature would be void, and they would live under our laws. You think we could turn a profit? Not to mention making California irrelevant come election time.