Of course it is. If they can't borrow more money, "non-essential" portions of the government will have to shut down. Yahoo.
a lot more than non-essential operations will shut down - unless you don't consider things like the FAA, border security, food inspections, and so on "essential"
#101. To: Skip Intro, go65, capitalist eric (#96)(Edited)
unless you don't consider things like the FAA, border security, food inspections, and so on "essential"
He doesn't. You could also add the air traffic controllers, FDA, OSHA, the EPA, National Parks, Post Office, and on and on.
The government will collect $179 billion in taxes in August. Interest on the debt, Social Security, Medicare, and military salaries add up to $143 billion. That's $36 left for other things.
Here's how to make that $36 billion larger: 25% of people over 65 have pensions or incomes from annuities or property that classifies them as "wealthy". Remove these freeloaders from Social Security and Medicare and you'd have more more to spend on "essential" things.
Then get rid of all government subsidies for energy, agriculture, NPR, NEA, etc. and crazy "research" programs like studying hookers in China and the size of gay men's penises and you'd have a bunch of additional money.
Then sell the Post Office, Amtrak, and other services that could be better provided by business and you'd have even more money.
It's pretty darn simple to cut enough spending to close the deficit.
Wasn't Amtrak established because the private sector didn't want to bother with that side of the business at all?
Rail travel was a money loser by the 1960s. The Nixon Administration created Amtrak because rail passengers lobbied to keep rail travel from going away.
Nothing much has changed in 30+ years, and I doubt that any private company would want to operate passenger rail today.
Wasn't Amtrak established because the private sector didn't want to bother with that side of the business at all?
Rail travel was a money loser by the 1960s.
Prior to the Great Depression, nearly all intercity travelers in the United States moved by private rail.
After WWII, the government used tax money to build the interstate highway system and compete with private rail. While the interstate highway system was "free" to use, private railroad companies were subject to property and other taxes. Every foot of rail was taxed, and some localities treated them like cash cows, which escalated their operating costs.
Of course, the airline industry (using subsidized government airports) also competed with private rail after WWII.
The government interstate highway put them out of business for short haul routes and the airlines put them out of business for long haul routes.
I laugh at the environmental leftists who want the government to favor rail over cars, when it was the government that destroyed rail by subsidizing roads.
