Quote of the moment, encore: President asks the Senate Majority Leader for help on the debt ceiling issue, November 16, 1983

November 16, 2013

Ronald Reagan preparing for a video address from the Oval Office. (Photo is from 1989; this post is about a 1983 address.)  Wikipedia image

Ronald Reagan preparing for a video address from the Oval Office. (Photo is from 1989; this post is about a 1983 event.) Wikipedia image

In a letter to the Majority Leader of the U.S. Senate, the President wrote:

This letter is to ask for your help and support, and that of your colleagues, in the passage of an increase in the limit on the public debt.

As [the Treasury Secretary] has told you, the Treasury’s cash balances have reached a dangerously low point.  Henceforth the Treasury Department cannot guarantee that the Federal Government will have sufficient cash on any one day to meet all of its mandated expenses, and thus the United States could be forced to default on its obligations for the first time in history.

This country now possesses the strongest credit in the world.  The full consequences of a default — or even the serious prospect of default — by the United States are impossible to predict and awesome to contemplate.  Denigration of the full faith and credit of the United States would have substantial effects on the domestic financial markets and on the value of the dollar in exchange markets.  The Nation can ill afford to allow such a result.  The risks, the costs, the disruptions, and the incalculable damage lead me to but one conclusion:  the Senate must pass this legislation before the Congress adjourns.

I want to thank you for your immediate attention to this urgent problem, and for your assistance in passing an extension of the debt ceiling.

Sincerely,

         Ronald Reagan

True then.  Still true now.

Letter from President Ronald Reagan to Senate Majority Leader Sen. Howard Baker, R-Tennessee, November 16, 1983.  The Treasury Secretary at the time was Donald Regan.

Tip of the old scrub brush to mainstream media pillar, The Washington Post, where a .pdf of the letter is available.

More:

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Quote of the moment: John Adams, on government debt

December 12, 2012

John Adams, by Asher B. Durand

President John Adams, painted by Asher B. Durand; U.S. Navy image, via Wikipedia

Our second President, the author of the Constitution and Bill of Rights of Massachusetts, John Adams was quite pragmatic about debt — use it when you have to, don’t use it too much. In his first Annual Message to Congress, on November 22, 1797, Adams said:

Since the decay of the feudal system, by which the public defense was provided for chiefly at the expense of individuals, the system of loans has been introduced, and as no nation can raise within the year by taxes sufficient sums for its defense and military operations in time of war the sums loaned and debts contracted have necessarily become the subjects of what have been called funding systems. The consequences arising from the continual accumulation of public debts in other countries ought to admonish us to be careful to prevent their growth in our own. The national defense must be provided for as well as the support of Government; but both should be accomplished as much as possible by immediate taxes, and as little as possible by loans.

Taxes over loans.  Who would have guessed that?

In contrast to some of the things circulating around the internet today attributed to John Adams, he actually wrote this in his message to Congress.


Slowpoke Comics on debt ceiling ultimata

July 24, 2011

At least one other person in the universe rather agrees with me that it’s odd as hell that anyone would take the debt ceiling issue to use as a bargaining chip.

Jen Sorenson tells the truth, the whole truth and little else, at Slowpoke Comics:

Jen Sorensen's Slowpoke Comics - Debt Ceiling

Jen Sorensen's Slowpoke Comics - Debt Ceiling (click image to read it full size at Jen's website)

What are the odds we can get the Dallas Morning News to carry this strip?


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