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Date: 12/28/11 02:13 PM

48 Responses to Balancing The Budget In Layman`s Terms [Pic]

  1. Profile photo of lostinkorea
    lostinkorea Female 30-39
    3727 posts
    December 28, 2011 at 2:14 pm
    Link: Balancing The Budget In Layman`s Terms - Do you agree, I-A-B?
  2. Profile photo of bliznik
    bliznik Male 30-39
    787 posts
    December 28, 2011 at 2:20 pm
    Nice, but what congressman/woman would run who would actually balance the budget instead of trying to cater to everyone else`s whims?
  3. Profile photo of Gerry1of1
    Gerry1of1 Male 50-59
    36192 posts
    December 28, 2011 at 2:21 pm

    Everyone screams they want to reduce spending and get a balanced budget, but no one wants their program cancelled.

    To fix this will take some hard sacrifices most people are too spoiled to make. Until it`s so bad the choices are worse and forced on them.
  4. Profile photo of Neoptolemos
    Neoptolemos Male 30-39
    625 posts
    December 28, 2011 at 2:31 pm
    Debt already is $15 trillion, and tax revenue is not the only way the American government raises revenue.

    Apart from that, pretty interesting view on the subject.
  5. Profile photo of Cajun247
    Cajun247 Male 18-29
    10722 posts
    December 28, 2011 at 3:12 pm
    3 things
    Medicare & Medicaid
    OASDI
    Defense
  6. Profile photo of hardyhar1088
    hardyhar1088 Male 13-17
    15 posts
    December 28, 2011 at 3:19 pm
    Okay picture that has no sources whatsoever! I`ll totally believe you!
  7. Profile photo of shaboinkin
    shaboinkin Male 18-29
    456 posts
    December 28, 2011 at 3:35 pm
    @hardyhar1088

    You make it seem like you can`t spend 5 minutes on google to look up the number.
  8. Profile photo of EricWRN
    EricWRN Male 30-39
    590 posts
    December 28, 2011 at 3:43 pm
    First person to bitch that the federal budget is really "more complicated than that" gets punched in the face.

    It`s really not more complicated than that. If total out is greater than total in, you have debt. Plug whatever bullpoo Keynesian equation you want in to justify debt borrowing and debt spending and debt money printing but you still end up owing money.
  9. Profile photo of MrPeabody
    MrPeabody Male 30-39
    1920 posts
    December 28, 2011 at 4:19 pm
    "Nice, but what congressman/woman would run who would actually balance the budget instead of trying to cater to everyone else`s whims?"

    I`m pretty sure that`s what Ron Paul is trying to say a few posts back:
    Everything is unconstitutional

    Unfortunately he is being ridiculed for pointing out that the Emperor has no clothes.
  10. Profile photo of Baalthazaq
    Baalthazaq Male 18-29
    4548 posts
    December 28, 2011 at 4:25 pm
    It IS more complicated than that.

    People keep saying "if government was run like a business, it would be bankrupt", except... it IS being run like a business. It is effectively over-leveraged, like many businesses are.

    It runs its business on debt, like many businesses do. The argument from the private sector is even that they *should*.

    That`s fine when the economy is growing.

    Think about it this way, in itself an oversimplification:

    You have $1. Your business turns each dollar into $10. You can take 20x your wealth in debt.

    It makes sense to take out the $20 loan, put it in, and get $220. Then borrow 220*20. $4620. Borrow -> Spend -> Grow cyclically.

    Hell, investors often look disparagingly on getting dividends because it makes it look like the company isn`t reinvesting.
  11. Profile photo of Baalthazaq
    Baalthazaq Male 18-29
    4548 posts
    December 28, 2011 at 4:27 pm
    This is exactly what my old investment company was trying to explain to investors all across the country, when we were trying to convince them to invest in risk mitigation stocks in preparation for a potential crash.

    Nobody wanted to hear it, and the same applies to countries taking on debt in a similar way.
  12. Profile photo of CrakrJak
    CrakrJak Male 40-49
    17515 posts
    December 28, 2011 at 5:03 pm
    A balanced budget amendment needs to be passed, but time and time again the democrat party has rejected all efforts to pass one.

