U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Politics and Other Controversies
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 03-05-2011, 05:26 PM
 
Location: Las Vegas
5,877 posts, read 4,024,163 times
Reputation: 4130

Advertisements

Quote:
Originally Posted by thrillobyte View Post
Well, the basic premise of my OP was: if 70% of Americans are working for $10/hr then where is the tax money going to come from?

Nobody seems to have an answer for this question.
No where because all we do is cut taxes in this nation.
Reply With Quote Quick reply to this message

 
Old 03-05-2011, 05:28 PM
Status: "DON'T VOTE" (set 1 day ago)
 
26,726 posts, read 14,969,769 times
Reputation: 12556
Quote:
Originally Posted by NorthGAbound12 View Post
No where because all we do is cut taxes in this nation.
Now tell the whole story...
And increase spending at a greater rate than the tax cuts at the same time.
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 05:29 PM
 
Location: Great State of Texas
86,093 posts, read 69,914,204 times
Reputation: 27520
And with SS problems they go and cut the payroll taxes !

It's almost like they are steering the ship right into the iceberg.
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 05:39 PM
 
Location: SC
9,038 posts, read 13,894,608 times
Reputation: 3479
Quote:
Originally Posted by thrillobyte View Post
The big news this week: unemployment dropped to 8.9% and 192,000 jobs were added in February.

Great news, right?

Not so fast.

A closer reveals that nearly all the jobs added were in the $9-12/hour sectors, while the addition of higher-paying jobs in the $20-30/hour sectors were nowhere to be found.

Will the new emerging "middle-class" working at such starvation wages in the face of $4/gallon gas and $4/loaf of bread cause the dollar to crash or will the dollar manage to adapt to these new realities as our standard of living slips to third world status?
I think you are a little confused. Your last paragraph makes no sense. The loss of purchasing power of the dollar has nothing to do with wages and everything to do with the expansion of the money supply or printing of money that the Federal Reserve and Ben Bernanke has been doing like CRAZY to help out the "too big to fails" who are the LAST ones on earth that need help. By doing that there are more dollars to buy the same amount of products that existed before the money was printed (and handed out to the elites behind our backs). Now there are twice as many dollars in circulation to buy the same products so what happens? Prices go up. To see who all Ben Bernanke's buddies are who are the beneficiaries of the secret bail-outs, read this: Trillions In Secret Fed Bailouts For Global Corporations And Foreign Banks – Has The Federal Reserve Become A Completely Unaccountable Global Bailout Machine?
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 05:41 PM
 
Location: Las Vegas
5,877 posts, read 4,024,163 times
Reputation: 4130
Quote:
Originally Posted by Frank DeForrest View Post
Now tell the whole story...
And increase spending at a greater rate than the tax cuts at the same time.
Yes precisely, something has to give. Unfortunately both parties will continue to spend like a drunken sailor while cutting taxes.
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 05:42 PM
 
Location: SC
9,038 posts, read 13,894,608 times
Reputation: 3479
Quote:
Originally Posted by texdav View Post
Doesn't the treasury print the money supply;not the FED?
No the Treasury BORROWS from the FED which is a private bank by the way---NOT a government entity.
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 05:43 PM
 
Location: Las Vegas
5,877 posts, read 4,024,163 times
Reputation: 4130
Quote:
Originally Posted by emilybh View Post
I think you are a little confused. Your last paragraph makes no sense. The loss of purchasing power of the dollar has nothing to do with wages and everything to do with the expansion of the money supply or printing of money that the Federal Reserve and Ben Bernanke has been doing like CRAZY to help out the "too big to fails" who are the LAST ones on earth that need help. By doing that there are more dollars to buy the same amount of products that existed before the money was printed (and handed out to the elites behind our backs). Now there are twice as many dollars in circulation to buy the same products so what happens? Prices go up. To see who all Ben Bernanke's buddies are who are the beneficiaries of the secret bail-outs, read this: Trillions In Secret Fed Bailouts For Global Corporations And Foreign Banks Has The Federal Reserve Become A Completely Unaccountable Global Bailout Machine?
Exactly. Good post.
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 06:18 PM
 
