Ok, exactly how will we meet the G20 directive to cut the deficit in half in 3 years?

[Phoebe Loosinhouse]

If you had to make a legitimate prediction about how THIS government in this time will meet that challenge what would it be?

2nd question - Does the US have the option of saying to the G20 - F!@k off! We'll address OUR deficit when we are ready to?

3rd question - Are we obligated to perform because this whole excercise is to shore up the house of cards created in the world's finance and monetary systems when the US originated and peddled the Credit default swaps that permeated into almost every country?

Is the deficit demand trying to put solvency into an essentially insolvent system? If you look at the actual deficit countries they all seem to be under by about 3%. Is that reason enough for this worldwide hysteria over deficits? Is it reasonable that it leads me to believe that the actual deficits are much higher and being masked? If a person earned 100K and was spending 103K would that put them under?

I would love the real economic gurus on this board to take a stab at educating and enlightening the rest of us.

[dipsydoodle]

1. You won't

.

[Pharaoh]

2. stop the wars!

O8)

[Township75]

5. That would be nice, but don't count on it...

This administration hasn't done much more than the previous administration (in fact they have extended it in Afghanistan) to end the wars. Instead our taxes will go up, our services will go down, and BP will get a tax break.

[indepat]

17. Stop the wars and add sanity and fairness to the tax code. But that would not be pleasing to RW

forces, so it ain't gonna happen. :P

[Ghost Dog]

21. Yes, As part of the answer to the 1st question I would

recommend redirecting a large part of military spending to spending on domestic (and, why not international) projects in infrastructure, green energy, cities and transport, and other, let's call them 'ecological engineering' fields - including lots of R&D, thus beginning to intelligently shape and build out a whole new future for mankind and this biosphere/planet. With some of this money, I would also greatly expand non-military space and sub-ocean exploration, always under strict ecological/environmental quality-control regulation.

Such projects would greatly stimulate economies, and would absorb much of the great demand for useful paying jobs from both the army of unemployed and those getting out of the armed forces as they stand down and unwind, and thus greatly reduce welfare spending. The bottom line woud be a large transfer of liquidity from the military budget to these socially, environmentally and economically progressive programs.

Question 2, and what it implies, is unnecessary (and smacks of US isolationism), since it seems clear that the G20 is not ordering anyone to do anything; as can be seen from this morning's Reuters report, each country pledges, promises, to halve budget deficits that quickly:

G20 leaders meeting in Toronto agreed to take their own paths to ensuring economic growth and left room to move at their own pace, trying to balance contrasting priorities by pledging to halve budget deficits by 2013 without stunting growth.

The heads of the G20 rich and developing nations also promised to clamp down on risky behaviour by banks without restricting lending, and agreed to give banks more time to adopt tougher rules.

/... http://www.finanznachrichten.de/nachrichten-2010-06/17263210-rpt-global-markets-asia-stocks-rise-as-u-s-bank-bill-fears-ease-020.htm

My answer to the collective third question is, essentially, yes.

[hlthe2b]

3. On the backs of the poor and middle class, undoubtedly

And the US can do whatever it wants UNLESS we want someone to finance our debt--in which case we are going to be stuck doing what they demand.

[Subdivisions]

4. Why am I getting such bad vibes from listening to the President right now?

He looks very stern and the mood is very ominous.

Is it just me?

[Ghost Dog]

22. Well, there is this:

... A US-based strategic intelligence company has released a chart showing US naval carriers massing near Iranian waters... the USS Harry S Truman -- has been positioned in the north Indian Ocean, not far from the Strait of Hormuz... The carrier joins the USS Dwight D. Eisenhower... The chart is dated June 23, 2010... On June 19, the Israeli newspaper Ha'aretz reported that 12 US and Israeli warships were seen moving through the Suez Canal from the Mediterranean Sea to the Red Sea. And a report from the Associated Press published Saturday evening cited "unconfirmed" reports from Israeli and Iranian media that Saudi Arabia has allowed Israel to use its territory in preparation for an attack on Iranian nuclear facilities...This weekend ... Italian Prime Minister Silvio Berlusconi... told reporters at the G8 summit in Canada that G8 leaders "believe absolutely" that Israel will "probably" strike Iran...

Raw Story / http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x4444660

[Warpy]

6. Not with this Congress

but a Congress with a grip on reality and a love of country above the love of money would cut the Pentagon while raising taxes on the super rich. A lot.

Deficit hawks always want to starve us into prosperity, an absolutely ridiculous viewpoint that doesn't stand up to even the mildest scrutiny.

However, getting the empire off our backs to the tune of a 10% reduction per year until our expenditures are in line with the rest of the world's combined with a return to a progressive tax structure will slash that deficit permanently while freeing up the kind of money it will take to repair our infrastructure and get our economy running again.

