Worst case scenario: the US defaults. So what? Most of us

[closeupready]

would remain relatively unharmed by the consequences of default.

If the Republicans are willing to see their constituency lose half their fortunes on a political stunt, then I'm fine with that, if we retain social security and medicare entirely in their present forms.

[kstewart33]

1. Wow - candidly, you cannot be that stupid.

Everyone will be harmed by the default over the long term. If you do not understand why, do a brief Google search which is loaded with evidence of the Armageddon for us all.

[Cleita]

2. Not good. A lot of the working class would lose

on their IRAs and 401k retirement savings.

[villager]

4. not saying a default is "good," but isn't the working class losing those things anyway?

in other words, even if we "scrape by" this time, aren't most of the unemployed/working rest- of-us essentially going through a "slow motion default" anyway?

[closeupready]

10. Most working class are living paycheck to paycheck, and very little in their 401(k)'s.

Most Republicans, OTOH, are rich and vested in preserving the value of the status quo, i.e., not defaulting is supremely important to Congress people on both sides of the aisle.

Therefore, regardless of party, the wealthy in Congress will sacrifice the poor and elderly if they get to keep their toys.

[Cleita]

18. But retirees, who do have savings, and are able to

squeeze a little income from them to augment their Social Security would be hard hit. They already took a hit with the last Wall Street crash, this would be the finish of them and their life savings. Then taking their SS from them would be the coupe d' grace.

[rurallib]

25. and then they would be fighting for jobs against their grandchildren

which would increase the labor force and suppress wages.
Or what the overlords call a Win, Win, Win, Win!

What will a desperate 70 year old work for?

[villager]

27. I agree -- but also think all this is happening *anyway*. A "default" just speeds it up

The point is, we're still going to be called upon to respond to what's happening, in order to save our collective lives...

[rurallib]

31. yep

[Cleita]

28. This 70+ year old is working for less than half

of what she worked for when she retired.

[brooklynite]

3. So, let's be clear. You're...

...not receiving SS, Medicare or Medicaid benefits. Doesn't matter that they're funded independently; there won't be treasury officials to transfer funds and issue checks.

...not planning any plane flights. FAA Air Traffic Control personnel will need to be furloughed because they can't be paid.

...not planning a trip to a National Park. Ditto Park Rangers.

...not planning to refinance or obtain a mortgage. Interest rates will go up for everyone.

...not buying anything manufatured abroad. US $ value vs foreign currencies will drop, making prices rise.

...not driving a car. Ditto foreign-source gasoline.

[Liberal_Stalwart71]

5. Unrecommend for the sheer idiocy!!

[closeupready]

6. If you live paycheck to paycheck rather than underwrite, for example, food assistance programs,

then yes, you are unlikely to be impacted by a US default like most Republicans would.

[onenote]

19. You are assuming you'll still have a paycheck

And you are assuming that the dramatic increase in interest rates, which will eat into taxpayer dollars and put even more pressure on Congress to cut other spending will not have an adverse impact on those who depend on those programs.

Wow.

[closeupready]

21. I was not. Many people will, though. Russia and Argentina both defaulted.

Yet, people still had work to do, the day after.

[louis-t]

7. My business would fall into ruin.

Just like the last time repugs ran things.

[HappyMe]

8. You can't be serious!

No government services at all. Nothing, nada.

[Warpy]

9. Default is one of those things that you have to realize

is a "here there be dragons" situation. The truth is that we don't actually know what a cascade of "no confidence" economic votes worldwide would do to us.

What seems likely is that interest rates would go to punishing levels to make our debt a little more attractive, that the dollar would take enough of a beating that $4.00/gallon gas would look like a bargain, and that offshore manufactured goods would experience double or triple digit inflation. Consider, please, that we no longer make cloth, shoes, electronics, car parts, or anything else in sufficient quantity to satisfy demand, even bare subsistence demand.

What the Republicans are doing is trying to convince the world that the US is a failed state. I'm afraid that if they succeed, you will feel the effects very acutely. We all will.

[closeupready]

14. They are playing chicken; we need to call their bluff.

I feel that they, on their side of the aisle, have more to lose than we do.

[dgibby]

32. Speak for your self.

I'm a disabled Navy Vet, living on my military retirement and SS. I will, most likely, lose all my income if we default. Considering that I've run through most of my savings helping several friends and family members who are either un or under employed, that will leave me on the street in a matter of weeks.

Of course, I'm not alone in this little canoe. I'm sure there are thousands more like me, but don't let that stop you from sinking it. What's a few more homeless vets sleeping on the streets? For that matter, what's wrong with not paying the AD troops who are in harm's way. I'm sure they won't mind that their families will be out of food and out on the streets, and I highly doubt that it will affect their performance of their duties in any type of negative manner at all.

