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If only Barry would out-crazy the Repugs. It really is the only way to accomplish anything in that face of Repug reflexive obstructionism
you finally caught up. I don't guess you've heard Obama's lawyers already nixed that option, so that's pretty much moot.
If only Barry would out-crazy the Repugs. It really is the only way to accomplish anything in that face of Repug reflexive obstructionism
Last edited by boutons_deux; 01-10-2013 at 05:54 PM.
this is making the rounds today:
http://www.nytimes.com/2013/01/10/op...ling.html?_r=0Some have suggested, for instance, that the president could ignore the debt ceiling and direct the Treasury to issue more bonds to cover its obligations. But the Cons ution is clear, and Mr. Obama agrees, that Congress alone has the power to authorize new borrowing.
Other supposed solutions — like the notion that the Treasury Department could create a $1 trillion dollar platinum coin and deposit it in its own account at the Federal Reserve — are even more fantastical.
However, there is a plausible course of action, one that the president should publicly adopt in the coming weeks as his contingency plan should debt-ceiling negotiations falter. He should threaten to issue scrip — “registered warrants” — to existing claims holders (other than those who own actual government debt) in lieu of money. Recipients of these I.O.U.’s could include federal employees, defense contractors, Medicare service providers, Social Security recipients and others.
The scrip would not violate the debt ceiling because it wouldn’t cons ute a new borrowing of money backed by the credit of the United States. It would merely be a formal acknowledgment of a pre-existing monetary claim against the United States that the Treasury was not currently able to pay. The president could therefore establish a scrip program by executive order without piling a cons utional crisis on top of a fiscal one.
To avoid any confusion with actual Treasury debt, and to be consistent with the law governing claims against the United States more generally, the scrip would not pay interest in most cases. And unlike debt, it would have no fixed maturity date but rather would become redeemable in cash only when the secretary of the Treasury was able to certify that there’s enough money available in the Treasury’s general fund to cover it.
Finally, the scrip would be transferable, allowing financial ins utions to buy it at a high percentage of its face value, knowing that the political crisis would almost certainly be resolved before long.
The federal Anti-Assignment Act generally prohibits the transfer of claims against the United States from one private actor to another, but the government could waive the act’s application, which is what the president would do here.
Well, the Scrip idea is undoubtedly better than the idiotic coin idea, and I am in favor of not letting Tea Partiers hold the nation's debt rating hostage to their idea of what debt reduction would be, but I still think that the Scrip notion would be seen as little more than a gimmick internationally, and would once again shine a bright light on the horrid position of our dysfunctional government.
What is stopping the House Republicans from putting forth a debt reduction program right this minute that could work its way through the senate and joint congressional committees before the ceiling is hit, put that bill on the President's desk, and dare him to veto it?!
I agree with Obama that the congress passed laws enabling this debt, therefore they should be willing to pay for the bills that they themselves ran up.
But I also agree that this congress has an opportunity to come up with a fair proposition. I don't think that they have the mental or emotional willingness to make it truly fair, but if they did that, the American people would rally behind them, I think.
We all know that we have to get spending under control. They could actually do something good rather than just make Tea-Party political talking points if they set their minds to it.
if there's any point to declining to rule out the trillion dollar coin, perhaps it has something to do with that. still, it's hard to see the upside. actually doing it would be too damaging politically.
"in the face of ..."
all non-Repug/Fox polls show the Repugs being blamed primarily for DC gridlock. -slapping them with Exec Cons utional powers would get a coast-to-coast huge cheer (minus some red flyover wastelands).
Hilariously, FoxNews and the RNC apparently are unfamiliar with how coins work.
http://www.slate.com/blogs/moneybox/....co%2FnXLuqiZh
For the sake of humanity, I wish that were fake. But alas, no.
Probably done by a paulbot who thought it would be like going back to the gold standard only with more benefits like free access to airport lounges.
How many Orca Whales is that though?
Actually, looks like they were putting a trillion dollars in to perspective. However, I get 21,412 tons with platinum at $1,624/troy oz.Hilariously, FoxNews and the RNC apparently are unfamiliar with how coins work.
http://www.slate.com/blogs/moneybox/....co%2FnXLuqiZh
not gonna happen. hope you're havin fun.
Actually, looks like you're still an idiot.
Head Of House Republican Group Is Okay With U.S. Default
RSC Chairman Steve Scalise (R-La.) said Obama should pledge to avoid defaulting on Treasury bond payments once the Treasury Department no longer has the means to avoid exceeding the $16.4 trillion debt ceiling.
“The fact that we continue hitting the debt ceiling is a symptom of Washington’s spending problem, and hitting the debt ceiling does not immediately trigger a default,” Scalise said. “The Treasury Secretary has an obligation to preserve the credit rating of the United States and should pledge to continue making necessary interest payments to avoid default.”
http://thinkprogress.org/economy/201...-debt-ceiling/
Hilariously, FoxNews and the RNC apparently are unfamiliar with how coins work.
http://www.slate.com/blogs/moneybox/....co%2FnXLuqiZh
About as ridiculous as the trillion dollar coin idea, tbh.
typical accurate, intellectual stimulating garbage from Fox. Bubbas and red-states suck it down as Gospel truth, like they do in Bible class.
Then there are three possible options to choose from: ignoring the debt ceiling and continuing to issue new public debt; minting platinum coins; and a third option which has yet to be discussed but may be the simplest and most politically powerful option — borrowing from the Social Security Trust Fund.
Oh, No!
Hilariously, FoxNews and the RNC apparently are unfamiliar with how coins work.
http://www.slate.com/blogs/moneybox/....co%2FnXLuqiZh
Holy , if I watched Fox News I would be ashamed.
Wait a second! I just realized this $20 bill in my pocket should only be worth a few cents, given that it's only made of paper! It's a travesty!
If you say so Fuzzy.
Scott is spelled S-C-O-T-T. Not F-U-Z-Z-Y.
He sure acts like Fuzzy at times.
Does make you wonder then why it needs to be made of platinum.
Choices are an illusion. You were destined to respond after I dragged you in. You just think you weren't.
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