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|Subject: Re: Geithner: get rid of debt ceiling||Date: 11/17/2012 11:23 PM|
|Author: PeterRabit||Number: 1837949 of 1949706|
TD1 I agree. It would be *really nice* to have Obama put his signature on his very first official budget.
Has Congress passed a budget and sent it to the President's desk which he then vetoed?
Except that once you start borrowing the money left and right, your ability to pay it back gets less and less. Why? The interest payments you have to make reduce your ability to expand into new things, a problem that gets magnified when all the money you're borrowing is going to service your past obligations. In other words, it's a death spiral.
I know. And a paper "ceiling" has no effect on the death spiral.
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