“Paychecks for government workers, vendors and state and local governments would likely be withheld or not paid in their normal timely manner,” says Vincent Reinhart of the American Enterprise Institute. The Treasury might also decide to prioritize payments. Social Security recipients, who often rely on their check for daily living expenses, would probably be among the first in line. But so would bond holders: The government would likely do everything it could to protect its credit rating”. So by raising the dept ceiling the government would be able to avoid a shutdown that would greatly impact Americans.
Social Security | A Great “Idea” | | Chris Barron | 12/7/2010 | Professor John MundyEmbry-Riddle Aeronautical University | | | Abstract Should Social security be changed to allow personal retirement accounts? Two arguments have gained traction over the past five years. Argument one being a proposal to allow a portion of all individual’s accounts to be managed by the person as they saw fit, thus eliminating major administrative costs as well as significant benefit liabilities the SS system simply does not have. Argument two is that allowing individuals to manage their own retirement accounts would not fix the system. Rather it undermines the safety net that has provided security to tens of millions for over eight decades.
A lot of these foreclosed homes seemed to be linked to ARM loans that people could no longer afford after the index had gone up. (http://mortgagedataweb.blogspot.com/2008/07/adjustable-rate-mortgages-not-popular.html). Typically these types of loans are no longer than seven years and are targeted to people who are going to be moving after a few years. Many people just see the low interest rate and jump into it without really knowing too much about the loan. It gets to be an even bigger problem when the mortgage loan officer doesn’t help you out with your decsion when purchasing a home.
AMERICA AND AMERICANS FIRST Why does our country insist on sending billions of our dollars overseas when we cannot even take care of our own? A conservative estimate of over $114 billion annually goes to Israel alone and I would venture to say we easily send an additional $200 to $300 billion elsewhere. My question is why? American are living in times that skirt the great depression; unemployment is at a staggering 9.0%, people are losing their homes daily with many having nowhere to live. Our welfare system is almost bankrupt as is social security; by the time I am eligible to collect SSI in 14 years there probably will not be anything to collect.
Like the rebuilding of Ground Zero in New York, recovery and healing will take years. The outbreak of a cholera epidemic, coupled with what can only be called bungled elections have been tremendous setbacks. According to the Inter-American Development Bank, the damage may amount to twice the value of the annual economy. In 2008, Haiti produced only $7 billion in goods and services. According to the World Bank, the earthquake caused damages estimated between $8-$14 billion.
It requires employers to provide their workers with insurance or they will face a payroll tax of 8%. According to the republicans, this is a disguised tax on employment that would increase the costs of hiring a worker. Hence employers will seek ways to off-set the added costs by raising the prices, lowering wages, reducing other benefits such as pensions, shifting workers from full-time to part-time etc. (Tanner, Michael 2009). President Obama’s administration does not deny that this is a new tax, but the opposition implies that if it is a tax than it’s definitely bad.
The country was in the throws if the Great Depression. Unemployment approached 25%. Banks were failing daily with withdrawals far outpacing deposits. The stock market crashed, eliminating hundreds of millions of investment
It was hard enough with just a recession, but now banks are much stricter when it comes to lending. Surveys done show that 63 percent of companies with less than 100 employees are having trouble with credit, 12 percent had to lay off employees because of it, and 1 in 5 of 600 polled are at risk of going out of business in the next six months. In a brief interview with Mr. Paul Braungart III, entrepreneur and president of Regional Capital Group, a commercial real estate lender and investment company based in Marlton NJ, Mr. Braungart explained that the crisis has impacted values of property and the ability to buy and sell. Therefore, no one’s doing anything really, which paralyzes the market because everyone’s afraid to make any potentially risky moves. The commercial real estate market isn’t as bad off as the residential market, but it has a significant ripple effect on the mind state of the nation.
Recession & Unemployment in America America, as a whole, has been under an economic recession for over four years. The government is spending much more money than they are making. The government can always make more money. Many American families cannot see the light at the end of the tunnel. Prices are rising while the family income is not.
Social security is extremely important for the well being of elders, injured workers, and the handicapped. If this program were able to be privatized in the stock market, the economy would be another variable to add to the many social security has. By investing social security in the stock market, the downfall of the market could lower peoples living conditions considerably, and erase what has have been paid for possibly decades. One argument used is that social security does not do enough for people to live on. About one in five people use social security as the only source of income, and more than half use social security for more then half of the annual income (Anspach).