    The last time the budget was balanced House Speaker Newt Gingrich, enacted the largest capital gains tax cut in US history, slashing the rate by 40% from 28% to 20%. That helped to promote an economic boom that produced surging revenues.

    Congress cut federal discretionary spending from 1995 to 1996 by 5.4% and in 4 years, 1995-1999 defense and non-defense, was slashed by 17.5%.

    History, logic, experience, and theory show that reducing deficits and debt and cutting tax rates promotes a growing economy, which will produce growing revenues, and cut spending down towards balancing the budget.
  13. Profile photo of I-IS-BORED
    I-IS-BORED Male 18-29
    2419 posts
    December 28, 2011 at 5:11 pm
    Balancing the budget has nothing to do with who happens to be in charge, they all drat it up. Some politicians do this on purpose just to MOVE the tax revenue from one group to another.
    1. Politicians increase spending.
    2. Raise some taxes and cut spending to look good.
    3. Cut taxes (including some that weren`t raised) once debt is back under control.
    4. Hide the fact that the tax the average person is paying is now slightly higher to account for tax cuts given to somebody else.
  14. Profile photo of Justin9235
    Justin9235 Male 18-29
    1582 posts
    December 28, 2011 at 5:38 pm
    Good luck: they`ll need it.
  15. Profile photo of Draculya
    Draculya Male 40-49
    14544 posts
    December 28, 2011 at 6:31 pm
    Well I for one would not lend to the USA and I hope my governments and major institutions stop (i.e. the treasury rate rises to reflect the actual risk of default). That would cause a major rethink.
  16. Profile photo of BrimstoneOne
    BrimstoneOne Male 30-39
    2229 posts
    December 28, 2011 at 7:49 pm
    Dosen`t help that the American government`s revenue was stolen in a heist couple years back.

    The manufactured crises that the banks walked away with. And some people have claimed that the USA doesn`t manufacture anything anymore. I say that is totally untrue.

    The USA`s financial sector is really good at manufacturing crises. Just look at what Goldman Sachs did to Greece.
  17. Profile photo of Viking864
    Viking864 Male 40-49
    1444 posts
    December 28, 2011 at 7:50 pm
    It`s just too much common sense. If my income goes down or my expenses go up, I`ve never gone to my boss and demanded a raise. Congress however feels they can (ie raise taxes).
  18. Profile photo of 5Cats
    5Cats Male 50-59
    31771 posts
    December 28, 2011 at 8:22 pm
    Excellent! And 100% correct to boot.

    Spin that, Obamatons!
  19. Profile photo of SunnyNphilly
    SunnyNphilly Male 18-29
    645 posts
    December 28, 2011 at 9:08 pm
    VOTE THEM ALL OUT
  20. Profile photo of Cajun247
    Cajun247 Male 18-29
    10722 posts
    December 28, 2011 at 9:19 pm
    People who say it`s complicated say that BS because they don`t want their department abolished.

    Ultimately the programs that need to be cut are the three I listed (because they make up the biggest portions of the budget).
  21. Profile photo of kusanagi
    kusanagi Male 18-29
    183 posts
    December 28, 2011 at 9:36 pm
    I agree with that all 100% but I have one question.

    Who is going to replace them?

    The sad thing is that it seems we are playing Russian Roulette here with the people who are supposed to be taking care of this.
  22. Profile photo of Corpsecrank
    Corpsecrank Male 30-39
    930 posts
    December 28, 2011 at 9:37 pm
    You don`t even need to remove 8 zeros for me to tell you the budget cut is laughable you can clearly see how much smaller the last and most important number on the list is.
  23. Profile photo of Corpsecrank
    Corpsecrank Male 30-39
    930 posts
    December 28, 2011 at 9:43 pm
    "Well I for one would not lend to the USA and I hope my governments and major institutions stop (i.e. the treasury rate rises to reflect the actual risk of default). That would cause a major rethink."