Normally, I wouldn't feel the need to use this, but since you've proven you're totally clueless, I'll use it just so as not to confuse you further. :sarcasm: :sarcasm: :sarcasm:

[uppityperson]

38. The uber-rich can afford to make $10,000 less/month. I can't afford to make $1,000 less/month

They would lose more, but they would still be able to feed themselves whereas I would not. For most of us, we cannot afford to lose much at all and any loss would impact our ability to fulfill basic needs MUCH more than the rich.

[reformist2]

11. If interest rates go up permanently as a result, we're screwed.

If the interest rate on our debt went from 3% to 6%, for example, that'd be over $400 B more in revenue we have to pay to wealthy bondholders, which means $400 B less to spend on government programs.

[BlueIdaho]

12. If you run a hedge fund

That's exactly what you are trying to tell your investors right now to keep them from bolting with their money. The only other people that believe this are living in retired missile silos in the middle or Wyoming - completely off the grid.

Trust me, a default is a big fucking deal.

[closeupready]

16. Oh, I know default is a big fucking deal, Yes, I do. That's why the GOP will NEVER

really allow it to happen. But we need to call their bluff. "Fine, we'll default, and your party will be the ones hurt more than our party."

[BlueIdaho]

33. No doubt

The poorest, weakest, and oldest Americans will be put through a wringer if we default but "Bushes Base" - bankers, hedge fund managers, and corporate fat cats will hemorrhage cash like there's no tomorrow.

If we could figure out how to protect the least of us I have no problem letting the fat cats watch their paper fortunes disappear.

[truebrit71]

13. Wall Street will never allow that to happen. Obama needs to call Boner's bluff...

There is no way the owners of the gop will allow their net worth to suffer due to a Teabag-inspired political stunt.

He needs to sit on his hands and call them out, he won't of course, he'll pull the chicken-switch at the last second and snatch defeat from the jaws of victory, but he HAS to know that even the bone-stupid rethuglicans know that their masters will cane them severely if anything untoward happens to the markets.

[closeupready]

15. Exactemente.

nt

[C_U_L8R]

22. Wall St makes their money off of movement

up and down and who's to say they aren't betting on the republican side?
Wall St might just make a killing.... and its all of us with 401k's and
other investments who will be killed. I can hear the GOP licking their
chops to get their greedy hands on our retirements. Sick.

[Maru Kitteh]

17. Fuck that idea. My WHOLE FALMILY would be thrown into catastrophe and ruin.

Starting with my elderly mom. But thanks. It's awesome that you're fine with that.

[closeupready]

20. If your family is Republican, is it presumptuous to think the GOP represents their interests?

If so, what can I say. Have you talked with them about it?

[Maru Kitteh]

26. My family is not Republican. Is yours? Because (R)s are the only ones saying that it

wouldn't matter - which is exactly what you are saying. Coincidence?

[tpsbmam]

23. Oh thanks....

I'm disabled and live off of my IRA, which I'd fortunately built up when I could work. So it's just fine and dandy with you if it goes bust? Please, give me your address so when I end up on the street, I'll know where to beg for a bed & a shower.

You're not thinking this through. It won't just hit the rich. Most of them can lose what they'd lose and barely feel it since their funds, I guarantee you, are diversified & not just limited to the U.S. Who it would kill are the little guys.....people like me.

[closeupready]

24. "You're not thinking this through." Yeah, maybe not. Sorry.

I didn't mean to scare anyone, or sell Boehner's plan.

[slackmaster]

29. I have about $40 K in debt that is in a variable rate home equity line

At the moment the interest rate is about 4.25%, which is lower than that of my first trust deed.

I might have to roll that into a fixed-rate equity loan.

[lumberjack_jeff]

30. Default will be a tragedy.

But 99% of us don't have that much to lose except our apathy.

[nadinbrzezinski]

34. WOW... you can kiss good bye to a lot of suff

you really have no clue, do you?

And no, I have explained it in the past, I am done with that.

[Cool Logic]

35. Given that you are using the term "default," it stands to reason that you have bought what they are

selling.

Default, as it applies the US Treasury, would entail not paying the interest on the bonds it issues, or paying off those bonds that have reached maturity.

We've been hearing quite a bit about the 14th of late. I don't know who invented this idea that the Executive branch has the the unilateral power to borrow, but they are wrong.

However, the 14th does require that we pay our bills and we have more than enough money to do that.

http://www.fms.treas.gov/dts/index.html

[FourScore]

36. It would harm my family immensely, in many different ways. n/t

[DFab420]

37. Do you really understand the fallout from this??

I mean honestly? Do you really think nothing would change??????

That is worrisome.

[TBF]

39. I may be the only one but I agree with you -

at least in the sense that POTUS should call their bluff. The rich have a lot more to lose than the working class.