So, You Want My Vote....

[Charles Lindsey]

I can't help but agree with everything you say but it would still make me feel better if we saved a bit as well. The money earned on savings would somewhat off set (admittedly by a tiny bit) the interest on the debt and be feel good to boot.

I don't think either side can "win" this type of argument just have differing opinions.

We'll find out how Bush and camp do I suppose. It will be interesting. Mother pointed out every time we have a republican president my father gets laid off. That's personal experience and kinda hard to deny.

The tax cuts sound good and so does medicaire reform. Actually reform sounds like something the Democrats should have tried since they love social programs.

So We'll see.

[DraconisRex]

quote:

---

Originally posted by Charles Lindsey:

The money earned on savings would somewhat off set (admittedly by a tiny bit) the interest on the debt and be feel good to boot.

---

Uhm... Not really...

What follows is only an example, and totally ignores compound interest, but gives a better picture of what our "in-the-red" status is... It assumes a $1 Billion surplus with 9% interest trying to offset a $1 Trillion debt at 9% interest.

All numbers below in millions:

quote:

---

Capital:

..Cash-in-bank (Surplus).........$1,000

..Interest Earned (9% Flat)..............90

Capital Balance........................$1,090

Less: Liabilities

..Bank Loan.......................$1,000,000

..Interest Paid (3% Flat)..........30,000

Total Liabilities.................$1,030,000

Net Capital......................($1,028,910)

---

Obviously,earnings of $90 Million is in no way offset by a $30 Billion interest payment.

They need to pay off all of the deficit before they should be permitted to hang onto any extra money. Congress only knows how to spend. That needs to change before we can let them save.... Would you take a new store clerk and put him in charge of your portfolio, especially if he already had bad credit? That's our current situation.....