Congress Asked to Lift Debt Limit

[w8liftinglady]

Source: yahoo news

Paulson Tells Congress the Current Debt Ceiling Will Be Hit on Oct. 1


WASHINGTON (AP) -- Treasury Secretary Henry Paulson told Congress on Wednesday that the federal government will hit the current debt ceiling on Oct. 1.
He urged quick action to increase the limit, saying it was essential to protect the "full faith and credit" of the country, especially at a time of financial market turmoil.
The current debt limit is $8.965 trillion. Unless Congress votes to raise that ceiling, the country would be unable to borrow more money to keep the government operating and to pay debt obligations coming due. The United States has never defaulted on a debt payment but the decision on whether to raise the debt ceiling often sparks a prolonged political battle in Congress.

In his letter to congressional leaders, Paulson said that according to data now available, the Treasury expects to hit the current debt ceiling on Oct. 1 -- the first day of the new federal budget year. However, that projection does not take into account maneuvers the government often has to employ of withdrawing investments from certain trust funds to create room for extra borrowing until Congress finally approves a debt increase.

"The full faith and credit of the United States, to which we all remain committed, is a national asset and a cornerstone of the global financial system," Paulson said in his letter. "In light of current developments in financial markets, which would be exacerbated by uncertainty in the Treasuries market, I urge the Senate to pass the legislation reported by the Finance Committee to increase the debt limit as soon as possible."

The Senate Finance Committee earlier this month approved increasing the limit on the national debt to $9.82 trillion. That boost of $850 billion would be the fifth increase in the government's borrowing limit since President Bush took office in 2001.

The national debt is the total accumulation of annual budget deficits, which must be financed with borrowed money.

Democrats blame Bush's tax cuts and the war in Iraq for pushing the debt to record levels. Republicans defend the tax cuts, saying the deficit is now on a downward trajectory in part because of the economic stimulus provided by the tax cuts.

The House approved an increase in the debt limit in May when it adopted the annual congressional budget resolution, but the full Senate has yet to act to raise the limit.





Read more: http://biz.yahoo.com/ap/070919/debt_limit.html?.v=2

[Owl]

1. Just say no.

[robinlynne]

14. I second that.

[BlueJazz]

2. I Cannot believe the Repugs said >>>

"Republicans defend the tax cuts, saying the deficit is now on a downward trajectory in part because of the economic stimulus provided by the tax cuts".

Oh..I see..Is that why we have to borrow more Money ????...because "The Deficit is on a downward Trajectory"

What the Fuck Planet are these people from ???

[SnowCritter]

3. Enough of the Republican "Borrow-and-Spend" mentality!

When the chickens come home to roost (and they always do) there will be economic hell to pay.

Come on, Congressional Democrats! Grow some cajones, show some backbone! Just say "not only no, but fuckin' no!"

[AndyA]

4. If the statement, "...the deficit is now on a downward trajectory..."

is true, it would seem there would be no reason to raise the debt ceiling again, since the debt would drop between now and October 1st.

GOP is the party of lies, corruption, destruction, borrow and spend with no thought of how it is to be paid back. How irresponsible can you get?

[Baby Snooks]

5. Why not?

The rich are getting richer and so they will be able to cover the increasing deficit with all the taxes they don't pay.

[rjones2818]

6. Only if it includes a troop withdrawl agreement!

Play the games with W like he wants to do with us.

[W T F]

7. 90% windfall profits tax on war profiters

We'll see just how long this war goes on once it's no longer lucrative.

[donkeyotay]

9. Who could have imagined that blending profit with bloodshed

would be a bad idea? Tax them! Tax the war profiteers and tax the mortgage bankers who have made billions off Wall Street's latest bubble. Tax the CEOs of the insurance industries who profit off the sick and dying. Tax the new blackwater warlords right out of existence. Tax these mofos who have profited while our country has been bankrupted.

[truedelphi]

13. Oh I hope to live to see it. n/t

[ladywnch]

8. what's the point of a ceiling if you just keep raising it? Let's just do

away with it all together.....like our civil liberties? Let's face it, it was a 'quaint notion' to have a debt ceiling, but that is now horse a buggy thinking. The commander in chimp needs unlimited spending authority if we're ever going to win the war on terrorism. We have to keep spending over there so we don't have to spend it here! :sarcasm:

Seriously, isn't this the second time in jr's tenure that they've had to do this or am I mistaken?

[donkeyotay]

10. Lol. "spending over there so we don't have to spend it here!"

Yes, Bush seems to have exhausted the limit on our "full faith and credit" just like the rest of our reputation and credibility. While we're looking for cost cutting measures, I say take a close look at the Congress and this whole election thing. I mean, are either really necessary in a post 9-11 world? :sarcasm: We could pick up some loose change there.

[superkia]

12. Dont forget all theCEOs and corpation profits that we pay.

Our governments wasteful spending for their own interest have hit the country and they dont want to fall and live in the Amerika we do.

[some guy]

32. You're mistaken.

It isn't the second time.

