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3 Bumps

Can someone explain this to me?

If Clinton left a surplus, why did they need to raise the debt ceiling in 1996?

Answer Question
 
Carpy

Asked by Carpy at 4:29 PM on Jul. 12, 2011 in Politics & Current Events

Level 39 (114,053 Credits)
Answers (17)
  • So in 1978, Dick Gephardt quite sensibly tied the debt ceiling to the budget: Once Congress decided how much we were going to tax, spend and borrow, the Treasury Department was authorized to carry out those instructions. In 1995, House Republicans wanted leverage over President Bill Clinton, so they brought the debt ceiling back. It’s easier to get people to listen to you if you threaten to destroy their credit rating if they don’t. And now, in 2011, they’re doing it again.


    http://www.talkleft.com/story/2011/4/22/112827/318

    UpSheRises

    Answer by UpSheRises at 4:38 PM on Jul. 12, 2011

  • I don't know, but tying the debt ceiling to the budget was not sensible. It's essentially saying that we will spend however much we want and borrow whatever we need to make that happen.
    Mom2Just1Kiddo

    Answer by Mom2Just1Kiddo at 4:40 PM on Jul. 12, 2011

  • The short nonpartisan answer is because the debt ceiling has nothing to do with the budget.
    UpSheRises

    Answer by UpSheRises at 4:41 PM on Jul. 12, 2011

  • So in 1978, Dick Gephardt quite sensibly tied the debt ceiling to the budget: Once Congress decided how much we were going to tax, spend and borrow, the Treasury Department was authorized to carry out those instructions. In 1995, House Republicans wanted leverage over President Bill Clinton, so they brought the debt ceiling back. It’s easier to get people to listen to you if you threaten to destroy their credit rating if they don’t. And now, in 2011, they’re doing it again.

    http://www.talkleft.com/story/2011/4/22/112827/318
    UpSheRises

    Answer by UpSheRises 3 minutes ago

    So how about the other half of that story? And that really does not reflect the question that I asked.
    Carpy

    Comment by Carpy (original poster) at 4:45 PM on Jul. 12, 2011

  • The short nonpartisan answer is because the debt ceiling has nothing to do with the budget.
    UpSheRises

    Answer by UpSheRises 3 minutes ago
    35021 Level 28 1 star1 star1 star1 star Politics & Current Events Degree

    The debt ceiling has everything to do with the budget when you must borrow to met the budget.
    Carpy

    Comment by Carpy (original poster) at 4:47 PM on Jul. 12, 2011

  • So how about the other half of that story? And that really does not reflect the question that I asked.


    Comment by Carpy (original poster) a minute ago


    Just because you don't like the answer doesn't mean it doesnt exist. You want the other half of the story go find it. Just because we had a budget surplus didn't mean our debt was erased, it just meant we had a little extra money that year.


    Also, if debt ceiling was tied to the budget we would be playing the game we're playing now.

    UpSheRises

    Answer by UpSheRises at 4:50 PM on Jul. 12, 2011

  • Just because we had a budget surplus didn't mean our debt was erased, it just meant we had a little extra money that year.

    We did not have a surplus. We can not mathematically claim a surplus when debt is continuing to rise. I will give Clinton credit along with working with a rep congress for at least making progress toward surplus territory however he was far from actually giving us a surplus. He used the standard budget gimmicks. Starting with a toal raid of the SS fund.
    Carpy

    Comment by Carpy (original poster) at 4:59 PM on Jul. 12, 2011

  • Just because you don't like the answer doesn't mean it doesnt exist. You want the other half of the story go find it.

    I already know the other half and the truth is somewhere in the middle. But it failed to address the question. You just opened up another entire question in my post.
    Carpy

    Comment by Carpy (original poster) at 5:00 PM on Jul. 12, 2011

  • Just because we had a budget surplus didn't mean our debt was erased, it just meant we had a little extra money that year.

    I did not say it was erased. I am saying we did not have extra money and we would not have needed to raise the debt ceiling if we were heading to a surplus.
    Carpy

    Comment by Carpy (original poster) at 5:02 PM on Jul. 12, 2011

  • There wasn't a real surplus and any extra money should have went to pay back social security that our Congress raided.
    Anonymous

    Answer by Anonymous at 5:07 PM on Jul. 12, 2011

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