The Fiscal Cliff for Dummies

[Chris_H]

I thought this explained it quite well for us people who struggle with this kind of thing!

[Otispunkmeyer]

I like that. The numbers involved are absolutely silly though. They'll never get out of that.

[turbobloke]

[Obama looking left to teleprompt]raise the [Obama looking right to teleprompt] ceiling.

Millions and millions of American people voted for that.

[vonuber]

They should unblock the sewer and maintain it better. Also possibly look at the gradients as it's probably not hitting self cleansing velocity.

[RYH64E]

turbobloke said:

Millions and millions of people voted for that.

Because those millions and millions of people will never have to pay the bills.

[turbobloke]

RYH64E said:

turbobloke said:

Millions and millions of people voted for that.

Because those millions and millions of people will never have to pay the bills.

That's OK then, I see it all in a different light now. But, you are not wrong at least not completely. The size of the problem means that people in work who voted for more snake oil and more debt are very likely to pay some of the bill.

[davepoth]

The picture is a fairly poor analogy. The USA has the confidence of the bond markets, so as long as they can remove their deficit and maintain the debt, they're sitting pretty.

Compared to the rest of the world the USA has very low tax rates, which do not seem to cover the things that the population want. Therefore tax needs to rise a little in tandem with spending cuts.

[turbobloke]

"Compared to the rest of the world the USA has very low tax rates, which do not seem to cover the things that the population want."

Taxes provide what people want rather than their basic needs? I want a 599 GTO.

[Chris_H]

turbobloke said:

"Compared to the rest of the world the USA has very low tax rates, which do not seem to cover the things that the population want."

Taxes provide what people want rather than their basic needs? I want a 599 GTO.

I would also like a 599 GTO. Maybe we could get a discount for two and save the poor government some of their tax money!

[TheHeretic]

I don't know who to believe. The Stimulus is put at Obama's door, when the budget for his forst year is already laid in by the previous president. Or did he spend poop loads? Forbes can't seem to make up their mind.

http://www.forbes.com/sites/rickungar/2012/05/24/w...

http://www.forbes.com/sites/realspin/2012/09/03/ye...

So, who is to blame?

[davepoth]

turbobloke said:

"Compared to the rest of the world the USA has very low tax rates, which do not seem to cover the things that the population want."

Taxes provide what people want rather than their basic needs? I want a 599 GTO.

In the USA some people don't consider hospitals a basic need. As they say over there, "Go Figure"...

[Puggit]

The 2nd analogy starts well, but neglects the fact that people cannot put corks in their arses and stop the flow of st!

[RYH64E]

turbobloke said:

RYH64E said:

turbobloke said:

Millions and millions of people voted for that.

Because those millions and millions of people will never have to pay the bills.

That's OK then, I see it all in a different light now. But, you are not wrong at least not completely. The size of the problem means that people in work who voted for more snake oil and more debt are very likely to pay some of the bill.

Here's a good article I quoted in another thread
http://www.washingtonpost.com/opinions/why-not-let...

The gist is:

Article said:

Big government is great if you don’t have to pay for it.

[JensenA]

Can someone explain to Mr.Ignorant here, what exactly this 'Fiscal Cliff' is.

I know that if an agreement is not reached, then everyones Taxes will rise and Government spending will be cut, from 1st January Automatically. But who implements these automatic tax rises, and why is it automatic?

[jeremyc]

JensenA said:

Can someone explain to Mr.Ignorant here, what exactly this 'Fiscal Cliff' is.

I know that if an agreement is not reached, then everyones Taxes will rise and Government spending will be cut, from 1st January Automatically. But who implements these automatic tax rises, and why is it automatic?

Because last time they couldn't agree on cuts/taxes/budgets (in 2010 IIRC) they imposed this deadline after which the cuts automatically come in.

It was supposed to ensure that they reached agreement in good time.

That deadline is tomorrow.

[Gene Vincent]

Chris_H said:

I thought this explained it quite well for us people who struggle with this kind of thing!

Hmmm, well lets hope the originator of that poster has no say on the matter.

It's not $38.50 but $385.

Horrible fail.

[davepoth]

jeremyc said:

ecause last time they couldn't agree on cuts/taxes/budgets (in 2010 IIRC) they imposed this deadline after which the cuts automatically come in.

It was supposed to ensure that they reached agreement in good time.

That deadline is tomorrow.

The thing you have to remember is that all of America is Exactly like a Hollywood film; they thrive on manufactured peril.

[Gene Vincent]

Plus the USA will be out of debt by 2035 thanks to energy independence and the manufacturing repatriation that comes with it.

[Terminator X]

Can someone pls explain why it matters to us in the UK?

TX.

[Gene Vincent]

Terminator X said:

Can someone pls explain why it matters to us in the UK?

TX.

We have a favoured nation status with the USA and their boom will help us hugely, plus they lead by example, by taking full advantage of the energy boom that will dominate the 21st century (we're are in too much sway of left-leaning moaning minnies to grab this bonanza fully, unless we tie the fkers to a tree and set fire to them of course)

My hope is that the stark contrast between how the USA gets itself out of st will be enough for us to get on with making the most of the bonanza.