The looming Armageddon that isn't....

[Corruptbuddha]

.... From Politico's Rich Lowry.

http://www.politico.com/story/2013/02/the-great-sequester-panic-87880.html?hp=l2

It’s hard to see how a cut of a little more than $40 billion this year can possibly tank a $16 trillion economy. Or why keeping the deficit the same it is projected to be this year, at about $845 billion with the sequester cuts already accounted for, will be a shock too severe for the economy to take.



Read more: http://www.politico.com/story/2013/02/the-great-sequester-panic-87880.html#ixzz2LYWYybIj

What's amazing to me is that people actually think that a 'cut' of this minuscule size is somehow going to send the American economy off a cliff. To hear Nerobama tell it, your house will burn down, planes will fall from the sky and the Chinese will invade.

An awful lot of wailing and gnashing of teeth over nothing, in my opinion.

 

[Bugsy McGurk]

It's a huge perecentage of the defense and discretionary portions if the budget.

None of the Pugs' absurdly misleading yammering about other numbers changes that.

 

[Bo-4]

Many Republicans predict disaster as well CB.

Btw, Lowry is kind of an idiot. ;-)

"I'm sure I'm not the only male in America who, when Palin dropped her first wink, sat up a little straighter on the couch and said, "Hey, I think she just winked at me." And her smile. By the end, when she clearly knew she was doing well, it was so sparkling it was almost mesmerizing. It sent little starbursts through the screen and ricocheting around the living rooms of America. This is a quality that can't be learned; it's either something you have or you don't, and man, she's got it!" -RL

 

[Corruptbuddha]

Let's do the math.

2013 Discretionary Defense Budget: $613.9 Billion

Total Sequester cuts to defense: (60% of a TOTAL of $84 Billion) $50.4 Billion.

Percentage of DISCRETIONARY budget to feel any impact: 8.2%

So less than 10% of the DISCRETIONARY DoD budget is going to lead us to financial ruin or subject us to barbarian hordes?

Hardly.

 

[Corruptbuddha]

Check the numbers, Bo.

They don't add up to economic chaos.

 

[LeRoy_Was_Here]

Let's do the math.

2013 Discretionary Defense Budget: $613.9 Billion

Total Sequester cuts to defense: (60% of a TOTAL of $84 Billion) $50.4 Billion.

Percentage of DISCRETIONARY budget to feel any impact: 8.2%

So less than 10% of the DISCRETIONARY DoD budget is going to lead us to financial ruin or subject us to barbarian hordes?

Hardly.

I must have missed President Obama warning us about barbarian hordes or a Chinese invasion. Could you please link us to that?

 

[bdtex]

There will be a ripple effect bro. The cuts are gonna cause layoffs and furloughs. Some notices have already gone out. The newly unemployed and furloughed will have to tighten their belts. The businesses they patronize are gonna see a reduction in business. If this year's cuts are allowed to go into effect,there's no reason to think that next year's cuts won't happen and businesses will plan accordingly. Some of this year's cuts are in child nutrition and healthcare programs. Do Republicans expect churches and non-profits to pick up the slack?

 

[Bo-4]

Check the numbers, Bo.

They don't add up to economic chaos.

700,000 jobs by the end of 2014. I tend to believe the CBO assessment more than the CB assessment ;-)

 

[worldlymrb]

.... From Politico's Rich Lowry.

http://www.politico.com/story/2013/02/the-great-sequester-panic-87880.html?hp=l2



What's amazing to me is that people actually think that a 'cut' of this minuscule size is somehow going to send the American economy off a cliff. To hear Nerobama tell it, your house will burn down, planes will fall from the sky and the Chinese will invade.

An awful lot of wailing and gnashing of teeth over nothing, in my opinion.

Why not... According to progressive extremist, one refinery closing down for repairs, or one snow storm is enough to cause record gas prices and a negative GDP

 

[Corruptbuddha]

It's called facetiousness.

Exaggeration to highlight exaggeration.

 

[Corruptbuddha]

I can't find that report Bo...got a link?

 

[Bo-4]

I can't find that report Bo...got a link?

I was mistaken that it was a CBO number.. it's independent, but these don't appear to be lefty loons.

http://www.ibtimes.com/cost-sequest...-budget-cuts-through-2014-gdp-growth-may-slow

 

[trapdoor]

I work at a small miltary installation that employs 4,500 government employs (which along with contractors make up a total workforce of about 7,200 employees and military personnel).

We're looking at 22 days of furloughs -- unpaid time off -- for each employee during the fiscal year. That's a 20 percent pay cut. It might be worse for contractors, who could see contracts terminated for lack of funds. It means essentially no maintenance or modernization of our infrastructure for at least the rest of this fiscal year, and we've experienced a $20 million shortfall in maintenance funding over each of the past five years.

Our installation normally puts about $14 billion per year into the local economy, and we are the largest single employer in a metro area of 350,000 people spread about evenly across a two-state border. If you think pulling 20 percent out of our incomes will have no impact on that surrounding economy, well, I'd have to say you're wrong.

And we are a smaller installation in a mostly non-military town. It will devastate military towns like San Antonio, San Diego, Newport News Va., etc. No, it's not Armageddon -- but many disasters have been less than Armageddon, and no less disasters for that fact.

 

[Corruptbuddha]

I don't know, Bo.

An awful lot of 'could', 'might' and 'maybe' for this level of panic and fear-mongering don't you think?

 

[Corruptbuddha]

Actually, the number I saw was 1 day a week furloughs for 22 weeks.

Not, by any stretch of the imagination, the end of the world.

 

[LeRoy_Was_Here]

Yup. Civilian employees of the Pentagon are going to be the first victims of sequestration.

You should be hopping mad at the Republican Party, Trap.

 

[Corruptbuddha]

With a total (including holidays) of 258 or so workdays per year: http://wiki.answers.com/Q/How_many_work_days_are_in_a_year

So take away up to 22 days in furlough, and you're looking at a 8% pay cut over the year.

Seeing is how the federal employee on average is paid (including benefits) 16% more for the same work as his civilian counterpart, I don't see it driving us back into recession.

 

[Bo-4]

I don't know, Bo.

An awful lot of 'could', 'might' and 'maybe' for this level of panic and fear-mongering don't you think?

Maybe, yes. But i'd rather be safe than sorry when in uncharted territory.

The biggest thing CB, is that this business of moving from one self-imposed crisis to the next literally every 2-6 months is quite literally insane.

And the last debt ceiling hostage debacle and subsequent credit downgrade will cost us around 19 billion in higher interest.

 

[trapdoor]

Yup. Civilian employees of the Pentagon are going to be the first victims of sequestration.

You should be hopping mad at the Republican Party, Trap.

A more accurate statement would be "civilian employees of the federal government." Sequestration was proposed by the president, not Republicans.

 

[bdtex]

22 days' pay for 800,000 civilian DOD employees isn't chump change. That's only the furlough notices we've seen. There are sure to be more notices going out tomorrow or early next week. We're 7 days away from S-Day with no resolution in sight. The House isn't even in session this week.