Obama: "We're out of Money."

[Bindare_Dundat]

We are out of money. The only way to fix that is to spend more money and create an even greater future obligation?


 http://www.drudgereport.com/



May 23 2009 10:32:18 ET

In a sobering holiday interview with C-SPAN, President Obama boldly told Americans: "We are out of money."

C-SPAN host Steve Scully broke from a meek Washington press corps with probing questions for the new president.

SCULLY: You know the numbers, $1.7 trillion debt, a national deficit of $11 trillion. At what point do we run out of money?

OBAMA: Well, we are out of money now. We are operating in deep deficits, not caused by any decisions we've made on health care so far. This is a consequence of the crisis that we've seen and in fact our failure to make some good decisions on health care over the last several decades.

So we've got a short-term problem, which is we had to spend a lot of money to salvage our financial system, we had to deal with the auto companies, a huge recession which drains tax revenue at the same time it's putting more pressure on governments to provide unemployment insurance or make sure that food stamps are available for people who have been laid off.

So we have a short-term problem and we also have a long-term problem. The short-term problem is dwarfed by the long-term problem. And the long-term problem is Medicaid and Medicare. If we don't reduce long-term health care inflation substantially, we can't get control of the deficit.

So, one option is just to do nothing. We say, well, it's too expensive for us to make some short-term investments in health care. We can't afford it. We've got this big deficit. Let's just keep the health care system that we've got now.

Along that trajectory, we will see health care cost as an overall share of our federal spending grow and grow and grow and grow until essentially it consumes everything...

SCULLY: When you see GM though as “Government Motors,” you're reaction?

OBAMA: Well, you know – look we are trying to help an auto industry that is going through a combination of bad decision making over many years and an unprecedented crisis or at least a crisis we haven't seen since the 1930's. And you know the economy is going to bounce back and we want to get out of the business of helping auto companies as quickly as we can. I have got more enough to do without that. In the same way that I want to get out of the business of helping banks, but we have to make some strategic decisions about strategic industries...

SCULLY: States like California in desperate financial situation, will you be forced to bail out the states?

OBAMA: No. I think that what you're seeing in states is that anytime you got a severe recession like this, as I said before, their demands on services are higher. So, they are sending more money out. At the same time, they're bringing less tax revenue in. And that's a painful adjustment, what we're going end up seeing is lot of states making very difficult choices there...

SCULLY: William Howard Taft served on the court after his presidency, would you have any interest in being on the Supreme Court?

OBAMA: You know, I am not sure that I could get through Senate confirmation...

[IFBBwannaB]

The first step towards Communism is deep debt.

Soon enough printing more money will be useless and won't matter anymore, people will continue to work and produce products that they need but money will no longer mean anything...at that point...Communism have settled in by abusing Capitalism and abusing government power.

[Tesla]

You've got to love how giving free healthcare away is an "investment".

Through Medicaid alone we've "invested" over $1 trillion but I can't say that we've received anything for all our payments. 

[Deicide]

Dude has 15%+bf and bad structural genetics=fail

[Hereford]

You've got to love how giving free healthcare away is an "investment".

Through Medicaid alone we've "invested" over $1 trillion but I can't say that we've received anything for all our payments. 

"Investment' is liberal slang for 'payouts'.

[Deicide]

"Investment' is liberal slang for 'payouts'.

I love ya man!

[IFBBwannaB]

Dude has 15%+bf and bad structural genetics=fail

You do realise you're not funny and only make yourself seem like an idiot with these lame jokes?

[Deicide]

You do realise you're not funny and only make yourself seem like an idiot with these lame jokes?

You must have good genetics.

What country are you from?

[IFBBwannaB]

You must have good genetics.

What country are you from?

I actually got great genetics they're the only thing that keep me looking decent now since I hardly have the time to train more than once or maybe twice per week not to mention my lacking dietry program.

I'm a man of the world, I have no country 

Now to something more interesting, a magnificent quote from the great Paul Dirac:

"I owe a lot to my engineering training because it [taught] me to tolerate approximations. Previously to that I thought...one should just concentrate on exact equations all the time. Then I got the idea that in the actual world all our equations are only approximate. We must just tend to greater and greater accuracy. In spite of the equations being approximate, they can be beautiful."
 

[Deicide]

I actually got great genetics they're the only thing that keep me looking decent now since I hardly have the time to train more than once or maybe twice per week not to mention my lacking dietry program.

I'm a man of the world, I have no country 

Now to something more interesting, a magnificent quote from the great Paul Dirac:

"I owe a lot to my engineering training because it [taught] me to tolerate approximations. Previously to that I thought...one should just concentrate on exact equations all the time. Then I got the idea that in the actual world all our equations are only approximate. We must just tend to greater and greater accuracy. In spite of the equations being approximate, they can be beautiful."
 