[Demeter]

25. And While You Are Dreaming and Wishing

How about a life-partner for Demeter?

[Warpy]

28. Sure, right after I get health and beauty.

I'll be feeling magnanimous then.

[Demeter]

29. Deal

[izquierdista]

7. Write it off?

That's what the Bible tells lenders to do. Every seven years, forgive all the debtors (Deuteronomy 15:12-14). So writing off 50% in 3 years is par for the course.

[jwirr]

14. I am praying for a debt Jubilee. For all of us. We can just start over.

That is the only thing short of bankruptcy that will help me.

[SunnySong]

16. Funny story our debt is not the problem.. intrest payments are pretty low.

So canceling our debt wouldn't balance this years budget which is what this is about. nt./

[sabbat hunter]

8. easy answers

1)Start by eliminating the bush tax cuts on the top incomes. Bring back the estate tax as per Bernie Sanders. Reduce military spending by bringing out troops home out of Iraq.


2)we are not bound by the G20 to cut our deficit in 3 years, but it probably is a good idea.

3) no we are not.

[johnaries]

9. Well, once the economy recovers revenues will go up automatically.

Also, there will be no more need for the deficit spending for stimulus. Also, Obama has suggested that we let the Bush tax cuts expire. Plus, he advocates closing current corporate tax loopholes and many of the tax breaks on oil companies. Also, the IRS has made great progress in closing off-shore "secret accounts" that allow tax evasion.

That all adds up.

[Dan]

10. years ago... (just my opinion)

When I was younger, I remember that the World Bank could impose all types of payment obligations on a nation - nations that had taken out loans that they could no longer afford to repay. Payment on the terms of the loans were such that the little nation was unable to make the payment and it resulted in one of the ways that the western worlds were able to take over the resources of another country. The payment terms were such that the nation in debt was forced to impose all types of rigid financial terms on it's population, such as onerous taxes, but it was never enough. Then came the military to enforce even more cuts in services, etc., and still not enough.. finally, the nation resources were effectively turned over to some multi-national corporation with its police powers enforced by the nation-state's military (armed and supported by the U.S. - we called it proxy wars, but actually just another way of facilitating wealth transfers). The populations fought back, we called them communist and provided even more military support - to protect them from the influences or control of a communist body.

Maybe, the chickens have come home to roost.

[immune]

11. Maybe, the chickens have come home to roost.

They aren't quite here yet, but you can already hear the cackling and crowing as they get closer. We probably won't be calling the gifts they bring "proxy wars" for much longer, either.

[truedelphi]

12. We have a lot of oil floating around in the Gulf we can offer 'em.

My sarcasm is meant in terms of my header.

It is the G20 types and their philosophies that are behind the allowing of Corporate Policy such as demonstrated by BP in the weeks days and then minutes before the oil rig explosion.

Everything for the people at the top, and not even basic safety for the world and its people at the bottom.

[Jakes Progress]

13. Probably,

we will cut aid to poor, privatize schools, gut social security, revisit gov't costs on new "health reform".

We will not end the wars. Stop subsidies to corporate interests. Tax the rich and the elites at their fair share.

That's why the stern lecture. Get ready for the parent to tell us that we have to really cut back this Christmas, and we all have to pull together. (Yeah. Right.)

[JackRiddler]

15. Hm, ending the empire and taxing the rich are off the table. I wonder what will be tried instead?

[bemildred]

18. In a word, inflation.

With say 100% inflation, your debt is worth half as much.

[ThomThom]

19. stop the wars and raise taxes on the wealthiest people in our

country
very simple... military spending is out of control
it makes no sense to have all those bases around the world and our equipment costs on military hardware is over the top, we would be better off to spend part of it building schools and helping people instead of maintaining bases and shooting people

[depakid]

20. A financial transactions and a Tobin tax would bring in around $150 billion a year

while discouraging unproductive speculation and market manipulation.

[Lagomorph]

23. If it has any teeth....

....they'd cut off our credit and start demanding payments. No idea if they'd actually do it, but if they wanted to, they could impose tariffs to weaken our trade unless we toe the line.

[TheKentuckian]

24. How will we? Get Medicare shifted off the books and reduce the amount of money

stolen from Social Security that must be paid back.

How should they is a completely different conversation.

[raccoon]

26. Let me guess--how about cut all programs that help the non-rich, including

poor, disabled, and down and out?

That's probably what TPTB will come up with. :banghead: :puke:

[Bandit]

27. Easy....Cancel our Debt. Just say we won't pay..

Interest on our debt is more than we spend on almost all social programs put together not counting medicare and medicaid and social security.

[Greyhound]

30. The next decade's 'catch phrase', austerity.

A system of robbing the last dregs of wealth from the people of a nation.

Huge increases in corporate welfare accompanied by the complete elimination of social support.
:kick: & R