ObamaCare and Healthcare.gov

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frank81
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Post by frank81 »

heathicus wrote:No. When $ in < $ out (spending is more than income), that is a deficit.

Debt is what we incur when we borrow money to cover the deficit.

Mandatory spending is < $ in. So with just the tax revenue the government collects each month, we can make our payments on the existing debt, make social security payouts, medicare and medicaid payments, pay our soldiers, etc. Everything that government *has* to do can be done with existing tax revenue. Raising the debt ceiling lets us borrow more money to pay for all the extra things that government does NOT *have* to do.

Raising the debt ceiling has no bearing on whether we can make payments on the debt or not. And let's all hope we are never really in a situation where we needed to go into more debt just to make the interest payments on the existing debt.
The interest on current debt runs about 10% of taxes coming in. It would be very hard to mess that up.

The only real threat I see is short term funding when debt matures and is rolled over into new debt. You have to have enough short term paper to bridge that. We could cover it, but it would be disruptive for a week or two.
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Post by joshh »

Obviously, I'm neither a lawyer nor a constitutional expert. However, a very good Republican friend of mine is both. He is the one that pointed me to the idea that defunding, and especially defaulting, are unconstitutional and in direct violation to the spirit and letter of the 14th amendment. Similar to when the democrats defunded the border fence...that was also illegal (although the government didn't shut down, nor was there threat of default).

The reason people seem to think it's not illegal is because this theater is commonplace and the actors police themselves. The citizens cannot impeach Congress...they must impeach themselves (like THAT will ever happen). We can recall them one by one in theory, but we can't even vote these fools out...no chance a recall push would do anything.

Maybe the supreme court will offer their "opinion" after the dollar collapses.




How can any of them say they are willing to shutdown the government over spending when they voted for the TARP bill?! Over a trillion and counting to hand a blank check to their owners before Obama ever took office. Keep in mind that Boehner, Cantor, Ryan, McConnell, Graham... 91 Republicans in the house and 31 in the Senate voted for it...where was the spending outrage then?
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At least Issa voted against the TARP so his integrity (in this regard) is intact. Too bad now he, and others, are pushing to allow citizens to sign up for congress' government plan instead of Obamacare. How is this different from the public option the Republicans had a konniption fit to get removed from the ACA before it ever passed? Seems every politician is a hypocrite if you wait long enough...


It's all smoke and mirrors to get people to blame the other side entirely. Without exception, anyone who thinks they are 100% right, are usually 100% wrong. Do I think the republicans are right in trying to limit debt? Yes, but not this way! (Oh wait, I'm not supposed to ask myself a question in a post :rolleyes: )



I only recall one other time the government shut down and that was when Newt felt disrespected because he had to exit at the back of Clinton's plane without talking to him. Several reporters, including Lars Erik Nelson, went on record that Newt stated this was a deciding factor. In his book, Lessons Learned the Hard Way, Newt referred to his comments as his "single most avoidable mistake" as Speaker. He went on a nice PR campaign full of talking points to talk blind voters into believing he really gave a crap about them.

I'm dying to know...does anyone here REALLY believe the weeping bohner is sincere?! This is all politics. The tea party has a death grip on his testicles and won't let go... He almost lost speaker last January and will do ANYTHING to keep power (just like every other politician). Apparently it's working since we have people on here calling others scumbags.
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JPG
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Post by JPG »

heathicus wrote:No. When $ in < $ out (spending is more than income), that is a deficit.

Debt is what we incur when we borrow money to cover the deficit.

. . .
'Debt' is incurred when an obligation($) is created. i.e. When something is 'purchased', a debt is created. A 'normal' purchaser pays that debt from income. A purchaser living beyond their means($ in < $ out) must pay said debt with borrowed $. That means the debt is paid from the borrowed pile rather than the $ in pile.

I used the word debt in the general sense.

You are correct if using debt in the narrow(borrowed $) sense. i.e. unpaid debt.

Those folks in DC are good at (mis)using word meanings to suit their purposes.

They tend to blur the distinction between debt and deficit.


