Home
Forums
New posts
Search forums
What's new
New posts
Latest activity
Members
Current visitors
Log in
Register
What's new
Search
Search
Search titles only
By:
New posts
Search forums
Menu
Log in
Register
Install the app
Install
Home
Forums
Brown Cafe Community Center
Current Events
debt ceiling
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Reply to thread
Message
<blockquote data-quote="Babagounj" data-source="post: 1209565" data-attributes="member: 12952"><p>Government default? It’s already happened, twice</p><p>According to Connie Cass of Associated Press, the U.S. government “briefly stiffed some of its creditors on at least two occasions.” The first default took place in November 1814, during the administration of James Madison, America’s tiniest chief executive. Just a few months after the British conquest of Washington, D.C. during the War of 1812, the Treasury was unable to move enough precious metal to service its debt, and missed interest payments on bonds. Boston bondholders, according to Wayne State College history professor Don Hickey, were paid off in short-term interest-bearing treasury notes or more bonds. These debt service troubles, and the war, were resolved within a few months.</p><p>A more recent default came in 1979 under President Carter, who, until Obama, held the record for presiding over the country’s longest post-World War II period of economic stagnation. Cass attributes the ’79 default to “a back-office glitch that ended up costing taxpayers billions of dollars.” She writes, “The Treasury Department blamed the mishap on a crush of paperwork partly caused by lawmakers who — this will sound familiar — bickered too long before raising the nation’s debt limit.”</p><p>Government default? It's already happened, twice | The Daily Caller</p></blockquote><p></p>
[QUOTE="Babagounj, post: 1209565, member: 12952"] Government default? It’s already happened, twice According to Connie Cass of Associated Press, the U.S. government “briefly stiffed some of its creditors on at least two occasions.” The first default took place in November 1814, during the administration of James Madison, America’s tiniest chief executive. Just a few months after the British conquest of Washington, D.C. during the War of 1812, the Treasury was unable to move enough precious metal to service its debt, and missed interest payments on bonds. Boston bondholders, according to Wayne State College history professor Don Hickey, were paid off in short-term interest-bearing treasury notes or more bonds. These debt service troubles, and the war, were resolved within a few months. A more recent default came in 1979 under President Carter, who, until Obama, held the record for presiding over the country’s longest post-World War II period of economic stagnation. Cass attributes the ’79 default to “a back-office glitch that ended up costing taxpayers billions of dollars.” She writes, “The Treasury Department blamed the mishap on a crush of paperwork partly caused by lawmakers who — this will sound familiar — bickered too long before raising the nation’s debt limit.” Government default? It's already happened, twice | The Daily Caller [/QUOTE]
Insert quotes…
Verification
Post reply
Home
Forums
Brown Cafe Community Center
Current Events
debt ceiling
Top