Comments on: Altitude Zero

By: » Don’t Fear the Financial Reaper… NoisyRoom.net: Where liberty dwells, there is my country…

Tue, 21 Jul 2009 17:14:26 +0000

[...] From Pajama’s Media: [...]

By: The Anchoress — A First Things Blog

The Anchoress — A First Things Blog — Tue, 21 Jul 2009 16:28:06 +0000

[...] Rationing health care is such a sure bet that the NY Times has already begun telling you why it’s the correct thing; soon we will see profiles of heroic men and women who have chosen death. Once life has become difficult, and suffering enters in, the best sorts of citizens will not selfishly hang on and waste taxpayer money on hospice. [...]

By: buddy larsen

buddy larsen — Tue, 21 Jul 2009 05:47:52 +0000

But in assessing household net equity, one assumes a liquidity-creating market for same.

By: Charlie (Colorado)

Charlie (Colorado) — Tue, 21 Jul 2009 02:13:33 +0000

“Your debt ratio is an important number to be acquainted with. It tells you how your monthly debt payments compare to your monthly income. A high debt ratio might indicate that your monthly expenses are becoming unmanageable. It also might discourage lenders from loaning you any more money. Use the Debt Evaluation calculator to determine whether your debt ratio is acceptable or too high.”

Mark, you’re making pretty much the same point I was. If you want to make a fair comparison, you have to compare the cost of the money against revenue. When you do that, you have the interest costs at about 11 percent of the total tax revenue. Or, you can compare debt, liabilities, against assets. When I looked at that last year in PJM, it was about 2-1 assets vs debt — there was an “owners equity” of about $60K per person over the debt.

Now, that doesn’t mean there’s nothing to worry about — when you have, as we do right now, a “burn rate” of nearly 2-1, $2 trillion going out but only $1 trillion coming in, that’s not sustainable in the long term. But you need to look at these numbers critically, instead of following along like ungulates.

By: Dave

Dave — Tue, 21 Jul 2009 00:34:47 +0000

RWE: Good analogy. The last Great Depression
was because the powers that were kept jerking back on the stick for over a decade.

WE are seeing a repeat performance today.
Excess debt is driving things. So the idjits keep piling on more debt.

At this rate, we have another decade of trouble ahead.

By: JFSanders031

JFSanders031 — Mon, 20 Jul 2009 23:40:46 +0000

Holy mackeral! Me thinks the bottle cap Col. is waaay above his paygrade. Unless he has some inside poop that is on the hold pattern. But then again even if that is so. HE should KEEP HIS YAP SHUT! And let the boots on the ground make the news not his flapper!

The last thing that should be operated by deficits of any kind is government. Except in cases of war and or maybe a comet/asteroid strike… It is one thing for a family or a single business to go under for running up uncontrollable debt. IT is completely immoral to saddle our progeny with our lack of control.

Remember, All of those dollars represent some grandkid or great great grandkid’s actual labor.

By: Walt

Walt — Mon, 20 Jul 2009 23:03:42 +0000

You’ve sold me, elby! Ship ‘em post haste. Or maybe UPS. This investment does have an UPSide.

By: elby

elby — Mon, 20 Jul 2009 22:22:30 +0000

Walt, yep a million purr. Billions of purrs guaranteed for the investor over the lifetime of the investment!

If it should turn out that I got in at the top of the kitten market, then I want a bailout! The kitties are too cute to fail!

By: tREX

tREX — Mon, 20 Jul 2009 20:55:14 +0000

#37- More than double the debt. Half the eligible taxpayers actually pay income taxes. Then there’s all the ineligible (your kids, my kids, etc)
Gotta be an answer on Google somewhere

By: Walt

Walt — Mon, 20 Jul 2009 18:23:17 +0000

elby @41

A million purr?