Location: SC
9,038 posts, read 13,894,608 times
Reputation: 3479
Quote:
Originally Posted by HappyTexan View Post
Fed buys Treasuries. Treasuries are IOU's. The Fed buys the Treasuries and gives the Treasury digital money for them thus creating more money.
It is not a good thing for the Fed to be buying treasuries. If treasuries were in demand the FED would NOT be buying them. They just do that to prop up the dollar. If other people and other countries wanted our treasuries it would indicate they were confident in our ability to pay when the treasuries come due. The fact that nobody is buying them like they used to indicates that people know that by the time the treasury comes due, the dollar will be worth a lot less...or worse, may not even be in existance!
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 07:29 PM
 
10,183 posts, read 10,546,727 times
Reputation: 3018
Quote:
Originally Posted by emilybh View Post
I think you are a little confused. Your last paragraph makes no sense. The loss of purchasing power of the dollar has nothing to do with wages and everything to do with the expansion of the money supply or printing of money that the Federal Reserve and Ben Bernanke has been doing like CRAZY to help out the "too big to fails" who are the LAST ones on earth that need help. By doing that there are more dollars to buy the same amount of products that existed before the money was printed (and handed out to the elites behind our backs). Now there are twice as many dollars in circulation to buy the same products so what happens? Prices go up. To see who all Ben Bernanke's buddies are who are the beneficiaries of the secret bail-outs, read this: Trillions In Secret Fed Bailouts For Global Corporations And Foreign Banks Has The Federal Reserve Become A Completely Unaccountable Global Bailout Machine?
Quote:
Originally Posted by NorthGAbound12 View Post
Yes precisely, something has to give. Unfortunately both parties will continue to spend like a drunken sailor while cutting taxes.
Quote:
Originally Posted by emilybh View Post
It is not a good thing for the Fed to be buying treasuries. If treasuries were in demand the FED would NOT be buying them. They just do that to prop up the dollar. If other people and other countries wanted our treasuries it would indicate they were confident in our ability to pay when the treasuries come due. The fact that nobody is buying them like they used to indicates that people know that by the time the treasury comes due, the dollar will be worth a lot less...or worse, may not even be in existance!
Yes, several of you have touched on what I'm driving at: it's NOT a good thing for the Fed to have to buy treasuries. But they do it anyway. Why? Because the Federal govt cannot collect enough taxes from us to pay the govt's tab. If the Fed govt could collect enough taxes, there would be no need for the Fed to print money to pay for the treasuries.

But the Fed does print the money. Why? Because more and more of the "little guys" like you and me are not making $20-30/hr anymore; we're making only $10/hr. and that shrinks the tax base, so the Federal govt's revenue stream has been obliterated, making it necessary for the Fed to make up the revenue loss with printing more money to pay the bills (i.e. buying treasuries).

Do you see where my premise in the last paragraph was headed, emily? Unless my thinking is skewered, lower wages is linked to the Fed printing more money.

Now the 64 thousand-dollar question I was trying to ask: is the dollar doomed because of the Fed's reckless printing OR will the dollar eventually adapt to the situation of all these trillions of excess $'s floating around out there--printed up because the tax base has been obliterated---and survive in the long term?
Reply With Quote Quick reply to this message
 
Old 03-05-2011, 07:32 PM
 
3,776 posts, read 3,775,305 times
Reputation: 1387
Quote:
Originally Posted by thrillobyte View Post
Will the new emerging "middle-class" working at such starvation wages in the face of $4/gallon gas and $4/loaf of bread cause the dollar to crash or will the dollar manage to adapt to these new realities as our standard of living slips to third world status?
Starvation wages? I've never heard of such a ridiculous comment. There are no such thing as "starvation wages" my friend.
9-12 dollars an hour is better than jobless.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Politics and Other Controversies
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2018, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top