    Well I for one will make every effort not to buy any cheap asian imported goods and here is my middle finger and let me bend over so you can also kiss my white @ss. Remember AMERICA MADE YOU. If no one bought your rubber dog crap you would have nothing in your country. You are welcome for a lesson in history. Also thank you for breaking the stereotype about asians being smart I was sure that was not true and you have proven it for us.
  24. Profile photo of connor53
    connor53 Male 13-17
    207 posts
    December 28, 2011 at 9:55 pm
    Save America. Fire congress.
  25. Profile photo of PirateWillis
    PirateWillis Male 18-29
    143 posts
    December 28, 2011 at 10:49 pm
    The think that the average person doesn`t understand is that when the news or some politician says that 2 trillion has be cut from the budget, that means from the budget proposal. So the new proposal might have had an increase of 4 trillion and the cut of 2 trillion takes it back to and overall net increase of 2 trillion...I blame the news and political media for making Americans ignorant of the actual truth.
  26. Profile photo of OldOllie
    OldOllie Male 60-69
    15844 posts
    December 28, 2011 at 10:58 pm
    Deficit spending is like nose-diving an airplane. After a certain point you can no longer pull up without ripping your wings off.
  27. Profile photo of Ilikelogic
    Ilikelogic Male 40-49
    550 posts
    December 29, 2011 at 1:33 am
    Each person in US (including babies) has a debt of 45,700 USD.
    Wondering how high it is in Greece, this almost bankrupt country?
    (Hint: that communist from the daily show calculated it some time ago...;)
  28. Profile photo of tedgp
    tedgp Male 30-39
    3287 posts
    December 29, 2011 at 4:17 am
    Welcome to a military ran country? If you let the military run your country, this will always happen.
  29. Profile photo of pompousass7
    pompousass7 Male 40-49
    259 posts
    December 29, 2011 at 4:44 am
    look at the money you would be making if you had of kept the economic deals iraq offered instead of killing saddam so the military companies could profit from war
  30. Profile photo of McGovern1981
    McGovern1981 Male 30-39
    14273 posts
    December 29, 2011 at 6:15 am
    Other countries act like they`re beter off they`re not.
  31. Profile photo of QualityJay
    QualityJay Male 18-29
    303 posts
    December 29, 2011 at 6:52 am
    Viking864: well said. Even less of a reason to ask for a raise when you are busy wasting your money on solar panels from your friends company, new GMC trucks, and overpriced insurance from AIG.
  32. Profile photo of EricWRN
    EricWRN Male 30-39
    590 posts
    December 29, 2011 at 7:51 am
    @Baalthazaq lol, except any business that borrows money and then has to turn around and borrow more just to pay some of the interest off would quickly go bankrupt and never be able to take out another loan.

    Oh, is that why the economy is "complicated"? Because the US can continue to print fiat currency and tinker with interest rates and create imaginary prosperity? That`s not "complicated", that`s an immoral ruse and it`s the basis of the smoke and mirror philosophy of Keynesian economics: a system universally popular because you can justify any shoddy and immoral economic action or monetary policy you desire, because you can plug it into a magical equation that always gives you prosperous results... just, you know... some time later.
  33. Profile photo of QualityJay
    QualityJay Male 18-29
    303 posts
    December 29, 2011 at 8:01 am
    Aww Luxembourg, Get your poo together!
  34. Profile photo of LazyMe484
    LazyMe484 Male 18-29
    10443 posts
    December 29, 2011 at 8:46 am
    Everyone in Luxembourg is freaking rich. Everyone.
  35. Profile photo of Skambankt
    Skambankt Male 18-29
    9 posts
    December 29, 2011 at 9:15 am
    @McGovern1981 that list doesn`t tell the "Truth" about Norway. Yes we have debt but we do not have any foreign debt. Norway only have debt to Norway. This is to control the main rent, This debt is never ment to be paid down.
  36. Profile photo of thubanstar
    thubanstar Female 50-59
    815 posts
    December 29, 2011 at 9:20 am
    Part of me is a little horrified Ron Paul seems to be the best Republicans can do so far (because the rest of their candidates are a bewildering array of buffoons, and I don`t hate Republicans, it`s just... jeez).

    Part of me actually supports him because I`m ready for an out-and-out loon to be in the Whitehouse. Seriously, it may either kill us or cure us.
  37. Profile photo of CrakrJak
    CrakrJak Male 40-49
    17515 posts
    December 29, 2011 at 9:34 am
    EricWRN: You win 100 internets for that clear and concise explanation.
  38. Profile photo of Fatninja01
    Fatninja01 Male 30-39
    25407 posts
    December 29, 2011 at 11:33 am
    learning is fun
  39. Profile photo of 5Cats
    5Cats Male 50-59
    31771 posts
    December 29, 2011 at 11:38 am
    @LazyMe: That`s how much every person is in debt, not thier income. Every Luxembergian OWES 4 million bucks.

