Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : President Barack Obama -- Ignore unavailable to you. Want to Upgrade?

To: ChinuSFO who wrote (99107)	8/7/2011 12:48:39 AM
From: Neil H	Read Replies (3) \| Respond to of 149317

Re:S&P and others - Neil is aware of this. I would say we are probably deserving of this action and the rating agency is doing the job it is supposed to rather than sitting it out like they did a few years ago. 1. The core issue is our elected govt has been fiscally irresponsible for quite some time and the recent actions/bill showed they are still more interested in playing politics than starting to resolve the issue. The only group in recent history that managed properly was Clinton and the Repub house and senate of the late 90's and they had the headwinds of a good economy with them. 2. The bill signed is weak and ridiculous. It showed that the congress is still not ready to tackle the country's problems. They are mostly concerned with furthering their personal and party aims. Blaming the tea party is ludicrous also as they are trying to get the country to bring their house in order. Note that only about 22% of the tea party consider this a good bill- something like 58% of dems do. (From memory- could be off a few % either way) And all the bill does is cut the increased spending of the future. It really does not address the core problems. 3. Logic 101 or kitchen economics - You are in debt what will you do? First you will go through all of your expenditures and prioritize- keep the necessary or strategic- eliminate the discretionary that is not needed. Of course you feel the pain at this point because you want or will miss many of the things you got or did with this discretionary spending. You are still in debt what do you do - Look for ways to bring in additional income. What did our govt do? They did not cut the current debt at all. They just agreed to not charge as much on their credit cards in the future as they had planned to do. This is a solution? Thus the downgrade. 4. I have been consistent in saying that the numbers tell me that additional revenue will need to be part of the fix. But I would like to see them seriously tackle the spending first. I dont want to give additional taxes so the govt can spend more. I want it to pay off the debt. Hopefully the bipartisan commission will start to turn things around. Neil