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Re: AugustaFriends post# 277321

Tuesday, 10/08/2013 12:50:53 PM

Tuesday, October 08, 2013 12:50:53 PM

Post# of 652805
Market doesn't see it like that. Right now the US has made commitments to pay $X to companies and individuals. Raising the debt ceiling will allow the US to sell treasury bonds to raise the capital to pay those bills. Whether or not the debt ceiling is raised, the US still owes that money.

Regarding the more debt, that is limited during the Congressional appropriation period, which will never happen during a shut down. Government needs to be open and working to limit debt. The shut down costs us more than being operational.

The tricky part with the market is the short run appears to be more concerned with taper or no taper, while the long run is concerned with more debt.


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