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    Saturday, October 12, 2013

    Debt limit

    Haven't posted in ages, so I hope you have missed me.

    Blogger finally has a decent iPad app, so it's easier now.  

    This week we will hit the limit on the nation's credit card.  Conservatives want some concessions from Obama in exchange for giving him more credit.  

    Whether you agree on what those concessions should be, let's talk about the big lie that is default.

    Liberals want you all to believe that failure to allow the country to take on more debt means we would default on our obligations to our debtors.  It would not necessarily happen that way because the Obama admin would still be receiving tax revenues and would have the power to choose how to spend tho see revenues.  Since we all agree default is not an option, those revenues would go towards paying our debtors.  At the same time, the government would have no other option than to stop incurring new debt.  What this would mean is a partial government shutdown, one severe enough where the tax revenues coming in could fund the debt payments and continuing operations.

    There is no dispute amongst anyone that tax revenues can fund the debt payments.  Apparently, the Obama admin wants us to believe they wouldn't pay them.  That must be their plan, because otherwise, they wouldn't be threatening these dire consequences.  

    The truth is more likely that the O admin doesn't want people to learn that they are lying, and that the partial shutdown wouldn't be that bad anyway.

    That's part of the reason that now, during the current budget impasse, they are intentionally shutting down parks and roads and overlooks - to make you all believe that this is really something awful.

    It's not.

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