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Have I missed any major us economy news?

(81 Posts)
3asAbird Mon 30-Sep-13 19:02:58

So many fb statuses saying the broke and about to go bankcrupt? as republicans wont vote the right way?

I know detroit and other cities when bankrupt and they produced a trillion dollar coin which made out quantative easing looks good.

Are they in serious trouble? seen very little on news.

ReginaldBlinker Tue 01-Oct-13 08:42:18

They are definitely trying to blame Obama as much as possible... As "he's the one who won't negotiate". hmm

Despite the fact that the Anerican voters chose to vote this bill into law, the republicans still think they know best and that they can block the wishes of the American people. Sadly, I don't think it'll have any effect on the next election, and the republicans stand a very real chance of being elected. confused

Fwiw, it's not even nationalised healthcare that they're trying to implement. It's just making it mandatory to have health insurance and making insurers lower premiums and not reject people based on pre-existing conditions.

Since it costs almost $10,000 to give birth in the US without insurance, not including any prenatal doctors visits, and, as a hospital won't turn a woman in labour away, even if she can't afford that bill, it means higher health care costs are passed on to everyone else, resulting in even more people not being able to afford their bills, etc., etc.

It's a common sense bill and one that is long overdue. Shame on the entire Republican Party for yet again, ignoring what the people want and need in favour of pushing their own agenda through (oil pipeline).

MurderOfBanshees Tue 01-Oct-13 09:02:09

Must be scary for all those not sure when they are working next sad They're just game pieces to those idiots aren't they?

niceguy2 Tue 01-Oct-13 09:04:01

They're being unreasonable and they secretly know it. Just politics come into play and they can't back down now.

Obama won the last election and one of the central planks of his campaign was Obamacare. So with that in mind why should he negotiate? He got a mandate to implement it. And to everyone but the right wing republican's it actually makes sense!

The democrats can't back down now as a commentator at the BBC has said, they'd rather take a stand now rather than in a few weeks and repeat history over the debt ceiling. That would have worse effects on the world.

waikikamookau Tue 01-Oct-13 09:05:08

apparently it wouldn't happen here because we have parliament.
it does seem to be being played down somewhat. although the term shutdown is rather serious.

3asAbird Tue 01-Oct-13 09:07:27

well the problems with republicans these day is they too extreme , very right wing and fragmented by growing tea party vote and the vote depends what state Maybe if their were more charasmatic republicans by regan.

Bush junior wasent his greatest fan but he led america through some dark times and dont think he was thick as he was portrayed.

Obaba had such great hope but not sure how much hes really achieved. hes annoyed me over bp, he annoyed me over syria he has these habit of making the speech we need to do this and we cant as congress or our allies wont support us.

This morning his video blames congress.
Im always shocked when presidents do speeches how they talk always telling everyone they heroes , work hard and we america appreciates you cant see dave saying that to us he thinks most of uk lazy layabouts.

I saw last night that war vets wont get pensions.

Health care was never quite sure how it worked knew it was something employer did but did wonder if unemployed how they get treatment but then on shows like er they seemed to get free healthcare.

Also childbirth seems overly expensive there as they have loads checkups, doctor ew midwives who can take charge of ladies care , high rates c section, low home birth option.

So today 700,00 out of work.
if tourists on holiday they wont be able to see major things

from outside usa looking in it makes usa look like a silly mess.

Every time theres a shooting think why cant they pass decent gun laws.

Its really how the markets react i guess as they bit broke.
I forsee recesson if they dont sort it quick.

niceguy2 Tue 01-Oct-13 09:28:28

Oh the recession is coming. Mark my words. The US keeps avoiding tackling their debt problems and just keep extending the debt ceiling. It's the equivalent of keep extending your overdraft.

Neither side can really do what's necessary to tame their deficit. To do so would involve massive cuts on their military and raising taxes substantially. Neither is politically popular and almost suicidal.

