U.S. National Debt Tops Debt Limit

The latest calculation of the National Debt as posted by the Treasury Department has - at least numerically - exceeded the statutory Debt Limit approved by Congress last February as part of the Recovery Act stimulus bill.

The ceiling was set at $12.104 trillion dollars. The latest posting by Treasury shows the National Debt at nearly $12.135 trillion.

www.cbsnews.com...

There you have it. We are at the brink of a economic meltdown.

A senior Treasury official told CBS News that the department has some "extraordinary accounting tools" it can use to give the government breathing room in the range of $150-billion when the Debt exceeds the Debt Ceiling.

Were it not for those "tools," the U.S. Government would not have the statutory authority to borrow any more money. It might block issuance of Social Security checks and require a shutdown of some parts of the federal government.

Technically since we have reached the debt limit America is now legally unable to borrow more money. Yes they can tweek to books a bit to buy some more time. $150 billion is about 3 weeks worth of spending these days. What happens after that?

Pending in Congress is a measure to increase the Debt Limit by $290 billion, which amounts to six more weeks of routine borrowing for the federal government.

Six weeks of spending if this debt limit increase is passed. Thats it!!
All I have to say is we all all in for one hell of ride in 2010. It will make 2009 look like the good times.

reply to post by Erasurehead


Remember Bernake just got man of the year, for spending americas money into this debt.

They will keep spending or you know the other choice, lol.

Fake limits for fake money that costs me real consequences.

It's like I'm living in a cartoon that isnt the least bit entertaining.

correct me if im wrong, but wont they just throw all this into national debt, so it jsut sits thir acumates and ends up on evening news, whle they jsut keep overspending? i mean THEY dont seem so worried about it all....

The debt limit has always been a point of great amusement to me. The same idiots spending the tax payers' dollars and mortgaging our childrens' future are the idiots who set the limits. It is a constantly moving scale bar which really has no meaning whatsoever. The nation will not "colapse" until the day when foreign investing nations cease purchasing our debt, regardless of what the official "debt ceiling" is.

(Unfortunately, the day when foreign nations will stop buying the US debt is rapidly approaching. After that point is reached, the debt ceiling will truly be exposed as a useless marker as we will have nobody left to give us money, regardless of how far above or below the ceiling we are.)

Originally posted by burdman30ott6
The debt limit has always been a point of great amusement to me. The same idiots spending the tax payers' dollars and mortgaging our childrens' future are the idiots who set the limits. It is a constantly moving scale bar which really has no meaning whatsoever. The nation will not "colapse" until the day when foreign investing nations cease purchasing our debt, regardless of what the official "debt ceiling" is.

(Unfortunately, the day when foreign nations will stop buying the US debt is rapidly approaching. After that point is reached, the debt ceiling will truly be exposed as a useless marker as we will have nobody left to give us money, regardless of how far above or below the ceiling we are.)

Yes, I agree. The debt limit is in place to stop out of control government spending but what is the point of having a debt limit if they can just raise it when ever they feel the need to? Its a joke really.

I was going to say it'd be nice if raising the debt limit were like amending the Constitution. Taking all of that time and convincing would surely be a difficult process. Moreso than it is now.

Then I remembered that because amending the Constitution is so involved the fed just opts to ignore it and do what it wants to anyway.

Come on baby let the good times roll..

Can't help but laugh, my tears done dried up.

Santa, all I want for Christmas is a government that knows how to manage a budget, respects the taxpayers, and have some basic common sense.

Hope that isn't asking for too much.

Originally posted by andy1033
reply to post by Erasurehead

 

Remember Bernake just got man of the year, for spending americas money into this debt.

They will keep spending or you know the other choice, lol.

Pretty amazing isnt it Andy that Obama gets a Nobel, and Benyankie gets man of the year? Theyre going to have to award Rhamenoodles something to keep the strokes distributed equally and keep the jealousy down.

[edit on 16-12-2009 by HappilyEverAfter]

"extraordinary accounting tools" eh?

Do they leap tall buildings in single bounds? Faster than a speeding bullet?

This is not the first time such a "technical default" has happened.

The debt ceiling has risen $4 trillion since I posted about this 5 years ago US: Debt to hit $8.2 trillion on Monday.

It's now over $12.104 trillion.

I believe they are looking for another $2 trillion dollar tranche this time around.

Remember, the assets backing this debt are yours.
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