Sadly they have both become 'buzz' words with distorted syntax.
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heathicus
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Post by heathicus »

joshh, all I can say is your Republican lawyer friend is wrong regarding defunding a program.
In principle, committees with jurisdiction to authorize programs make policy decisions while the Appropriations Committees decide on funding levels, limited to a program's authorized funding level, though the amount may be any amount less than the limit.
http://en.wikipedia.org/wiki/United_States_budget_process

The Vietnam War ended because it was defunded. Democrats tried to defund the Iraq war. There are ongoing efforts to defund a lot of programs or spending some people don't like such as Planned Parenthood, the NSA, the EPA, the Dept of Ed, etc. The threat of defunding is used by the Federal Government to convince states to pass laws the Fed Government wants them to pass such as speed limits, or minimum drinking age, or drug criminalization.

It's called "The Power Of The Purse" and Congress exercises the power (or threatens to) regularly.
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Post by davebodner »

It's very unusual for Congress to forbid spending money to implement an existing law. Mostly they forbid spending money on things the president wants to do, but isn't required to do (e.g. they used this power to keep the president from transferring Guantanamo prisoners to the US).

Aside from unusual, it's simply dumb. As we found out on the 1st, lack of funding didn't stop the health exchanges from opening. The health care freight train simply can't stop on a dime like that. Temporarily interrupting the funding only ends up raising the costs of what's going to be implement, anyway. If they can muster the votes to overturn Obamacare, there's probably a smart way of dismantling it. But what the House tried to do was simply poorly planned.

Not raising the debt ceiling would be criminally irresponsible. Notwithstanding the sanguine predictions, it's still far from certain that we wouldn't default on debt. Though at the end of the year there may be enough money to theoretically balance the books, we have to remember that cash flows in and money has to go out at very different rates throughout the year. Just maybe the bureaucrats at the Treasury dept. are skillful enough and lucky enough to always have enough cash on-hand for whatever bills and bonds have to be paid that particular day. But that's making a helluva assumption. If not, we go into default. And if the markets even think default is possible, we're gonna have to pay higher interest rates, which increases the deficit.
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Post by davebodner »

And who started this rumor that Obama is trying to make the government closure more painful than is necessary? Parks and monuments ALWAYS close during a shutdown. The Parks Service doesn't need Oval Office approval to move in the barricades. That's just what they do.

And as countervailing evidence, the Administration has taken a very liberal interpretation of the Pay Our Military Act in order to send 90% of the Defense dept. (including me) back to work.
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heathicus
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Post by heathicus »

davebodner wrote:It's very unusual for Congress to forbid spending money to implement an existing law. Mostly they forbid spending money on things the president wants to do, but isn't required to do (e.g. they used this power to keep the president from transferring Guantanamo prisoners to the US).

Aside from unusual, it's simply dumb. As we found out on the 1st, lack of funding didn't stop the health exchanges from opening. The health care freight train simply can't stop on a dime like that. Temporarily interrupting the funding only ends up raising the costs of what's going to be implement, anyway. If they can muster the votes to overturn Obamacare, there's probably a smart way of dismantling it. But what the House tried to do was simply poorly planned.
I don't disagree at all. My point in all of this is not that the Republicans are making a smart move, or that what they are doing is a good thing. Not at all. I agree that they're being pretty stupid. My main point is that, for good or bad, what they are doing is quite Constitutional and following of the law. My other point is that the Democrats are behaving just as stupidly. The Republicans want to fund all of government except Obamacare, and are standing their ground. Democrats want an "all-or-nothing" appropriation including Obamacare and are standing their ground. Neither side is willing to negotiate. Both sides are being absolutely ridiculous. But the Republicans are following the Constitution.
davebodner wrote:Not raising the debt ceiling would be criminally irresponsible. Notwithstanding the sanguine predictions, it's still far from certain that we wouldn't default on debt. Though at the end of the year there may be enough money to theoretically balance the books, we have to remember that cash flows in and money has to go out at very different rates throughout the year. Just maybe the bureaucrats at the Treasury dept. are skillful enough and lucky enough to always have enough cash on-hand for whatever bills and bonds have to be paid that particular day. But that's making a helluva assumption. If not, we go into default. And if the markets even think default is possible, we're gonna have to pay higher interest rates, which increases the deficit.
That's where our agreement is going to have to diverge. I'm going to have to side with Senator Obama on this issue. From 2006:
&quot wrote:The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure...

