Wednesday, July 27, 2011
Yes, indeed it is. While everyone and their grandmother is foaming at the mouth how both republicans and democrats hiked the debt ceiling for umpteen times over the past x years, the truth is that never before has the ratio of the proposed debt ceiling to the tax receipt ratio been as high as it is now. At nearly 6 times, this means that the top line (forget bottom line) cash inflows into the Treasury are 6 times lower than the current debt ceiling. And following the upcoming $2.5 trillion this number will surge to almost 8 times. So please ignore the next “pundit” who is complaining about the hypocrisy of not agreeing to an outright debt ceiling hike this time around – as usual they have no idea what they are talking about.
This article was posted: Wednesday, July 27, 2011 at 7:52 am