Is English your first language?

[SAMSON123]

You've got to love how giving free healthcare away is an "investment".

Through Medicaid alone we've "invested" over $1 trillion but I can't say that we've received anything for all our payments. 

YEAH...because it is so much better for america to spend 1 TRILLION per year on military bases around the world, then 800 BILLION on the military equipment on its own shores, throw in the 5 TRILLION spent on IRAQ, probably another TRILLION or two on Afghanistan, throw in 33 BILLION to Israel, and GOD only knows how many hundreds of BILLION if not a couple of TRILLION spend between the Veterans affairs, defense department budget and "MISCELLANIOUS" (which always costs more than anything else) and you have one hell of a bill. Please show anyone what has been had for this much money being spent....

Throw in NUMBNUT Obama and the TRILLIONS he has spent in the past few months Adan YEAH america is OUT OF MONEY AND PAST ITS EYES IN DEEP FINANCIAL SHIT...IT'S OVER...

[Deicide]

YEAH...because it is so much better for america to spend 1 TRILLION per year on military bases around the world, then 800 BILLION on the military equipment on its own shores, throw in the 5 TRILLION spent on IRAQ, probably another TRILLION or two on Afghanistan, throw in 33 BILLION to Israel, and GOD only knows how many hundreds of BILLION if not a couple of TRILLION spend between the Veterans affairs, defense department budget and "MISCELLANIOUS" (which always costs more than anything else) and you have one hell of a bill. Please show anyone what has been had for this much money being spent....

Throw in NUMBNUT Obama and the TRILLIONS he has spent in the past few months Adan YEAH america is OUT OF MONEY AND PAST ITS EYES IN DEEP FINANCIAL SHIT...IT'S OVER...

Gimmik's 'ur us...

[SAMSON123]

Gimmik's 'ur us...

another uneducated american

[Deicide]

another uneducated american

Not uneducated and I am only half-American...sometimes I even agree with you until you start ranting on about white oppression and jewish conspiracies.

[SAMSON123]

Not uneducated and I am only half-American...sometimes I even agree with you until you start ranting on about white oppression and jewish conspiracies.

Since american is NOT a race but a place or nationality...how is it you are HALF america? Are you stradling the US/Canadian border or the US/Mexican border? How does that work?

[Deicide]

Since american is NOT a race but a place or nationality...how is it you are HALF america? Are you stradling the US/Canadian border or the US/Mexican border? How does that work?

I have two passports.

[Tesla]

YEAH...because it is so much better for america to spend 1 TRILLION per year on military bases around the world, then 800 BILLION on the military equipment on its own shores, throw in the 5 TRILLION spent on IRAQ, probably another TRILLION or two on Afghanistan, throw in 33 BILLION to Israel, and GOD only knows how many hundreds of BILLION if not a couple of TRILLION spend between the Veterans affairs, defense department budget and "MISCELLANIOUS" (which always costs more than anything else) and you have one hell of a bill. Please show anyone what has been had for this much money being spent....

Throw in NUMBNUT Obama and the TRILLIONS he has spent in the past few months Adan YEAH america is OUT OF MONEY AND PAST ITS EYES IN DEEP FINANCIAL SHIT...IT'S OVER...

Samson you're either a gimmick or you're the worst arguer in the world, I can't decide which one. 

[SAMSON123]

Samson you're either a gimmick or you're the worst arguer in the world, I can't decide which one. 

I am not arguing, I am stating FACTS....how does STATING FACTS become and argument??

[Tesla]

I am not arguing, I am stating FACTS....how does STATING FACTS become and argument??

You are asserting that America "is over" and to support this argument you assemble a list of financial figures (most of which are pulled directly from your ass). 

Except for the military aid to Israel your spending figures miss by a mile, nowhere near the mark.  Here's a simple chart that shows how much America spends and on what:

[SAMSON123]

You are asserting that America "is over" and to support this argument you assemble a list of financial figures (most of which are pulled directly from your ass). 

Except for the military aid to Israel your spending figures miss by a mile, nowhere near the mark.  Here's a simple chart that shows how much America spends and on what:

You POOR AMERICANS...no wondered you are so easily SUCKERED...you believe every LIE presented to you. You don't believe FACTS, but you believe the congressional report.hahah..I have a bridge to sell you.

Take a gander at this...this is YOUR CONGRESS at work

Federal Reserve Cannot Account For $9 Trillion

By Gold Investments on May 14, 2009 | More Posts By Gold Investments | Author's Website

Rep. Alan Grayson talks to the Federal Reserve Inspector General Elizabeth Coleman of the Federal Reserve, asking her questions regarding trillions of dollars that came from the Fed’s expanded balance sheet and what the losses on its $2 trillion portfolio are.

