The Corona Virus and the Uselessness of any Proposed US Federal Balanced Budget Amendment (1 Viewer)

[Steve R.]

US politicians are now floating various concepts to "flood" the economy with money, in response to the anticipated adverse impact of the virus on the world economy. We are having a "black swan" event.

Periodically, there have been proposals (over many years) to vote into effect, a federal "balanced budget" amendment. To each of these proposal I have responded that any such amendment, should it be approved, will not be worth the paper that it is printed on. While no such amendment is even under consideration at this time, the Corona virus outbreak serves as a great (but unfortunate) example of why "balanced budget" amendment will never work. This is a serious crises, but politicians do not want a crises "to go to waste", so they will spend. After all, this is a very serious crises and protecting human health should not be constrained in any manner.


Back in 2011 I wrote:

Another meaningless debate is over a proposed Balanced Budget Amendment. Any such amendment would not be worth the paper it is printed on.

The debt ceiling is a defacto balanced budget amendment. If Congress truly wanted a balanced budget, they could have done it now. The fact that they have not means that they won't have the will to balance the budget in the future either.

Particularity ludicrous the claim by some Congress people that a balanced budget amendment would give them "discipline". Now why would our Congress people believe that a piece or paper would give them discipline? It won't. If you can't act responsibly now, how will a piece of paper make you responsible in the future.

Any so called balanced budget amendment will have an escape clause. Have another Hurricane Katrina or high unemployment - Our Congress people will scream: Spend Spend Spend, since a balanced budget would not solve the crises-of-day. Of course our Congress people just love creating crises. Witness this debt ceiling debate which should never have been a crises.

The balances budget amendment, I believe, is also being tossed out as a "distraction". It would take years for a balanced budget amendment to become law. While such an amendment is slowly slowly winding its way through the approval process, our Congress people can solemnly claim that they are working on solving our deficit while they continue deficit spending with consequent increases in the debt ceiling.

 

[The_Doc_Man]

Given that the standard response to a crisis is "throw money at it." Congress thinks that solves the world's problems. But as always, when you throw anything at a wall, not all of it sticks and sometimes a lot of it slides down to the bottom - where the bottom feeders feast on it.

 

[Pat Hartman]

Trump asked for 2.5 billion and Congress threw over 8 at him!!!! Trump was spending down the left over Ebola money and the left went crazy. How did he dare spend the Ebola money? Trump stopped air travel from certain areas in China back in January and everyone on the left called him a racist. This tactic succeeded to a point and directly resulted in us having fewer cases today but without completely closing borders, it was coming to us no matter what. What are the left calling the European countries which are now trying to close their borders? Are they also racists?? Joe Biden released a video in a tweet with Trump calling the virus a hoax except they merged two quotes. Twitter won't flag the video as manipulated. What does that say about Twitter? The left is determined to take Trump down and they are doing their best to make their last stand with this virus. What was Congress doing about this potential disaster in January and February? Nothing!!!! They were way too busy with impeachment to actually think about something critical to the well being of the country. That is where the Democrats are today. Get rid of Trump no matter what it costs.

 

[Steve R.]

The spending "spigot" is opening-up. Of course there are times, when the crisis is of sufficient magnitude, that money has to be spent even if it means adding to the deficit. Nevertheless, we need to be cognizant that politicians (if allowed the opportunity) will abuse this type of exemption by turning a minor crises into a major crisis. As I wrote back in 2011, Congress if it had the moral courage, could balance the federal budget now.

Congress Weighs New, Massive Wave Of Emergency Funding To Address Coronavirus

Unfortunately, there will be an unintended consequence of giving money away: fraud.

 

[Pat Hartman]

I think the number went up to $750 billion recently. One of the stupider Senators (Mitt Romney) wants to give "everyone" a thousand dollars!!! I'm not sure what good that would do if the governors are shutting down businesses putting people out of work. Either they'll have no place to spend the money to keep the economy moving or they'll have to use it to pay their rent or medical bills.

Much of the chaos could have been avoided if the CDC and FDA and FEMA had better plans in place for how to "create" medical facilities on the fly. For the coastal cities for example, we could use cruise ships that have been pulled out of service because the government won't let them sail and ports won't let them come ashore. The ships have lots of private rooms so they work well as isolation wards. The armed forces could provide some staffing.

What I really want is for the left to stop obstructing everything Trump tries to do. He was right about keeping out flights from China and they called him a racist. Now they are trying to obstruct the ban on flights from Europe. Why aren't the Dem's calling the Europeans racists for closing their borders? Why are they not railing against Germany for refusing to sell medical equipment outside of Germany? Why are they not railing against the Chinese for threatening to cut off our supply of antibiotics?

