What the US Shutdown Means for Aus

[icyfroth]

For Australia, the implications of the world's biggest economy closing down will be small at first, but will cause worries for investors if the US budget impasse drags.

At midnight in Washington (1400 AEST), the United States government will effectively shut down unless warring Republicans and Democrats come to a last minute deal to extend its budget.

US politicians have been unable to strike agreement on funding the government's day-to-day spending on core services, including most public service wages.

Republicans in Congress have sought to make de-funding President Barack Obama's healthcare initiatives a condition of any budget approval - a move opposed by Democrats and the President himself.

In addition, the same opposed parties will have to vote by mid-October to raise the US government's already enormous borrowing levels, with a failure to do so raising the prospect that the US government could default on its debts.

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ooh wah

[icyfroth]

For Australia, the implications of the world's biggest economy closing down will be small at first, but will cause worries for investors if the US budget impasse drags.

At midnight in Washington (1400 AEST), the United States government will effectively shut down unless warring Republicans and Democrats come to a last minute deal to extend its budget.

US politicians have been unable to strike agreement on funding the government's day-to-day spending on core services, including most public service wages.

Republicans in Congress have sought to make de-funding President Barack Obama's healthcare initiatives a condition of any budget approval - a move opposed by Democrats and the President himself.

In addition, the same opposed parties will have to vote by mid-October to raise the US government's already enormous borrowing levels, with a failure to do so raising the prospect that the US government could default on its debts.

Click Here To View Full Article

Ooh Waaah

[cherry*135]

Any shutdown – even if it only lasts a day or two – will push the Australian dollar higher, says Evan Lucas, a market strategist at IG Markets. .

“There’s a very real possibility of reaching parity by Christmas,” he said. “It’s out of our control.

[icyfroth]

oh well that's alright then

[ca04]

What the US shutdown means for  us? Entertainment ! :-()

[spotweldersfriend]

I hope it means the Tea Party gets caned at the next election.

[acacia_pycnantha]

Must have a short memory my friend.

Doesn't anyone remember the last time the US govt threatened to shut down?

Brinksmanship par excellence, but after all, it's Business as usual and the Republican party will sabre rattle and shake their fists and even maybe bite their thumbs, but a shut down of the US govt isn't going to happen in this century, saving a nuclear bomb or two from their worst enemies.

To quote an infamous Australian, albeit on another matter . . . "There's commercial interests to protect."

[acacia_pycnantha]

The Republican party is threatening to shut down the US govt by not voting to go into ever deepening debt to fund the country's supply bill.

They want to link their vote to a dismantling or castration of what has come to be known as Obamacare.

Being advocates of a "free market" where providers of medical care and those who insure against the need for medical care make squillions of dollars, the US Republican party (the somewhat equivalent of our Liberal party) will do everything in their power to ensure that the people have to pay through the nose for a service which ought to be supplied for free in any truly civilised country.

(Free, means funded by taxation.)

There is something immoral and truly distasteful in offering medical care for profit. It's not as if those who have a need for such have any choice.

We have Medicare. Would anyone here like to give that up in favour of a totally fee-for-service private medical system?

"Charge what the market will bear" should not be a mantra of those who provide essential medical services.

[the_great_she_elephant]

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@spotweldersfriend wrote:
I hope it means the Tea Party gets caned at the next election.

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I believe that  last time the Republicans pulled the same stunt, it rebounded on them very badly and was the key factor in winning Clinton his second term in office.