What Is Your Prediction?

[Copper Catcher]

My Prediction: The Republicans, Democrats and the President will soon proclaimed that they have magically "fixed" the U.S. economy by coming to an agreement to fix the debt ceiling.

Ultimately the debt ceiling will be raised and more money will be pumped into the system Q3 and basically things want change but get worse.

The smoke and mirrors scam is a grand attempt to change the perception of the American people to try to get them to start spending money again and to see a brighter future i.e. the mirage in the distance.

As one commentary I read recently put it, and I am paraphrasing, the solution given will be like how the alcoholic chooses to "solve" his own problem by finding the key to the liquor cabinet.

[Market Harmony]

While we (the US) can still pass off that our economy is the strongest on Earth, then we will continue to exploit that to the point that it will be impossible to earn a return in the US by foreign entities. Once that occurs, then the next empire will be born, and it will pass us by. That's a pretty dire prediction, and one that is intricately complex in the details, but the end result is pretty clear.

If there is a better profit engine than the US economy, then money will flow to it. For now, while the players are playing, things are being artificially propped up. But like any house built on a weak foundation, disaster is inevitable. Whatever decision they come up with will not be the right one. They all are disillusioned by the spin doctors.

[djjstang]

As George Michael once said "You got to have faith" that is so true when you have a fiat currency. Does anyone out there that buys our bound have faith in the US government? Everyone that buys our bond does for a reason , but I do not believe that anyone has Faith.... That we can balance the Budget........Quit printing money........ Well for the prediction on the debt ceiling, I believe it does not matter as much as everyone says. There is always more money. Are we not sitting on a ton of Mortgage backed securities? I believe the government will come up with another slide of hand to avoid default. It's just money or as it is now known as paper.

[Know Common Cents]

This entire fiasco is a text book example of political posturing. Of course, some deal will be struck before the Aug 2nd deadline, but one or both parties will use their "struggle" to (try to) score points with the voting public.

I really get ticked off, though, when scare tactics are being folded into this dumb-and-dumber contest. Elderly are scared their Social Security checks will dry up and they'll be forced to eat cat food for the duration of the squabble. Others are already making signs damning the government for making our troops go without pay. Those who ride the entitlement train fear that'll be derailed somehow.

There's a much bigger picture here than most have overlooked. This certainly isn't the first time that the debt ceiling has been raised. The fact is why and how is the American public even tolerating this nonsense? It was time long ago to start spending within our means. I just don't hold out much hope for common sense to prevail.

QE3 will be forthcoming since the present administration will tell all that the economy is wounded from this debt crisis and we need to knock back the growing fear and hesitation of Joe and Josephine SixPack. Take the BEP printing presses to Warp Factor 3, Number One.

When I was very young, President Kennedy was in office. We were in the midst of the Cuban Missle Crisis. I went to bed many nights just sure that there was a missle aimed directly at my Ohio home town and maybe even my house. Now that was something very real to be scared about.

This crapola is nothing more than Gomer, Goober, Aunt Bee, Thurston Howell III and Gilligan trying to collectively figure out which way is up.

[Mike]

I hope I'm wrong, but before the borrowing limit is reached our "leaders" will reach a compromise that will look like:

-raising the debt limit by one to 1.5 trillion dollars,
-cutting spending by $150 billion a year (that's one-tenth the annual deficit)
-modestly raise the tax rate (that the idiots do not realize will not increase revenues)

The press will loudly "Hosana" that brilliant statesmanship has prevailed, while oblivious to the fact that we are still piling on the debt at an unsustainable pace. The Day of Reckoning, when the house of cards will come down, is getting closer every day. Not only are the idiots in Washington doing nothing about it (Hell, they're advancing it as fast as they can), most seem oblivious to the concept that there are any economic limitations to the government.

[Delawhere Jack]

Things are bad, they're going to get worse, and they're
never going to get better.

-- Kurt Vonnegut Jr.

[Lemon Thrower]

my prediction is they will manufacture this event into some sort of crisis and use that manufactured crisis to justify higher taxes acroos the board, both income taxes, property taxes at the local level, and a federal VAT.

[Mike]

Delawhere Jack - that's a great and appropriate quote.

I've believed for a long time that things can go to Hell in a hand basket all by themselves, but things only get better when everyone works together in the same direction to make them better.

The problem here is that our "leaders" are working together alright - working together to make things worse.

[whatsnext]

Ahh a VAT now that is western civilized. That is the new nature for tax it would seem.

What do you guy/gals think of the fair tax? I think it is worse than the present system. Even if a fair tax past there would be no agency cut down like they claim.

Wellfare would have to go up to cover the increase, or they would be exempt, them corps would be exempt, and there goes the whole system on the middle classes back.

You just cant win any way you slice it, the goubermint aint going anywhere. Nothing will change drasticly fast and we slowly drag into the new world.

If cards do fall it will be even worse still, hope you like a dictatorship. Somebody has to keep you inline and stop the invasion(s).

[didou]

My prediction is all the media about it is a psychological game.

Debt ceiling was decided to be raised before all that start. There is just too many thing pushing in that direction. They won't let it fall if they can move it to the future and they can.

They would never had announce it otherwise, they can hide it from media and public if they believe it's a national security problem, and it's easy to believe it can be. No need to create panic if they can avoid it. They just do the opposite right now, they want people to panic.

I believe they are currently LOWER EXPECTATION of what life should be in people mind. They will push inflation higher again, because it's good for the richest people on the planet that order the government to do so. Inflation create precarious economical society. They are just pushing people in that corner.

Ever wonder what does someone who has to work to paid his credit card because he needed the credit card to pay for last week groceries to eat this week and pay it next week ? They made very good slave, that don't have the mean and the will to do anything else but be a good slave that accept any job and don't disrupt anything.

[whatsnext]

You are right about lowering the standard expectation of living conditions. There are to many people who do not produce or just service to others.

People eat to much, use gas unwisely, own land that could be used better, expect to have a family as a right not a preplanned baby to fill a role later.

It will require a greater control aspect in the future to keep resourses limited in use. Not because it cant be worked around but a control of resources is control of population.

People left the farms for a reason, they could not compete with a company farm, the money was needed, the children hate getting filthy for peanuts, it is hard life draining work everyday, then you get to winter it until next season with no promise of success.

Company farms removed houses/schools and such expanding farmland for more yields, centrilized the production/planning methods and made it cheaper/profitable to the point prices went down.

This is how our future will go again. reduction

[IdahoCopper]

Ever wonder what does someone who has to work to paid his credit card because he needed the credit card to pay for last week groceries to eat this week and pay it next week ? They made very good slave, that don't have the mean and the will to do anything else but be a good slave that accept any job and don't disrupt anything.

Until one day, the slave wakes up and realizes he is only running the hamster wheel to "save" his credit score. Once he ceases to give a flying f**k about that, and spends the CC payments on silver & preps; he is free again.