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Under The Radar

(3,404 posts)
Wed Mar 18, 2020, 04:43 PM Mar 2020

I am confused, how much debt is too much debt?

All of the 9-11 related cost and corporate bailouts, the cost of 2 twenty year wars, the bank bailouts of 2008 and 2009
The $trillion tax cuts and now whatever they are cooking up now. Throwing out a number of what, $40 trillion?
So Freemarket capitalism has been bull stuff all along....
And the media promoted all of that Tea Party BS because we had a President that wanted to spread a little of that debt to the people paying for it.

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Recursion

(56,582 posts)
1. The bank bailouts made money for the government
Wed Mar 18, 2020, 04:44 PM
Mar 2020

Those didn't "cost" anything and don't really belong in that list.

Under The Radar

(3,404 posts)
2. Not the bush bailouts, Obama made loans that were paid back
Wed Mar 18, 2020, 04:47 PM
Mar 2020

But Bush gave it away and the fuckers didn’t help those in mortgage debt on either aid package.

Recursion

(56,582 posts)
3. No, there was one single TARP program, passed by GWB and implemented by BHO
Wed Mar 18, 2020, 04:54 PM
Mar 2020

And it made the government enough money to pay for the auto bailout.

Under The Radar

(3,404 posts)
17. You are welcome. ---From the link that you sent
Wed Mar 18, 2020, 09:35 PM
Mar 2020

Who was President in Feb 10th 2009?

“ On February 5, 2009, the Senate approved changes to the TARP that prohibited firms receiving TARP funds from paying bonuses to their 25 highest-paid employees. The measure was proposed by Christopher Dodd of Connecticut as an amendment to the $900 billion economic stimulus act then waiting to be passed.[24] On February 10, the newly confirmed Secretary of the Treasury Timothy Geithner outlined his plan to use the remaining $300 billion or so in TARP funds. He intended to direct $50 billion towards foreclosure mitigation and use the rest to help fund private investors to buy toxic assets from banks. ”

Turin_C3PO

(14,007 posts)
4. I'm not sure.
Wed Mar 18, 2020, 04:58 PM
Mar 2020

That’s why I don’t really understand the financial argument about single payer healthcare. Who cares if it’s expensive? We already have tons of debt. Maybe someone can explain it to me.

jimfields33

(15,832 posts)
8. I think we're good until we can't pay the interest.
Wed Mar 18, 2020, 05:04 PM
Mar 2020

Then we’re screwed royally. Not sure when that is. I guess when the interest equals annual GDP. Maybe.

unblock

(52,257 posts)
9. no simple answer, but conventional wisdom is that total debt that exceeds national gdp is a danger.
Wed Mar 18, 2020, 05:10 PM
Mar 2020

and we're basically at that point now, before the bailouts we're now talking about. never mind that our gdp will be contracting for a while as everything is shutting down, making the debt-to-gdp ratio even worse.

now, spending that genuinely grows the economy can be a good thing even if there's plenty of debt already. this is why many democratic proposals are worth it even if debt-financed, because they usually boost the economy.

healthcare is an oddball, because so much of it is merely a transfer of spending from the private sector to the government. if employees and businesses don't have to spend several thousands on healthcare each year, they shouldn't mind paying a roughly similar amount in taxes and have the government deal with it. so even if it has a huge nominal price tag, it doesn't really "cost" that much in many ways.

of course, the private sector overhead employees and businesses will object hugely....

Under The Radar

(3,404 posts)
10. So basically the Trump tax cuts
Wed Mar 18, 2020, 05:13 PM
Mar 2020

....That were used for stock but backs has basically evaporated other than the overpriced paper that they are left holding?

unblock

(52,257 posts)
11. yeah that's an example of a terrible spending plan.
Wed Mar 18, 2020, 05:15 PM
Mar 2020

very small boost in gdp in exchange for massive increase in debt. at a time when stimulus wasn't needed, given to businesses that didn't need it.

typical republican plan.

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