General Discussion

Yo_Mama

(8,303 posts)

18. Two different things are being confused.

Thu Dec 27, 2012, 03:18 PM

Dec 2012

The fiscal cliff is separate from the debt limit. Geithner's announcement has to do with the debt limit.

The fiscal cliff is the sum total of existing law changes with regard to tax increases and spending cuts for 2013.

Since the fiscal cliff sharply raises taxes beginning January 1st, it raises revenue in the short term (although if CBO analysis is correct, perhaps not over the next two years). This actually helps the debt limit, because it raises government revenues from the first set of payroll taxes sent in.

The debt limit also has to be raised in order for Treasury to be able to float new debt to fund government spending, since we are operating at a hefty deficit regardless of whether we go over the fiscal cliff or not. So that's why Geithner is talking about these measures.

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Highlight:

Fabricated Crisis of the Fiscal Cliff Exposed as Treasury Department Pulls $200 Billion out of a Hat [View all] xchrom Dec 2012 OP

Of course. It's like nobody can remember that anything ever happened beyond 10 years ago. Egalitarian Thug Dec 2012 #1

+1 xchrom Dec 2012 #3

kr. they're going to keep this charade going until they get to the debt ceiling deadline, looks HiPointDem Dec 2012 #2

Post removed Post removed Dec 2012 #4

go back to your slimy hole. HiPointDem Dec 2012 #5

could someone zap that troll instead of just hiding the post, please? HiPointDem Dec 2012 #6

Agreed. tavernier Dec 2012 #10

i guess the troll got zapped, but the post is still there. i'd prefer it were deleted altogether. HiPointDem Dec 2012 #13

Darn it. I just tried to re-alert with ToS clicked and accidentally alerted on your post! yardwork Dec 2012 #14

well, thanks a lot!! actually, i alerted on that post 3 times last night with tos checked. they HiPointDem Dec 2012 #15

MIRt doesn't have the power to delete posts. Only Admin. If you clicked ToS they will see it. yardwork Dec 2012 #16

The jury is in and the results aren't pretty. yardwork Dec 2012 #17

i have my little fan club... HiPointDem Dec 2012 #22

Me too. I'd hate to see the results of a random alert on any one of my posts. yardwork Dec 2012 #23

What A Crap Report DallasNE Dec 2012 #7

Good catch. "Monday, January 31st?" Looks like a Thursday to me. tclambert Dec 2012 #9

Not just crap but ignorant Yo_Mama Dec 2012 #19

Xchrome acts like federal workers' pensions are free game. DevonRex Dec 2012 #24

Get my handle right. And I don't 'act' like jack shit. xchrom Dec 2012 #31

You think there's no cliff since they're having to steal union members' pensions DevonRex Dec 2012 #32

I think I posted a link. xchrom Dec 2012 #34

If bankers can't go to jail, and it's all a lie, then this too, the cliff is a fallacy. Safetykitten Dec 2012 #8

(The pension fund will be made whole once the debt limit impasse is resolved.) socialindependocrat Dec 2012 #11

Actually, they borrow from federal employees pension fund often Nictuku Dec 2012 #12

They see those huge pots of money, and they lose all control. DCKit Dec 2012 #26

Thanks for the information. socialindependocrat Dec 2012 #27

They put Hoffa in jail for doing the same thing. Egalitarian Thug Dec 2012 #28

Two different things are being confused. Yo_Mama Dec 2012 #18

+1. n/t pnwmom Dec 2012 #30

The pension fund? Barack_America Dec 2012 #20

xchrome DevonRex Dec 2012 #21

What the United States of America should do is change its name to Wall Street. Octafish Dec 2012 #25

The debt limit ceiling is a completely different issue from the fiscal cliff. pnwmom Dec 2012 #29

^ Wilms Dec 2012 #33