So they just keep kicking the can down the street and hoping someone else gets the blame. Eventually the markets will force them to deal with it but the rest of us will suffer.

3asAbird Tue 01-Oct-13 09:37:46

He did mention on am broadcast before he god blessed everyone and america that the wars are ended and army will be scaled back they one of biggest employers in the USA.

Yes im sure markets will force hand like they have in Europe.

It looks like Hilary clinton be next democrat candidate, not sure on republicans mitt wasent good enough they need a more moderate central republican without extreme views.

Its just exposed their political system as join adequate that the senate is thinking on self interest not doing their job.

Also what shocked me is how much campaigns cost.How they really nasty and slander people in elections.

meditrina Tue 01-Oct-13 09:45:23

Here's another article on what is and what isn't affected.

Veterans' pensions are unaffected for now, but (like quite a few other things) could be in serious difficulty if it goes on for more than a couple of weeks - which is also about the timing for the debt ceiling deadline.

3asAbird Tue 01-Oct-13 10:00:27

sorry sound dense the ones who are being paid-wheres the money coming from to pay them?

edam Tue 01-Oct-13 10:07:12

Shows the Tea Party Republicans are even more nuts than anyone thought... What a bunch of vandals.

3asAbird Tue 01-Oct-13 10:23:24

watching paper reveiw on wright stuff and not even on front page of news papers its still minor news here.

Bowlersarm Tue 01-Oct-13 10:42:56

niceguy I have a very uneasy feeling there will be a huge recession coming. Have you an opinion about the timescale i.e. when would you expect it?

SDhopeful Tue 01-Oct-13 12:19:10

Shockiong the apathy in the UK about it. Too simplistic however to 'blame the reublicans' tho' as the mumsnet/guaradian readers orthodoxy obviously are.

SDhopeful Tue 01-Oct-13 12:20:00

NiceGuy spot on.

niceguy2 Tue 01-Oct-13 12:33:48

Personally (and this is purely my own opinion) I don't think there's a big chance of a recession soon. The US economy is picking up and politician's will raise the debt ceiling until either there's a president strong enough/suicidal enough to sort their problems out. Or the market stops lending them money at the rates they currently enjoy (just like Greece).

Given the size of their economy and the fact they're the world reserve currency I'd say it won't be for a while. I'd say next within 5-8 years I'd guess.

Let's hope the politician's can avoid this by trimming down their stupidly sized military and raise taxes.

Bowlersarm Tue 01-Oct-13 12:45:43

....I'll carry on trying to get mortgage and debt down in the next five years then, niceguy.

I don't think it'll be any time soon either, there are still ways and means for governments to delay it happening. I do think that they can't put it off forever though, and it seems to be inevitable at some point.

niceguy2 Tue 01-Oct-13 12:49:55

Oh god don't make any decisions based on my guesswork lol

If i knew, i'd be a rich man!

It could all go shit shaped on Oct 17th if they don't agree on raising the debt ceiling. Right now the Democrats (rightly) are not budging cos to budge now invites the tea party nutters to demand more in a couple of weeks time.

The markets are nervously watching to try & predict what will happen on Oct 17th. People are less bothered about the problems today because sending federal employees home won't have any real effect on the world economy.

Not paying their debts...given they have such huge debts...that's a big one!

scaevola Tue 01-Oct-13 12:54:24

I think you can blame the republicans for forcing the shutdown, as that is a direct consequence of the failure to pass a budget.

But I agree that as this heads towards debt ceiling deadline, it's far less a directly partisan issue.

3asAbird Tue 01-Oct-13 13:07:04

Its not all republicans just the are right ones and tea party it seems.

Its bit like poker with no one wanting to show their hand too soon.

I saw on us news channel today as uk news hardly covering it that if went on or a month would wipe 1/4%of us gdp for the year.

The debt ceiling im guessing they wont play hardball over that as dangerous game that could prove suicdal.

I forsee higher unemployment is usa in future years as that cant sustain ther massive defense budget during peacetime and many cuts will have to be made.

