Where is the money coming from?

[aerofan113]

This country spends a lot of money every year. That is no secret. But after reading this article
I made me wonder where is this money coming from? I mean honetly. We've spent tons of money on the miltary and we will ahve to spend even more because of Iraq and Afganistan. I understand why we are spending the money. But does anybody wonder where we get money when we've already spent all that we have? NEWS (http://story.news.yahoo.com/news?tmpl=story&cid=578&u=/nm/20050124/pl_nm/iraq_bush_dc_3)

[HereticPB]

Taxes? Heard of those?

[The Dude]

Well young one, its all borrowed. Borrowed money that must be paid back but will only be paid back by taking out an even bigger loan. It's been done that way since the 1940's.

Does it make sense? no
Does it work? yes

[HereticPB]

Money from sales tax, products sold overseas with taxes, etc.

Hell I did some calculation with 2% taxes and it was more 999 billion dollars of revenue the Government receives.

[aerofan113]

We are going over budget again. What happens then. Heretic, yout totally miss the point, how do we spend money when we are ina deficit,

[Viper]

Aero, we've been over budget for decades.

We get 12 trillion in taxes alone, then we borrow what ever else we needed to cover expenses, just like a credit card.

[plebben]

lets hope payback wont be a bitch :P

[The Dude]

We are going over budget again. What happens then. Heretic, yout totally miss the point, how do we spend money when we are ina deficit,

We have been in a deficit since this great nation was concived. Well except for 57,97 and 98. It's no big deal.

[aerofan113]

I was just wondering.

[HereticPB]

Well there was one time in history of America when the deficit was actually nothing cause it was payed off. Of course there was nothing remotely happening in America and at that period of time Americans did not care about the rest of the world.

Then I believe it was the Civil War that changed that. Though as the post above says we had a few other times.

We had a deficit when Clinton was in office don't fall for that crap. The people in America During Clinton's Kingdom had a deficit as well due to insanly high taxes.

[Dorbin]

Government debt means nothing. Let's not fool ourselves, hehe.

[Anti-Colin]

What is the only thing that can survive by spending more than it makes?

The American Government. It is an animal unlike anything on this planet.

And I am glad I live in it.

[plebben]

actually only a very few nations are without debt to the world bank.
Norway has its oil and Saudiarabia too. I dont think there are anyother fairly big nations in europe or asia that can stand on their own feet.
Luxemburg and those tiny states in europe like monaco etc also dont have any debts. but thats because there is so little to manage in those countries.

[Colin™]

The Dude is correct.

I was surprised when I heard it, too. But I've had economics professors tell me that it has worked for years and will always work.