As the Internal Revenue Service continues its hunt for tax dodgers, Swiss banks are refusing to open accounts for Americans and closing the ones that already exist. The tax collectors aim to recover an estimated $50 billion in unpaid taxes by pressuring Americans to voluntarily declare offshore accounts by September 23 — or face possible criminal prosecution and fines.
The Congressional Budget Office (CBO) informed Rep. Paul Ryan, ranking Republican member of the House Budget Committee, that President Obama’s budget under-reported (and the CBO itself) the national debt in Obama’s budget by trillions of dollars by predicting unrealistically low interest rates on the national debt in a June 30 letter. Obama’s budget planned to increase the deficit from the current $11 trillion to more than $23 trillion. The CBO letter admits that those estimates may be optimistic by as much as $5.6 trillion.
The ADP National Employment Report estimated that the national economy shed some 473,000 jobs in June, which may be enough to bring the national unemployment rate to the 10-percent threshold once official figures are tallied later in the month.
"Today's razor-thin vote in the House spells doom in the Senate," Sen. James Inhofe (R-Okla.) predicted to the Associated Press of the American Clean Energy and Security Act ( a.k.a. “cap and trade”) immediately after the narrow 219-212 vote.
As the fallout from the global financial crisis continues, the burning question in international financial circles is whether the U. S. dollar, the world’s reserve currency since the Second World War, can retain its status. Chinese and Russian leaders have already signaled their distaste for continued dollar hegemony, and the latter have even taken the extraordinary step of publicly seeking assurances that their dollar-denominated assets — U.S. government debt — will be protected.