- Feb 17, 2001
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http://cnsnews.com/mrctv-blog/craig-bannister/obama-raising-debt-ceilingdoes-not-increase-our-debt-though-it-has-over
Ah, he sounds like an idiot because he doesn't explain himself.
The debt ceiling DOES NOT increase debt in very simple terms. It would be like you having a maxed out credit card and the bank coming back and raising your credit limit. It's just how much money you can borrow.
But, once that debt ceiling is raised (this portion doesn't increase debt) another process will borrow a bunch of money against the debt ceiling and increase debt while the treasure issues more bonds.
So, in fact, it indirectly does increase our debt. The last time it was raised ($2.4 trillion dollar increase) that amount lasted less than 2 years before we hit it again ($2.7 trillion milestone). The last true increase was $2.4t but the last deal really raised it $2.7t.
This is why you see the stock marketing skyrocketing while the Feds are downgrading our economy's outlook, again. All this 'artificial' money is flowing into the stock market which is causing the raise. Basically the stock market is heavily under the influence of inflation, not really anything else. Great if you were before it started going up, but bad if the economy takes any kind of nose dive and people pull their money out. We'll go straight into a depression, forget the recession concept.
Ah, he sounds like an idiot because he doesn't explain himself.
The debt ceiling DOES NOT increase debt in very simple terms. It would be like you having a maxed out credit card and the bank coming back and raising your credit limit. It's just how much money you can borrow.
But, once that debt ceiling is raised (this portion doesn't increase debt) another process will borrow a bunch of money against the debt ceiling and increase debt while the treasure issues more bonds.
So, in fact, it indirectly does increase our debt. The last time it was raised ($2.4 trillion dollar increase) that amount lasted less than 2 years before we hit it again ($2.7 trillion milestone). The last true increase was $2.4t but the last deal really raised it $2.7t.
This is why you see the stock marketing skyrocketing while the Feds are downgrading our economy's outlook, again. All this 'artificial' money is flowing into the stock market which is causing the raise. Basically the stock market is heavily under the influence of inflation, not really anything else. Great if you were before it started going up, but bad if the economy takes any kind of nose dive and people pull their money out. We'll go straight into a depression, forget the recession concept.
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