Press Releases

 

Entries in Debt Default (3)

Friday
Oct112013

ALG's Daily Grind - The new vicious cycle of student loan debt 

Oct. 10, 2013

The new vicious cycle of student loan debt

Obamacare makes the decision of entering higher education much more difficult.


Who's the deadbeat?
Coming from a man who issued a veto threat against the House-passed "Full Faith and Credit Act," which instructs the executive branch to pay our nation's creditors first in the event we hit our national new borrowing limit, Obama's newfound concern for paying our nation's debts must be an epiphany for those who write his teleprompter text.

Obama Energy Secretary: Fracking is 'climate friendly, environmentally safe, and economically stimulating'
Steven Chu even dismissed a study critical of fracking by saying: "we didn't think it was credible."

Moody's: No default if debt limit reached
Credit rating agency: "We believe the government would continue to pay interest and principal on its debt even in the event that the debt limit is not raised, leaving its creditworthiness intact."

Friday
Oct112013

ALG - Is Obama lying about a default? 

Oct. 10, 2013, Fairfax, VA—Americans for Limited Government President Nathan Mehrens today issued the following statement calling attention to a Moody's report that the U.S. will not in fact default if the debt ceiling is reached, which states, "We believe the government would continue to pay interest and principal on its debt even in the event that the debt limit is not raised, leaving its creditworthiness intact":

"This bombshell from Moody's suggests that the Obama administration is bluffing about a default on the $16.7 trillion national debt should the borrowing limit be reached. Jack Lew has testified the opposite to a Senate committee that debt payments cannot be guaranteed and a default is likely if the debt ceiling is reached. Is he bluffing? The single question that Lew should be forced to answer is why the Treasury has not reformed its bill payment system that the Inspector General revealed in 2012 is on a first in, first out basis rather than prioritizing default-stopping interest payments on the debt in the event the borrowing limit is reached.

"After the 2011 debt ceiling confrontation, the fact this has not been fixed is beyond belief. It is gross mismanagement at best or a deliberate attempt to put the default gun to the head of the U.S. economy to prevent spending cuts."

To view online: http://getliberty.org/is-obama-lying-about-a-default/

### 

Americans for Limited Government is a non-partisan, nationwide network committed to advancing free market reforms, private property rights and core American liberties. For more information on ALG please visit our website at www.GetLiberty.org.

 

Tuesday
Jan222013

ALG - Tell the House to take Obama's default threat off the table! 

Dear Liberty Activist,

 

Click here to tell the House to take Obama's phony default threat off the table! And embed the alert on your blog using the following code:

 

<iframe src="http://www.capwiz.com/libertyleaders/issues/alert/?alertid=62340116" frameborder="0" width="100%" height="2650"></iframe>

 

Americans for Limited Government President Bill Wilson recently joined with 38 other free market and limited government organizations in urging action by the House to tie a vote to increase the $16.394 trillion debt ceiling to a 10-year pathway to a balanced budget without any tax increases and passage of the "Full Faith and Credit Act."

 

"With the $16.4 trillion national debt growing disproportionately larger than the economy, the American people are rapidly running out of time to get Washington, D.C.'s spending and borrowing addiction under control," said Wilson.

 

Wilson added that tying a balanced budget and the "Full Faith Credit Act" to the vote was "absolutely necessary to take President Obama's threat of default off the table. Never again should any president be allowed to demand a blank check from Congress by threatening default, when there is more than enough revenue to pay our creditors on time and in full."

 

The "Full Faith and Credit Act" would prioritize payments on interest, Social Security, Medicare, defense, and veterans' benefits out of revenue in the event the debt ceiling is reached.

 

Out of the $2.8 trillion of annual revenue the White House expects in 2013, only about $360 billion, or $30 billion monthly, will go to paying gross interest on the debt.

 

"That means even if the debt ceiling was reached, the government could still refinance existing debt up to the limit, and would have ample revenue to pay interest out. So, there would be no need to default," Wilson explained.

 

"There would even be enough revenue to pay out Social Security ($820 billion), Medicare ($564 billion), defense ($700 billion), and veterans' benefits ($79.5 billion). And if the White House's 2013 revenue estimate is anywhere near correct, there could be as much as $600 billion left over to pay for other essential items," Wilson added.

 

The August 2011 increase of the debt ceiling had been accompanied by $65 billion of sequestration cuts, which Wilson said needed to be kept in place.

 

Congressional Democrats, along with the Obama Administration, have threatened to eliminate the national debt ceiling from law, which would allow the White House to borrow at will without any congressional authorization.

 

"This could be the last chance the House has to use the debt ceiling to achieve a balanced budget," Wilson noted, concluding, "It is time to stop stealing from our children and grandchildren."

 

You know what to do! This is where the rubber meets the road. If the House does not act now, when, not if, Democrats eventually reclaim the House majority, their first order of business will be to eliminate the debt ceiling. Let's use CapWiz to let members know that you expect them to take a stand now before it is too late! No more kicking the can down the road!

 

And remember, posting Liberty Action Alerts on your blog is now as easy as 1-2-3! Simply copy and paste following embed code into the html portion of your blog and your readers will be able use our system without ever having to navigate to Capwiz:

 

<iframe src="http://www.capwiz.com/libertyleaders/issues/alert/?alertid=62340116" frameborder="0" width="100%" height="2650"></iframe>

 

And keep fighting!