" The Senate Finance Committee earlier this month approved increasing the limit on the national debt to $9.82 trillion. That boost of $850 billion would be the fifth increase in the government's borrowing limit since President Bush took office in 2001. "

[Owl]

11. KICK

[robinlynne]

15. The pentagon has a couple extra trillion dollars doesn't it?

[fenriswolf]

16. what happense

to people when their debt to income ratio becomes to high? their house gets repossessed, since americans own the house and the gov has become so indebted we are talking about generations in paying it off what say the american people to taking back their house from our fiscally irrisponsable renters?

[FourScore]

17. Paulson: U.S. to Hit Debt Limit Oct. 1

Source: AP

Treasury Secretary Henry Paulson told Congress on Wednesday the government will hit the current debt ceiling on Oct. 1. He sought quick action to increase the limit, saying it was essential to protect the "full faith and credit" of the country, especially at a time of financial market turmoil.

The limit is $8.965 trillion. Unless Congress votes to raise it, the country would be unable to borrow more money to keep the government operating and to pay debt obligations coming due.

The United States has never defaulted on a debt payment but the decision on whether to raise the debt ceiling often means a prolonged battle in Congress.

Paulson wrote congressional leaders that according to data now available, the Treasury expects to reach the ceiling on Oct. 1 -- the first day of the new budget year...



Read more: http://biz.yahoo.com/ap/070919/debt_limit.html?.v=2

[C_U_L8R]

18. Take it out of Georgie's allowance

afterall he broke the damn thing

[Megahurtz]

19. We're Screwn.

:hurts:

[rodeodance]

20. by all means-Restore our Honor-----borrow more from China et.al

[stillcool]

21. No matter how often..

it is explained to me, I can not understand how billions of dollars pumped into the stock market doesn't really exist. Maybe he can use some of that?

[countmyvote4real]

22. The US is SO in the crapper. n/t

[orleans]

23. make these repuke war contractors and "security forces" pay back

some of the money they've stolen from the country

oh, that's right. we have a free market. apparently the consumers asked to be in hoc up to their fucking eyeballs

[papau]

24. 6 budgets since 10/1/2001 average $518 B deficit (current is over 450) yet MSM says deficit

is under $200 B (I know it is after trust funds because of the money borrowed from Social Security which is actually stolen to finance the tax cuts for the rich - I just wish some one would say in MSM that Bush averages over a 1/2 trillion deficit a year).

Oh - BTW - the game continues re Clintons year - calendar year 1/1/2000 to 12/31/2000 - that had a real surplus - a year when the National Debt decreased

Bush refuses to show that fact directly on the Treasury web page - all "annual" numbers are fiscal year meaning 10/1 to 9/30.

So the MSM today said the Debt limit increases always occur because the debt always goes up - one more lie by the media

[gateley]

25. It just keeps getting worse. nt

[olddad56]

26. I've already hit my debt ceiling.

thanks to Bushco

[UpInArms]

27. Paulson warns Congress about debt ceiling (wants to raise it to almost $10 Trillion)

Source: Associated Press

WASHINGTON (AP) -- Treasury Secretary Henry Paulson told Congress on Wednesday the government will hit the current debt ceiling on Oct. 1.

He sought quick action to increase the limit, saying it was essential to protect the "full faith and credit" of the country, especially at a time of financial market turmoil.

The limit is $8.965 trillion. Unless Congress votes to raise it, the country would be unable to borrow more money to keep the government operating and to pay debt obligations coming due.

The United States has never defaulted on a debt payment but the decision on whether to raise the debt ceiling often means a prolonged battle in Congress.

<snip>

This month, the Senate Finance Committee approved increasing the limit on the debt
to $9.82 trillion. That boost of $850 billion would be the fifth since President Bush took office in 2001.

Read more: http://www.thonline.com/article.cfm?id=173797

---

The Outstanding Public Debt as of 20 Sep 2007 at 03:30:31 PM GMT is:

[AndyA]

28. But according to Bush we're paying off our debt.

So, if it's coming down, why the need to raise the ceiling again?

The Republicans are just like drunks at a free beer gathering. They just don't know when to stop.

[ladywnch]

29. I say again, what's the point of having a ceiling if you just keep

raising it? Just do away with it completely and GO CRAZY! God fobid we raise taxes to pay for this wet dream of theirs.....don't lower the river just raise the bridge.

[CRH]

30. In December of 2000 the debt was 3.2 trillion and shrinking, ...

now in October seven years later, the ceiling of 8.965 trillion will have been surpassed with more than a year left of the Bush administration. By the end of the Bush administration the debt accrued in 225 years of the country that includes the fiscal irresponsibility of Reaganomics and Bush I, will have been tripled by this administration.

On top of this staggering fact, the dollar will have devalued by more than 40% against all major currencies.

Below is a sobering link back just seven years, when the talk was of surpluses and the possibility of paying off by 2010 the entire national debt, that now saddles future generations. Remind me please, back then before all these tax cuts, were the middle and upper classes suffering, under the burden of contributions to the society? Why did many democrats in the House and Senate enable with their votes, these tax cuts?

http://clinton4.nara.gov/WH/new/html/Fri_Dec_29_151111_2000.html
read it and weep

And the only party that can hold this administration accountable, now aids and abets the debauchery, and refuses to impeach this fiscal malfeasance.

[lancer78]

34. I miss Big Dog....nt

[w8liftinglady]

31. where exactly do we borrow the money from?

with the dollar going in the shitter,who will lend it to us?

[POAS]

33. It's an addiction----just say NO!