12.1 Trillion debt limit
Obama is driving this bus off the cliff!
Lloyd-you F%^ked up...now what are you going to do!
Geithner asks Congress for higher U.S. debt limit
On Friday August 7, 2009, 9:43 pm EDT
Buzz up! 0 Print.By David Lawder
Reuters - U.S. Treasury Secretary Timothy Geithner talks to his staff as he waits for the arrival of Chinese Vice ...
WASHINGTON (Reuters) - U.S. Treasury Secretary Timothy Geithner formally requested that Congress raise the $12.1 trillion statutory debt limit on Friday, saying that it could be breached as early as mid-October.
"It is critically important that Congress act before the limit is reached so that citizens and investors here and around the world can remain confident that the United States will always meet its obligations," Geithner said in a letter to Senate Majority Leader Harry Reid that was obtained by Reuters.
A Treasury spokeswoman declined to comment on the letter.
Treasury officials earlier this week said that the debt limit, last raised in February when the $787 billion economic stimulus legislation was passed, would be hit sometime in the October-December quarter. Geithner's letter said the breach could be two weeks into that period, just as the 2010 fiscal year is getting underway.
The latest request comes as the Treasury is ramping up borrowing to unprecedented levels to fund stimulus and financial bailout programs and cope with a deep recession that has devastated tax revenues.
It is expected to issue net new debt of as much as $2 trillion in the 2009 fiscal year ended September 30 and up to $1.6 trillion in the 2010 fiscal year, according to bond dealer forecasts.
The request to increase the debt limit will likely raise the ire of Republicans who have accused President Barack Obama of runaway spending. They may try to hold up the legislation in effort to win concessions on Obama's health care reform plan.
Geithner urged Reid to not let politics hamper U.S. credit-worthiness and said he looked forward to working with the Nevada Democrat to secure enactment of legislation on the debt limit as early as possible.
"Congress has never failed to raise the debt limit when necessary. Because members of both parties have long recognized the need to keep politics away from this issue, these actions have traditionally received bipartisan support," he wrote. "This is clearly a moment in our history that calls for continuation of that tradition."
(Reporting by David Lawder; editing by Carol Bishopric)
Can you at least show me a previous post where you railed about Bush and the Republicans bankrupting this country. i need to know if you are consistent in your point of view or just anti Democrat. At least we are spending money to try to fix problems as opposed to what Bush and the Republicans did which was to waste it for no purpose. Obama was handed a big mess and i am giving him 4 years to see what he can do with it. Even Warren Buffet thinks we should have a 2nd stimulus package. Do you think he might know more about business than both you and John combined? I do.
You continue to get me confused with someone else...I am a moderate conservative. I am fully aware that since 2006, the spending by Congress has been out of control...The problem is...you keep saying Bush and the Republicans...since 2006...they didnot have control of both houses...so in essence...it was a bipartisian spending spree...last I checked...both parties voted for the war in Iraq...which is what caused the deficit that was passed to Obama. How do you explain the increase in the deficit by 1+ trillion in the 1st 6 months of his presidency. BTW...this latest spending spree is 99% Liberal/Dem...For your sake...I hope you do not have children or grandchildren!
Believe me even though i have lumped you together with John twice this evening i know you are quite a different person than him. He is a wacko you
just fall prey to talking points.
So what if the Democrats controlled the House for the last 2 years of the Bush administration. Most policies were set in motion for the first 6 years when he
didnt veto a single piece of legislation and then when the Democrats controlled the House he vetoed almost everything the Democrats tried to pass. So really
who had true control? Bush did.
Yes they both voted for money for Iraq but can you imagine if the Democrats had voted against it. They would have been branded as worse than traitors.
Yes they were weak in the face of that argument but you really cant blame them for going along with the Republicans. At least there were 20 to 30 Democratic Senators who voted against the war.
Yes we are in the midst of a large spending spree. But i would rather spend money on Education, Health Care etc as opposed to war.
Dont you think that when the economy starts growing again and unemployment starts coming down they are going to be taking strong measures to try to bring the deficit under control. They have announced as
much already. Now lets wait 2 years and see if they can begin to do it.
I believe they are serious about bringing down the deficit and keeping infation under wraps. Only time will tell.