The uk media potrays democrats in same was as labour they love spending and the republicans like tories want to prove how conservatie they are and tackling the defecit.

They need to find some middle ground.

niceguy2 Tue 01-Oct-13 13:22:29

In my mind it's not really Labour (Democrats) vs Conservatives (Rep).

It's more akin to Conservatives (Democrats) vs UKIP (Rep). With the tea party being even more right wing. Now that's a scary thought!

Bowlersarm Tue 01-Oct-13 13:33:39

Niceguy - I won't.

Although I scare myself reading articles by/watching interviews with the likes of Nouriel Roubini, Peter Schiff et al. They are dramatists but plausible. Well, I think so. Although even they can't predict when it will all go pear-shaped.

NicholasTeakozy Tue 01-Oct-13 13:49:39

I can't wait for Max Keiser's take on this. Unfortunately I'll have to, his show's not on till Thursday. sad

If they agree a deal they'll be fine, unless Bernanke decides to taper ie suspend QE, as that will send Wall Street into decline. But the problem with QE is he's going to have to print more and more 'money' to have the same effect, and even that will eventually fail. Weimar Republic anyone? Zimbabwe?

I hope the US public remembers what the Teapublicans are putting them through and kick them to the kerb in the mid-terms.

MinnesotaNice Tue 01-Oct-13 13:53:25

Couple of points (and I am by no means an expert on this matter):

Firstly, much like the ongoing teachers' strike currently occurring here in the UK, this shutdown is about TWO sides who are currently not able to reach an agreement--blaming just the Republicans is too simplistic.

Also, contrary to what was posted, Obamacare (aka Affordable Healthcare Act) was NOT voted on by voters. That's not how it works in the US. As a representative government, this legislation was passed by a Democrat-controlled House and Senate back in 2010. However, now the House is controlled by the Republican party and many within the Republican party do not want an American-equivalent of the NHS. The Republican politicians are simply following the wishes of their constituents who are overwhelmingly against this legislation.

Many in the US agree that the healthcare system does need to be reformed. Unfortunately, Obamacare is considered by many to be a badly thought-out piece of legislation that has already been exposed as having numerous issues. Republican aren't even arguing that it should be scrapped, only to wait a year before implementing it since it is so unpopular.

BTW: In response to another post: "A US colleague of mine is just switching jobs and has found his health insurance will go from $600 to $1200 PER MONTH. And he has no kids...just his wife. WTF!?!? And their politician's still think NHS aka socialised medicine is a bad idea!?!?!"

Almost across the board, premiums have risen at an unprecedented rate since the passage of this bill. And, after reading countless threads on this site bemoaning the 3-4 weeks wait for appointments and patients left on gurneys in hospital hallways, honestly, I'd prefer to stick with my private healthcare in the US.

niceguy2 Tue 01-Oct-13 14:11:36

Hi Minnesota

Thanks for posting that. I confess I don't understand the intricacies of US politics but to the rest of the world it does appear pretty bizarre.

With regards to your last point though. The NHS isn't perfect. Neither is the American system. So yes....I can understand why you'd want to stick to your private healthcare system but the difference is here that we don't turn people away based on their ability to pay.

It was very illuminating to me a few weeks back when I was having dinner with a few US colleagues. And they were discussing how much they paid for their insurance. How much their co-pay was for xyz. How when one fell off her horse and was in a coma, her husband didn't know how much it would cost them. It was all done in a very matter of fact way much like we'd talk about the weather in the UK.

To me it was utterly alien. If my wife was injured and in a coma in hospital. Not once...never would it even cross my mind about how much such care would cost.

Don't get me wrong. A lot of brit's have private healthcare too. I have it via my company much like I suspect you have. But i'd never begrudge paying taxes for our NHS so others can benefit from it.

noddyholder Tue 01-Oct-13 14:14:38

minnesota are the republicans blocking it because of what will suffer by redirecting money into obamacare?

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