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Old 07-26-2011, 08:32 PM
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Riot Riot is offline
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Quote:
Originally Posted by SOREHOOF View Post
Social Security was supposed to be solvent for years to come according to the Dems. Obama says he can't guarantee SS checks will be mailed out first week in Aug unless he's given the authority to borrow more $$. Somebody is lying.
No. Nobody is lying. Somebody doesn't understand Social Security, the Social Security Trust Fund, cash flow, and the Treasury.

We have something like $300 million in bills due Aug 2, and $200 mil in cash (exact amts have been in the press, but that's the rough ratio) That amount varies, of course, depending upon who pays their taxes daily, etc.

So yeah - there's no cash to pay something on that date (although there's probably a week of additional wiggling). You pick who. The Government paychecks, Social Security, tax refunds, military pay, businesses who contract with the government, etc.

We hit the debt ceiling some months back. The Treasury has been "wiggling" ever since. It is beyond absurd that a routine, one-sentence raise isn't being done, and that this country is being held hostage for future spending by refusing to pay past bills already owed.
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