Nancy Pelosi: Some In GOP Would Pay China Before Seniors In A Debt Default

[FreakinDJ]

Source: Michael McAuliff

Nancy Pelosi: Some In GOP Would Pay China Before Seniors In A Debt Default

WASHINGTON -- Republicans may be accusing President Obama of "scare tactics" in saying a default could halt Social Security checks, but House Minority Leader Nancy Pelosi says some in the GOP may actually prefer stiffing the elderly.

"I’ve heard some on the other side say we should pay the Chinese government before we send out a Social Security check," Pelosi said, even as she argued that leaders need to worry about reaching a debt agreement before focusing on who gets hurt if they don't.

Pelosi's China charge referred to legislation offered by Sen. Pat Toomey (R-Pa.) that would have ensured government holders of U.S. debt get paid first. Her words were sparked by a National Republican Senatorial Committee political memo released Wednesday for GOP Senate candidates. It accused the president of scaring seniors by telling CBS in an interview they might not get checks on Aug. 3, a day after the deadline for hiking the country's $14.3 trillion debt limit

Democratic Senatorial Campaign Committee head Sen. Patty Murray (D-Wash.) answered Cornyn's charge by agreeing that the idea of not paying seniors is scary. But she argued that it was Republicans who have left the country facing that prospect by walking away from talks and catering to the right wing of their party, which wants no hike in the debt ceiling at all.

Read more: http://www.huffingtonpost.com/2011/07/13/nancy-pelosi-debt-default_n_897424.html

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Yo Girl ...... your my fave

[JustAnotherGen]

1. I love her

And she needs to snipe back that the single largest holder of U.S. Government debt is . . . the American people. So how’s ‘bout they pay back the money they’ve raided from SS and move on already.

[MiniMe]

2. The seniors are holders of the US debt. The problem is that the funds are

tied up in T-bills, same as China. Remember those "worthless" pieces of paper that W was throwing around in 2004?

[Kingofalldems]

3. K and R

[Name removed]

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[JDPriestly]

11. Apples and oranges, you are misinformed.

Reagan required working people to increase their FICA tax payments to cover the cost of the baby-boomers' retirement. He assured working Americans that the money would be saved for that day when the baby boomers retired.

Reagan then ran up a huge deficit -- larger than the entire deficit run up by all the presidents before him. George H. W. Bush followed, continued to collect the higher Social Security taxes representing that the money would be there for the baby boomers and for Social Security recipients. But GHWB also ran up a huge, huge deficit.

When Clinton became president, he continued to collect the Social Security taxes for the baby boomers -- and Gore suggested putting the money into a lock box to insure that it would be there for Social Security recipients. The lock box was not created, but the money continued to be paid into a special account managed by a special department and used to purchase Treasuries. Everyone knew that money was for the baby boomers' retirement.

Clinton actually managed to leave office with a balanced budget. That is something he is to be applauded for.

Then the Supreme Court appointed George W. Bush who fought two wars and lowered the taxes giving much bigger tax reductions to the rich than to anyone else. He admitted wanting to destroy Social Security and privatize it. His failure to fund the wars with tax increases (as previous presidents had done) drove up a huge, huge, huge deficit.

In fact, George W. Bush was the ruination of our country because of his fiscal policies.

Bush, Greenspan and his banker friends ran up the housing boom and permitted the derivatives scam to go unchecked just to create the illusion that our economy was in good shape.

Meanwhile, of course, Bush transferred a lot of money through his wars to friends of Bush and Cheney like Halliburton and Wall Street firms and banks. It was probably the biggest theft in history. Read Matt Taibbi's Griftopia. It was not just a theft by Republicans. It was quite a bi-partisan endeavor.

In addition, possibly eying the burgeoning youthful populations in underdeveloped countries and looking down on the aging Americans, our corporations simply moved whole factories and industries out of the country. As a result, we now have buy everything from somewhere outside our borders. I don't even think we make enough socks or flags to keep our soldiers equipped without importing what we need from somewhere.

Most recently, California had to buy a bridge from the Chinese. Our steel manufacturing has been so decimated by free trade that we can't build a bridge of the size San Francisco needed.

Much of our industry went to China. And now we owe them money. A lot of Republicans complain about the foolish homeowners who got over their heads in debt. Well, we have done that as a nation -- and it has nothing to do with Social Security recipients. Working people paid for those benefits.

The debt owed to China is no different from the debt owed to America's seniors. It's all in Treasury bonds. The US government is required to pay all its debts. There is no question.

The Republicans can squawk all they want, but we will have to impose higher taxes. Hedge fund managers receive huge sums of money on which they pay at most a very low tax rate. A number of leading corporations pay no taxes although they do a lot of business in the US.

There are lots of people who have taken profits offshore to avoid paying American taxes.

We must require them to choose between living and doing business in the US or paying up.

You have to ask yourself sometimes. Who has done more harm to our country? The terrorists or the businesses and individuals who do not pay their taxes or who pay Congress to give them big tax loopholes.