    Until recently (Obama) Canada`s per capita debt was bigger than the USA`s... just pointing that out...

    Every immigrant who becomes a citizen should have to pay up their share of the debt! Just a thought. Also every person who leaves should too...
  40. Profile photo of I-IS-BORED
    I-IS-BORED Male 18-29
    2419 posts
    December 29, 2011 at 6:24 pm
    @EricWRN
    That`s not what Baalthazaq was talking about at all. He didn`t once say borrow money to pay debts. He clearly said LEVERAGE which is borrowing money, turning it into more money, and then paying off your loan. It allows you to make bigger deals than you can currently afford to.

    Example
    1. Take out a loan, buy a house.
    2. Fix up the house.
    3. Sell the house for more than the loan + fixing + interest.
    4. Pay the loan in full and still have money leftover.

    This is how the private sector operates. Without the initial loan you couldn`t afford a house and could only afford a shack. Assuming you could even get the same % gains you would get fewer dollars for the same time spent on the shack.

    This is obviously a risk as you don`t have the liquid assets to cover your ass if the deal falls through but it is not a "business that borrows money and then has to turn around and borrow more just to pay some of the interest off"
  41. Profile photo of Vimto
    Vimto Male 40-49
    2852 posts
    December 30, 2011 at 4:57 am
    All of this is very good, apart from the bottom line which doesnt actually propose a solution.
  42. Profile photo of Steelgrid
    Steelgrid Male 30-39
    2700 posts
    December 30, 2011 at 10:22 am
    "All of this is very good, apart from the bottom line which doesnt actually propose a solution."

    Not every protest is backed by a full fledged plan. Get off your f.ucking high horse.

    Seriously, what in your little crap brain tells yout that if you do not like something, you come up with a complete and outlined plan to change it before saying anything? Really dude?

    Maybe you should provide your mouth with a little bit of effort from your brain before just typing any random thing your ignorance can come up with.
  43. Profile photo of Steelgrid
    Steelgrid Male 30-39
    2700 posts
    December 30, 2011 at 10:24 am
    Oh, you wanna subtract a few of thoses zeros....Tax the goddamn churches and legalize and over tax weed...Done and done.
  44. Profile photo of Idlerlee2
    Idlerlee2 Male 18-29
    135 posts
    December 30, 2011 at 1:15 pm
    @Steelgrid

    Perhaps the idea is that unless you can come up with a way things should be different, perhaps you dont full appreciate or understand the situation you are protesting ?

    Its easy to be angry and upset, but it takes a better mind to fully understand why you are, and what the actual cause is.

    And no its not as simple as "politicians in Washington"
  45. Profile photo of DShephard
    DShephard Male 18-29
    1595 posts
    December 30, 2011 at 7:00 pm
    @Steelgrid
    Having a bad day there, buddy?

    The `g*dd*mn churches` really don`t have much money themselves, and I am with you about the taxing cannabis. But it seems like you don`t really know much of what you are talking about at all, really. And as for the reply to Vimto, sorry friend, you`re a pot calling the kettle black.

    Hope everyone has a good weekend. -DS
  46. Profile photo of STWP
    STWP Male 50-59
    37 posts
    December 31, 2011 at 6:52 pm
    Well when you`re only bringing in 21 grand, saving 385 bucks is pretty good. He needs a better job that brings in something over the poverty wage.
  47. Profile photo of McDuff73
    McDuff73 Male 30-39
    870 posts
    December 31, 2011 at 8:51 pm
    stupid stupid comparison, a countries budget isnt like a household budget never was and never will be but dont let fact get in the way of a stupid story idea
  48. Profile photo of mcboozerilla
    mcboozerilla Male 30-39
    646 posts
    January 3, 2012 at 2:02 am
    Gee, if only we hadn`t gone to Iraq and had policed the investment bankers instead. Where were all these balanced budget bitches when a white Republican was president?

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