The Inspector General does not have the answers Grayson is looking for.

    Grayson asked Coleman if her agency had done any research into the decision not to save Lehman Brothers, which “sent shockwaves through the entire financial system,” Coleman said it had not.

    “What about the $1 trillion plus expansion of the Federal reserve’s balance sheet since last September?” Grayson asked.

    “We have different connotations,” Coleman replied. “We’re actually conducting a fairly high-level review of the various lending facilities collectively.”

    Translation: Nobody at the Fed knows where the money went.

    Do you know what who got the $1 trillion or more in the Fed’s expansion of its balance, Grayson pressed.

    “I do not know. We have not looked at this specific area at the particular point on that specific review,” Coleman answer.

    What about the trillions of off-balance transactions since last September, Grayson asked.

    Coleman demurred again, saying the IG does not have jurisdiction to audit the Federal Reserve.

    Grayson pointed out that it was the inspector general’s job to audit such spending and asked again if the office had done any investigation at all.

    Coleman’s answer: Not enough yet to even respond. “We are in not a position to say if there losses.”

    Grayson concluded, “I am shocked to find out that nobody at the Federal Reserve, including the inspector general, is keeping track of this.”

TRILLIONS UNACCOUNTED FOR...You got an answer for this TESLA?

[w8tlftr]

No one has an answer for that. It's fucking sickening.

[Bindare_Dundat]

You POOR AMERICANS...no wondered you are so easily SUCKERED...you believe every LIE presented to you. You don't believe FACTS, but you believe the congressional report.hahah..I have a bridge to sell you.

Take a gander at this...this is YOUR CONGRESS at work

Federal Reserve Cannot Account For $9 Trillion

By Gold Investments on May 14, 2009 | More Posts By Gold Investments | Author's Website

Rep. Alan Grayson talks to the Federal Reserve Inspector General Elizabeth Coleman of the Federal Reserve, asking her questions regarding trillions of dollars that came from the Fed’s expanded balance sheet and what the losses on its $2 trillion portfolio are.

The Inspector General does not have the answers Grayson is looking for.

    Grayson asked Coleman if her agency had done any research into the decision not to save Lehman Brothers, which “sent shockwaves through the entire financial system,” Coleman said it had not.

    “What about the $1 trillion plus expansion of the Federal reserve’s balance sheet since last September?” Grayson asked.

    “We have different connotations,” Coleman replied. “We’re actually conducting a fairly high-level review of the various lending facilities collectively.”

    Translation: Nobody at the Fed knows where the money went.

    Do you know what who got the $1 trillion or more in the Fed’s expansion of its balance, Grayson pressed.

    “I do not know. We have not looked at this specific area at the particular point on that specific review,” Coleman answer.

    What about the trillions of off-balance transactions since last September, Grayson asked.

    Coleman demurred again, saying the IG does not have jurisdiction to audit the Federal Reserve.

    Grayson pointed out that it was the inspector general’s job to audit such spending and asked again if the office had done any investigation at all.

    Coleman’s answer: Not enough yet to even respond. “We are in not a position to say if there losses.”

    Grayson concluded, “I am shocked to find out that nobody at the Federal Reserve, including the inspector general, is keeping track of this.”

TRILLIONS UNACCOUNTED FOR...You got an answer for this TESLA?

Dont be so harsh, It takes about 20 years for the review to get going.

[Tesla]

You POOR AMERICANS...no wondered you are so easily SUCKERED...you believe every LIE presented to you. You don't believe FACTS, but you believe the congressional report.hahah..I have a bridge to sell you.

Take a gander at this...this is YOUR CONGRESS at work

Federal Reserve Cannot Account For $9 Trillion

By Gold Investments on May 14, 2009 | More Posts By Gold Investments | Author's Website

Rep. Alan Grayson talks to the Federal Reserve Inspector General Elizabeth Coleman of the Federal Reserve, asking her questions regarding trillions of dollars that came from the Fed’s expanded balance sheet and what the losses on its $2 trillion portfolio are.

The Inspector General does not have the answers Grayson is looking for.

    Grayson asked Coleman if her agency had done any research into the decision not to save Lehman Brothers, which “sent shockwaves through the entire financial system,” Coleman said it had not.

    “What about the $1 trillion plus expansion of the Federal reserve’s balance sheet since last September?” Grayson asked.

    “We have different connotations,” Coleman replied. “We’re actually conducting a fairly high-level review of the various lending facilities collectively.”

    Translation: Nobody at the Fed knows where the money went.

