Letters to the Editor

Your views in 200 words or less

Tag: national deft


DEBT: We’d still be hurting even if supercommittee succeeded

Your editorial of 11-23 contains an error that cries out for correction. You say the congressional supercommittee was tasked to find a way to “reduce the U.S. government’s debt – which just exceeded $15 trillion – by $1.2 trillion.”

In truth, its goal was to reduce the federal deficit by $1.2 trillion over 10 years. This is a “paltry” $120 billion per year, less than 10 percent of the annual deficits we are currently running, and the members could not bring themselves to accomplish even that.

Had the supercommittee succeeded, we would still have been on track to add

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DEBT: Default shouldn’t even be considered

The United States has never defaulted on its debt. As a result, statements such as this are familiar to investors around the world: “Bonds issued by the U.S. Treasury are backed by the full faith and credit of the U.S. government and therefore considered to have no credit risk.”

The consequences of a government default are harsh. Suddenly the safest investment is precarious. Where would you put your money? Where would pension fund managers put money?

Mortgage rates generally rise and fall along with yields on Treasury securities. What will happen with higher mortgage rates? Interest rates, including the interest

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