This qualifies as a bit of a vague, not totally well-established-in-a-statistical-way trend; but the fact that it exists at all for one single person in America is, I believe, newsworthy. Families are taking out tens of thousands of dollars worth of loans in order to pay for private kindergarten for their whelps. That is some fucked up shit.
Who is to blame for the failure of our glorious experiment in government engineering, the Joint Select Committee on Deficit Reduction a.k.a. the supercommittee, to meet the public's desire for trillions of dollars in spending cuts and tax hikes that the public doesn't want? Our best guess is that it's the supercommittee that is to blame for the failure of the supercommittee. Others would disagree!
Here's a brief guide to congressional debt politics in 2011: In the debt ceiling deal, $1 trillion in spending cuts (or caps on future spending, mostly) was made, while punting at least $1.2 trillion in additional savings to be determined by a supercommittee, later. The supercommitee, now, is considering this brave solution as its deadline nears: Making trillions in additional spending cuts, while punting decisions on additional tax revenue to be determined by congressional finance committees, later.
Reporting live from the wavering edge of the Student Loan Bubble: congratulations, collectively impoverished college students and recent graduates losing hope week by week! You've managed to achieve what many pointy-headed "Economics" professors might have called "inadvisable" or even "insane:" the highest student loan debt levels ever recorded. Huzzah!
The reaction to the Obama Administration's decision to send Vice Talker Joe Biden to China on a supremely delicate diplomatic mission was pretty universal: Fuck! Please please please tell us that he didn't terrify them with awkward jokes about their large holdings of U.S. Treasuries?
It's only been one day since ratings agency Standard & Poor's downgraded the U.S. Government's credit rating from AAA to AA+, and already I've been forced to kill two people who tried to steal my food. And it could get worse! The agency says there's a one-in-three chance the U.S. will be downgraded again.
Russian Prime Minister Vladimir Putin is displeased with you, America. At a youth rally (where he arm-wrestled young fans and attacked a climbing wall), he told the crowd:
Rep. Gabrielle Giffords returned to the House of Representatives on Monday, receiving a standing ovation and enthusiastically greeting her colleagues after casting her vote (her first since being shot in January) for the debt ceiling bill, which passed 269-161.
The idiots who decided to extort the debt ceiling for their ideological demands, because they're incapable of making their non-arguments persuasively enough in the usual court of public opinion, are not getting nearly enough shit for their psychotic, economically illiterate actions. Now the United States has the credit rating agency Moody's on its ass and is placing the government's debt rating under review — not over the manageability or size of the debt, but thanks this completely artificial statutory number.
Confused about the future of our economy? It's all very simple, really:
Conservative columnist David Brooks, the New York Times' chief over-the-counter muscle relaxant and civility enforcer, is finally getting upset with his political party as it prepares to plunge the nation into debt default for no real reason. Are you sure you want to do this, David? It's only a "D" credit rating that's looming on the horizon, after all.
The Republican party's ability to spontaneously organize around anything, just to show that they can, is a thing of beauty. President Obama wants a few hundred billion dollars in revenue increases to go along the $2 trillion in cuts that you want? Don't give in a cent, walk out, let the president excoriate you, and then get your entire 47-member Senate caucus to demand a comical balanced budget constitutional amendment as part of a debt-ceiling agreement, too.
President Obama held a press conference at the White House today! The questions came fast and furious — actually rather slowly, since he talks for 10 minutes at a time — and now all Americans are 100% informed about every issue. Here's an executive summary.
Good news on the national debt competition front (it is a competition, yes? Check this): the size of America's national debt will soon equal the entire size of our annual economy! I'm no "certified economist" or "New Yorker term-coiner," but I believe the official name for this economic period is "The Tipping Point." Think of it as the gateway to fun!
Few people are more reviled in the over-leveraged United States than debt collectors. They'll talk all kinds of shit to you on the phone about credit card bills, or student loans that you one day decided to stop paying (but eventually started paying again to clear your guilty conscience and to be a good person), sure, but they're also victims of verbal abuse and stupid laws and they're just not gonna take it anymore.
At least some players in the world of High Finance are starting to ease up about the consequences of the United States defaulting on its debt. Until recently, the consensus had been that any default caused by Congress' failure to raise the debt ceiling would risk a calamitous panic, so the hike shouldn't be open to the politics of brinksmanship. But now that analysts listening into Washington are expecting a ceiling hike to coincide with long-term debt reduction measures, then, well, maybe a brief "technical default" of a "few days" would be worth it if Congress needs that time to strike a deal. Sounds easy! Let's do it. But maybe not? Because this all rests on a pretty thin reading of our irreparably broken political system.