    Do you know what who got the $1 trillion or more in the Fed’s expansion of its balance, Grayson pressed.

    “I do not know. We have not looked at this specific area at the particular point on that specific review,” Coleman answer.

    What about the trillions of off-balance transactions since last September, Grayson asked.

    Coleman demurred again, saying the IG does not have jurisdiction to audit the Federal Reserve.

    Grayson pointed out that it was the inspector general’s job to audit such spending and asked again if the office had done any investigation at all.

    Coleman’s answer: Not enough yet to even respond. “We are in not a position to say if there losses.”

    Grayson concluded, “I am shocked to find out that nobody at the Federal Reserve, including the inspector general, is keeping track of this.”

TRILLIONS UNACCOUNTED FOR...You got an answer for this TESLA?

I have been extremely critical of bailouts all through the process so I am not going to defend them.  Nice diversion though- bailouts are entirely besides the point here.  The point is: you made up a bunch of facts and figures and then tried to pass them off as some type of conclusive proof that America is done for. 

You're so sophisticated Samson, you know the real deal that all the rest of us schlubs are blind to.   

[SAMSON123]

I have been extremely critical of bailouts all through the process so I am not going to defend them.  Nice diversion though- bailouts are entirely besides the point here.  The point is: you made up a bunch of facts and figures and then tried to pass them off as some type of conclusive proof that America is done for. 

You're so sophisticated Samson, you know the real deal that all the rest of us schlubs are blind to.   

Not a diversion...unintelligen t as you are you do not see the OBVIOUS. I posted this as a response to your CRAYOLA PIE CHART...gotta love the congressional waste of taxpayer money on deceptive charts, graphs and LIES. I guess you also believe that Obama's bailout is all from the TARP fund of only 780 BILLION dollars and the 11 TRILLION spent (GIVEN AWAY) is all a MYTH. How come that information is not on your LOVELY PIE CHART?? How come no data on the amount of money really spent on the Iraq war is not on this chart as well? How come there are literally TRILLION missing from the pie chart through Defense Department finagling? These charts and congress themselves will admit to leaving out BILLIONS to TRILLIONS of dollars of money spent or about to be spent which is not disclosed or it is HIDDEN under other departments or expenditures. You americans need to wake your dumb asses up...Now the world sees why and how such FRAUD, THEFT, CORRUPTION occurs so widely and frequently in america...the populace has not a single operating braincell to discern between truth and lie and even when the LIE is presented/exposed to them they still sit there believing and "arguing" otherwise. Now I have posted before on how the pentagon "lost" 4 TRILLION dollars under Bush (money never found and never spoken of or put into pie charts), now it is 9 TRILLION "LOST". Two years ago investigators and researchers spoke of Iraq then costing 3TRILLION and since then HUNDREDS AND HUNDREDS OF BILLIONS HAVE BEEN FUNNELED IN TO THIS ILLEGAL WAR...why is that info not on the PIE CHART??? Do you also believe according to congress and charts that only a couple thousand Iraqis are dead? and only three thousand american soldiers were killed? and there is no danger from depleted uranium? no one is suffering from PTSD or are flat out BRAIN DAMAGED? all of these things and more have been brought before congress not to mention the cost of treatment, disability, etc etc...why is it not on your chart? Did congress run out of crayons? Or do they want you NOT TO KNOW?

[Bindare_Dundat]

Finally, we had Obama say this weekend that "we're out of money".  Gee, you just figured that out Mr. President? 

Did that revelation come to you before or after you put forward a budget proposal that is not only chock-full of the largest handouts in corporate welfare in history (in the form of bailouts) but in addition contains the largest deficits in history - by a factor of about four!

Everyone else has to tighten their belts when the economy goes to hell, but not you Mr. President!  No, in bad economic times your response is to spend more - that you now (belatedly) admit we don't have.

Yes, we have a major entitlement problem down the road (and health care is the largest part of it), but here and now we have a spending problem along with a credit problem.  We're junkies and unwilling to reform, to be blunt, and the world is coming to realize that we will continue to play them for patsies for as long as they'll allow it.

Worse, since Obama has declared that he feels perfectly free in rewriting statutes from his chair in the West Wing, the Chinese and others have to wonder - what if he simply decides to not pay foreign-owned T-bills?  Exactly what would the holders do about it? .

Yell? 

That worked real well for the Chrysler and GM bondholders, didn't it?

Were I China, sitting on some trillion dollars plus of Treasury bonds, I'd be nervous too.  In fact, I'd be shortening duration like a madman, laying off anything but the shortest end of the T-bill curve and hedging like crazy, all the while doing my damnedest not to get caught so as to not ignite a stampede and risk getting trampled.

Oh wait: They are