I hope that this crisis will wake up Congress regarding the danger of relying on other countries for critical medical supplies. China hates us and wants to take us down, now they can do it by killing us without firing a shot.

 

[Steve R.]

The "race" is on!!! Who will propose the most in giveaways by election day?

'Going big': Trump proposes $1,000 payments to Americans, aid to buoy businesses.

Bernie Sanders proposes $2,000 per month check to every household

From the Biden website: "Biden believes we must spend whatever it takes, without delay, to meet public health needs and deal with the mounting economic consequences."

 

[vba_php]

trump will TRUMP. no doubt. I'll take anything they give, because their fear is just as stupid as the rest.

 

[Pat Hartman]

Last time they did one of these stupid giveaways, I actually got money, $800 as I recall. Why? I pay taxes (a lot BTW) but I had no W2 income so I must have been poor. This year, I have mostly SS income so may also qualify.

The point I'm making here is, whoever defines the criteria for who is on the receiving end of these payments doesn't do a very good job of not sending them to people who don't need them.

 

[The_Doc_Man]

(a) I am not expecting one and {b) don't think I need one but (c) if one comes, I won't turn it down.

 

[vba_php]

(a) I am not expecting one and {b) don't think I need one but (c) if one comes, I won't turn it down.

you're a navy brat! you don't need anything, let alone a damn freebie from your governing body!

 

[The_Doc_Man]

Adam, 'scuse me but I was never enlisted or officer in any military. During the time when I was eligible for drafting, they were using a lottery system. That year, they took numbers up to 182 and my number was 283 or close to that. So I missed the draft. I tried to enlist in the Navy Reserve but had a weight problem by just enough that I failed the physical. So eventually I became a contractor for the U.S. Navy Reserve and did my job according to the job description. In that way, I offered service to the country - by running the computers that kept the reserve members paid. And I did a damned good job of it for 28 1/2 years. But I'm not on a Navy pension. My retirement is strictly based on 401K investments and an annuity plus Social Security.

As to taking a freebie? It is the ultimate in "equal treatment before the law" that I take whatever is being given to everyone else. To NOT do so is to violate one of the basic principles of our country. It is almost un-American to refuse a handout. By the way, add to my bullet list... (d) I didn't ask for a check.

 

[vba_php]

During the time when I was eligible for drafting, they were using a lottery system.

like this one?

https://www.scamwatch.gov.au/system/files/Lottery%20scam%20-%20The%20UK%20National%20Lottery.pdf

or this one?

Unexpected money

Don't be lured by a surprise win. These scams try to trick you into giving money upfront or your personal information in order to receive a prize from a lottery or competition that you never entered.

www.scamwatch.gov.au

 

[The_Doc_Man]

They held a ceremony and picked dates at random out of a bowl that had 365 (or 366) dates in it. The order they picked the dates was also the number you got. So my birthday was picked 283rd that year.

 

[vba_php]

They held a ceremony and picked dates at random out of a bowl that had 365 (or 366) dates in it. The order they picked the dates was also the number you got. So my birthday was picked 283rd that year.

are you sure they didn't pick yours out of 256 dates or 512 dates? LOL =)

 

[The_Doc_Man]

The calendar isn't a power of 2, Adam. In fact, the precise nature of the calendar is one of those elegant proofs that God didn't make the universe to suit man. Otherwise there would be no need for a calendar that requires not less than 3 rules on Leap Day adjustments - and then it is only good until some time after the year 3200.

 

[vba_php]

it was a JOKE, old man. =)

 

[The_Doc_Man]

Having seen your viewpoint of humor, it is often hard to tell.

 

[The_Doc_Man]

Louisiana declared a stay-at-home order. We can go out on walks as long as we observe social distancing. We can make trips to the drugstore, grocery, bank, or medical offices, but most people have an official stay-at-home order. My stepson is a UPS driver and has been told that he will be considered essential personnel. So he goes to work. Malls, dine-in restaurants, bars, theaters - they are all shut down.

 

[vba_php]

Malls, dine-in restaurants, bars, theaters - they are all shut down.

it is for this very reason that my date with a beautiful girl has been cancelled. =(

 

[The_Doc_Man]

Adam, if you wanted to impress her, clean up your place and cook for her. I did that for my sweetie when we were still dating. Because I was on Navy hours and she wasn't, I got off from work two hours before she did. She came to my place. I had a built-in gas-powered barbecue grill so I grilled chicken, tuna, pork, beef, or whatever else was on the menu. We would then walk a couple of blocks to the lakefront and walk along the jetty under the moonlight. Sometimes a walk in the moonlight can be very romantic.