jburkeson1
(Joseph Burkeson, CMI)
September 17, 2008, 3:54pm
21
Hey Mikey,
Too friggin’ bad AIG ain’t headquartered in Alaska then… we could make jokes about a bridge loan to nowhere. :mrgreen:
klott
(Kenneth Lott, 001236461)
September 17, 2008, 4:18pm
22
jburkeson1:
The only good thing that might come out of this is the notion that America might no longer be able to expand its imperialism through military means. Typical communist statement, it is no wonder you’re an obamite.
The net-net result of all this government shenanigans in the financial world will soon come home to roost in the form of a dramatic fall off in federal and state tax receipts in the next year or two. The financial services sector, both through corporate and individual receipts, has been a major growth area for government revenues in the last decade. With that wiped out and indeed producing almost incalculable write-offs, federal revenues are about to plummet. (Keep in mind those write-offs can be applied back to previous year’s profits for corporations!) Added to this of course will be a deep Main Street recession, which will also cause tax revenues to decline.
We’re looking at deficits that will be monstrous by any previous reference point. We won’t know the real numbers for another 6-12 months, but it could be push the yearly deficit well over a $1 trillion with two years. Raising taxes will not really be possible because the economy will be in recession.
Further, money will be tight and hoarded by all who possess it and paying down existing debt will be a new national past time.
It’s at this point that we will undergo Latin American-style austerity or have hyper-inflation (just print the money) or we just plainly default. Any or all are the End Game for life as we’ve known it.
The big thing to watch for are news stories in the coming months about how fast tax collections are declining, particularly in NY State and at the Fed levels, and how much higher the yearly deficit projections will grow.
You hopped off the bus to soon joe, you would be much happier about 90 miles south of Key West.
klott
(Kenneth Lott, 001236461)
September 17, 2008, 4:24pm
23
They are the problem. They created this mess by demanding easy credit and mortgages for those who where not credit worthy. And now when the house of cards falls they want all of us to pay for it. Bingo! This pisses me off so bad, I can’t see straight. They come up with ways to screw people out of their money