Increasing America’s debt weakens us domestically and internationally. Leadership means that ‘the buck stops here.’ Instead, Washington is shifting the burden of bad choices today onto the backs of our children and grandchildren. America has a debt problem and a failure of leadership. Americans deserve better. I therefore intend to oppose the effort to increase America’s debt limit.
And as I've pointed out, government revenues are greater than mandated spending - and that mandated spending includes payments on the debt. Pay attention to that word "mandated." That means it HAS to be spent, according to law. There is no avoiding those expenditures, unless the law is changed. And the first thing that has to be paid every month is our debt payment (which is only just the interest - and who ever gets out of debt by only paying the interest? But I digress.). The only chance we have at a default, at not making our debt payment, is if the President, in violation of the law, orders it not to be paid.

If the debt ceiling is not raised, it means we can't borrow more money for all the unnecessary and extra-constitutional discretionary spending.

Don't buy in to the scare tactics about defaulting on our debt if we don't raise the debt ceiling. Because a scare tactic is all it is. Obama is using it now. Bush used it before him. The next President, regardless of party, will use it again. The party in power always uses it because it always works, but it is only a scare tactic. Don't buy in to it.
davebodner wrote:And who started this rumor that Obama is trying to make the government closure more painful than is necessary? Parks and monuments ALWAYS close during a shutdown. The Parks Service doesn't need Oval Office approval to move in the barricades. That's just what they do.
It's not a rumor. There is plenty of evidence.

Park Service Ranger: 'We've Been Told to Make Life As Difficult For People As We Can' - &#8220]Mt. Vernon[/URL], state-run parks, and block people from even looking at Mount Rushmore. They have shut down private businesses, and kicked people out of their homes. They have closed things that were NOT closed during the last shutdown, like parks they provide no funding to, a historic restaurant, and Ford's Theater - which is operated by a non-profit group.

And that's just a few examples.
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Post by frank81 »

The whole shutting down national parks is something I saw as a political scare tactic from day 1 and it really irks me. I understand shutting down visitor centers and guided tours, but to say it requires govt funding for me to walk across the Mall or beach a raft on the Colorado River and walk around the banks in Arches National Park is ridiculous. Allowing a protest to take place on the Mall while everyone else is banned just makes it even more ridiculous. It's like they've lost all sense of subtlety...everything is an overtly political game and they don't care if you notice.
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Ed in Tampa
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Post by Ed in Tampa »

We all know the Veterans Assistance has been shutdown or severely effected but does anyone know if Foreign Aid has been equally effected?

My guess all Foreign Aid goes on as normal.

Personally I am against all Foreign Aid as long as there are citizens in this country living below poverty level, without health care, without adequate housing, without food, without medicine. I don't understand why we send money out of this country when good hard working older citizens must choose between food and medicine. Some are eating cat food to survive.

And do not be mistaken I did mention health care and medicine but I don't believe Obama Care is the answer. To me it is an ill conceived, ill executed, attempt to make Obama and Democratic Party to look like the party of the people when in fact all they seem to care about is their job and their reelection.

PS I would not give a dime in welfare to a person that could not pass a drug test or have their reproduction systems shut off after 3 kids. Able bodied men under the age of 60 would have to do work like the old CCC
Civilian Conservation Corp.
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terrydowning
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Post by terrydowning »

While I appreciate the generally civil tone of this completely hijacked thread. I have a request of fellow forum members.

Can we please refrain from derisive and divisive name calling?
As a vet, I just can't stand it any longer. Whether you like the elected officials of the president and congress or not please respect the office and the institutions they represent.

Personally, I'm not a big fan of our current CinC nor the currently elected congress. But calling them names solves nothing. Deriding educational backgrounds and previous accomplishments solves nothing. In my opinion the whole name calling thing is just as childish as the behavior of some of currently elected officials. I have no problem with describing the behavior for what it is, but can we please stop calling the individuals names and show some respect?

Mutual respect is what is lacking right now and a huge contributing factor to this whole shameful debacle. Let's not add to it.

Please?

Humbly and respectfully submitted.

P.S. This is NOT directed at any one person or persons, but a general reminder to all of us to please mind our manners.

Thanks
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