You need to hang around DU for a while and learn. People here are very well informed. The discussions tend to be very fact-based. You may not agree with everyone, and that is fine, but you will learn a lot. I certainly have.

Anyway, the US owes the Social Security fund -- which is a separate fund that holds US treasuries -- just the same way it owes other countries. There is no difference. If we default on our Social Security debts it will divide the country in terrible ways.

The average Social Security recipient receives under $1200 per month out of which the recipient usually pays a share of his or her medical costs.

Social Security recipients who have income outside Social Security pay taxes just like everyone else. I may be wrong but I understand that 1/2 of the Social Security benefit is taxable just like earned income. So, if a Social Security recipient is wealthy, they really just pay back their small Social Security benefit in taxes. The amount they might get to keep would probably be meaningless to them.

I hope you understand this better now.

The Social Security fund is separately tracked and accounted for. It is simply invested in US Treasuries which must be paid upon demand.

There should be no cuts to Social Security benefits, none at all. If more money is needed then the tax dedicated to Social Security should be raised.

Obama has given employers a vacation on paying their share of the Social Security tax. That suggests to me that he knows there is enough money to pay Social Security benefits.

I do not like Obama because he is willing to cut Social Security. I paid in all my working life sometimes from very, very low earnings when I was in high school. And it is the most unjust thing I can imagine that anyone would steal from the poor and elderly who rely on Social Security.

Republicans who suggest defaulting on Social Security or cutting benefits cannot turn around and claim to be Christian. They should ask themselves "What would Jesus do?"

I was raised in a minister's home where we read the Bible very frequently, and I can tell you: Jesus would throw the bankers out. That's what he did, and that's what he would do. And he would tell the rich that they will not get into the Kingdom of Heaven. That's what he would say. Republicans need to read their Bibles more carefully.

[trud]

13. "1/2 of the Social Security benefit is taxable just like earned income"

It depends on what your income is.

I just looked it up and didn't really pay attention to details, but more or less, if half of SS plus your other income is over $25,000 for a single person, 85% of SS becomes taxable income. Something like that anyway, I only grok this in April each year.

[JDPriestly]

23. Thanks. Obviously, I don't have that problem.

[Liberalynn]

18. Very well said

I agree with you totally.

That gets me too about how so many in this nation claim to be such good Christians. Yet if they were to actually read the "New Testament" Jesus clearly preached again and again for helping the poor.On the other side of the coin, he was always chastising the rich hoarders.

I remember that song we were taught in Parochial School too: "Whatsoever you do for the least of my brother's that you do unto me. When I was hungry you gave me to eat, when I was thirsty you gave me to drink, now enter into the home of my father."

I don't know what Christian values the neo-cons are following cause they sure don't bare even the slightest resemblance to what I was taught. Not that the people teaching them always followed them either.

The neo cons aren't even following plain old decent American values either.

[JDPriestly]

24. Thanks. Sometimes I think religion is just a social thing for a lot of people.

That's why it is so easy for them to just recite Bible verses. They don't really think about what they are repeating or singing or saying. It makes them feel good, but it doesn't make them think about right and wrong. It's very puzzling to me.

[NCarolinawoman]

19. That is an excellent and thorough analysis!

:applause: :applause: :applause: :thumbsup:

[and-justice-for-all]

12. "if there WAS any SS money (which there ain't)" wrong.

[alp227]

4. they picked a photo of her sitting next to an Asian when she talks about China? haha nt

[FreakinDJ]

6. My Asian wife was wondering what is the relevence of your comment

[trud]

15. that's probably an American she's sitting next to.

[on point]

5. Nope. Pay the Tbills, banks, corporations and repuke states last.

[shanti]

7. tell it like it is, nancy!

she's got spunk!

[pam4water]

8. Good point.

[DonCoquixote]

9. I wish she acted like this

before she put prosecuting Bush "off the table."

[reformist2]

10. Repugs treat government like a business, and that's why they have no business running government.

Because it should go without saying that governments are about people, not profit.

[Liberalynn]

14. Man now she really is playing hard ball

Where was this Nancy when we had the majority?

Well if she is finally in this game to win it for the Dem side, then I will be willing to forgive and forget and support her 100 percent.

Now Just keep on pitching Nancy. Don't stop half way through the game.

[trud]

16. Nancy was there

Harry and Obama were AWOL.

[SoapBox]

17. Super K & R! nt

[donheld]

20. k & r

[freshwest]

21. The GOP's libertarian economic model matches China, no social safety net, winner take all.

All in the name of making profits. Glad she ratted on the bastids.

[No Elephants]

22. Obama is in charge of administration, including the Treasury.

So "some in the GOP" are not the issue.

[Cereal Kyller]

25. They'd sacrifice their daughters to Satan.....

...if it denied Obama victory

[No Elephants]

26. As it is, they teach them God wants them to be subservient to their husbands.

I'm surprised more Republican women don't stay single.

[blueclown]

27. And apparently so would Ben Bernanke.