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View Diary: Boehner: I'll Destroy The American Economy If I Don't Get My Way (111 comments)

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  •  joe - we won't default on our debt (3+ / 0-)
    Recommended by:
    TomP, alba, nextstep

    The federal government has more than $2 Trillion of annual revenue. There is plenty of money to not default on our debt. What you will find is that the President and Treasury Sec will start prioritizing what to pay and other creditors will have to wait.

    "let's talk about that"

    by VClib on Thu Dec 13, 2012 at 06:57:41 PM PST

    [ Parent ]

    •  We won't be insolvent. Making creditors "wait"... (0+ / 0-)

      is default.  Not to get all semantic on you.....

      And with this Treasury Sec, banks will get paid first and probably last.

      To avoid starting dumb wars, punish the dumb people who vote for them.

      by joesig on Fri Dec 14, 2012 at 02:37:28 AM PST

      [ Parent ]

      •  Not making some payments on a timely basis (0+ / 0-)

        isn't default unless it is on government bonds. Interest and principle on government debt must be made on a timely basis or the US would be in default. Being late on a payment to Lockheed isn't default. Large vendors will be willing to wait and will negotiate some fee for late payment.

        "let's talk about that"

        by VClib on Fri Dec 14, 2012 at 09:46:49 AM PST

        [ Parent ]

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