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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: 5dave22 who wrote (133670)	2/27/2001 1:30:26 PM
From: pgerassi	Read Replies (1) \| Respond to of 1570547

Dear Dave: Do you know that this was also stated by AG in his testimonials to Congress? No one, including any Democrat or Republican ever thought about this until last year at the earliest. How is it a backing down of paying off the debt to setting a repayment schedule to pay off all debt as it comes due? Would you accept such a schedule to pay off the debt in its entirety? Do you know that these long term bonds you want to buy back have been estimated that the current holders would want premiums to buy back the bonds greater than the amount that would be paid by future interest and principal? AG estimates that the long term bonds might command a premium 10 to 15% greater than the total sum of interest and principal. How many programs, companies, and agencies would be thrown into a tizzy if all the debt is suddenly paid off? Think of the tax issues for current holders US debt. All the mutual funds and retirement programs that would have to seek other means of safe and secure growth not only here in this country but, around the world. It is clear that not many have really sat down and thought through all of the ramifications of such a prospect both good and bad. And that is just considering the possibility of zero debt and not how it is done. Just how much more difficult a quick repayment is over a normal set repayment schedule. It is just unbelievable for most just in the fact of zero debt alone. Just a few things that would be just gone are: 1) No more treasury auctions of bonds and bills. 2) No safe and secure debt instruments. 3) No Social Security Trust Fund (no bonds to hold as required). 4) No use of US Bonds in country to country trade. 5) Loss of US currency as the accepted and most desired reserve currency. Republicans have turned the Democrats from "We can never get to having a surplus (its not possible)" to "We must pay down the debt (so that the money not used can be redistributed to our causes (spend, spend, spend))" to "Pay off all of the Debt and damn the consequences (we can skim the surplus for our favorite causes)". How far have the Democrats been dragged is a great tribute to the thankless job done by many thus far. Pete

To: 5dave22 who wrote (133670)	2/27/2001 1:44:23 PM
From: Tenchusatsu	Respond to of 1570547

Dave, <And Republicans have SUCH a great track record at paying down the debt!> The Democrats would have been no better. Back when we had our first budget surplus, neither the GOP nor the Dems talked about paying down the debt. Instead, they talked about using the money either for tax cuts or for increased federal spending. At leash Bush wants to keep spending growth at 4% or below. I read somewhere that Clinton's budget in 2000 had an 8% increase in spending, hardly the action of a man who valued paying down the debt for the long-term future. Tenchusatsu