Yellen's warning about the debt ceiling.

OK, so Janet Yellen warns that if the congress doesn't increase the debt ceiling by June, the US could default on it's $31 trillion national debt. The warning was dutifully reported on by the media in appropriately solemn tones. Janet descends like a goddess from on high and declares this epiphany.

Is anyone curious about the timing of this warning? Wy weren't we talking about this debt limit when Biden and his congress crammed through the $1.7 trillion spending debacle just one month prior in the lame duck democratic congress?

Is it best if we just default in 2023 and get it over with? Maybe it would be doing our children and grandchildren a huge favor! Or should we just wait until our debt is, say, $60 trillion?

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akindheart · 61-69, F

so what is the answer? Raise the ceiling again. sooner or later, the ceiling will collapse

samueltyler2 · 80-89, M

@akindheart I am afraid you don't understand the concept of the debt ceiling. The country does need to work to lower the national debt. It needs to find a way to do that without destroying the nation's economy, and the downstream effects of that. It also has to do that without hurting the most vulnerable. Since the early 1980s the country has tried and failed with trickle down economics. Another approach has to be found. That requires all my involved to discuss, probably compromise, and pass legislature that helps, not hurts.

akindheart · 61-69, F

@samueltyler2 I understand that printing money and borrowing is going to bankrupt this country. Maybe less pork barrel spending. thats a start

samueltyler2 · 80-89, M

@akindheart that has nothing to do with the debt ceiling, which is an artificial "device" established in the US, probably the only country to have developed such. It is a matter of cash flow. Almost every company uses bridge loans at times, to cover cash flow when needed. That is all t hee e "debt ceiling is." One person's pork is another's day to day income. There have been bridges to nowhere, but, there has been centuries of you scratch my back, i scratch yours.

akindheart · 61-69, F

@samueltyler2 i know that our economy is out of control as witnessed by the inflation we are experiencing. I know that the spending is out of control. I know that the Demsare throwing money around like crazy. I know that this is going to affect me. artificial or not.

samueltyler2 · 80-89, M

@akindheart stop blaming one party, this goes back years. The inflation was caused by a confluence of factors, including a huge tax cut for the wealthy and COVID. Money was "thrown around" and saved many from bankruptcy, starvation and worse. The rate of inflation is decreasing, and hopefully the economy will land softly, without a recession, or worse. It has already affected me, I hope it doesn't get worse, but the cycle of economy favors people your age over mine.

akindheart · 61-69, F

@samueltyler2 it is one party. and always has been. we had the best economy ever under Trump. suddenly it goes to crap. my investments are down. I am lucky that i have resources. when you can't afford groceries like some people, we have issues.

samueltyler2 · 80-89, M

@akindheart i won't try to convince you, but your data is incorrect. The state of the economy from 2016-2020 went from a very strong recovery and decreased debt, to a crashing economy and added national debt. When COVID hit, the country had no reserves to deal be with it, no plans in place for the economy, so things went really bad, really quickly.

akindheart · 61-69, F

@samueltyler2 yeah please don't try to convince me. I may not know the economics but i do know that your party has made it much worse. Instead of gathering reserves, they continue to spend. like the Obama hiking trail.

whowasthatmaskedman · 70-79, M

@akindheart Thats right.. Sooner or later the ceiling will collapse.. So the only REAL answer is foir the US to learn to live within its means, then to repay the debt over time. And its the one thing America cannot do...😷

akindheart · 61-69, F

@whowasthatmaskedman THANK YOU. that is what i am trying to say and as long as we have the current fiasco in office, it won't happen.

samueltyler2 · 80-89, M

@akindheart i do not have a party. I vote for those most competent, regardless of who their supporters are.

whowasthatmaskedman · 70-79, M

@akindheart Sadly we agree, with the rider that this statement has been broadly true since Reagan. Its not just a matter of politics and government expenditure (although they play their part.). Its that the whole nation has gradually shipped what made America great overseas in exchange for cheap labor. Even American cars cant be built without Chinese parts any more. And Some Wall Street bright spark decided "money" was a commodiy to be made and sold, instead of a medium to exchange value. Taking the value out of money was never going to end well.. 😷

akindheart · 61-69, F

@whowasthatmaskedman thanks for educating me. i admit i don't know what you guys know but i do know what is right and wrong and i know something is seriously wrong in our country. (keep tutoriing me)