Staring at the ceiling

It's something I never particularly cared to get dragged into. It's something that my husband refuses to talk to me about. It's purely political not economical (for now), and I mean politics with a small 'p'(for now), despite what the media would seem to imply.

Is it a Shakespearian farce?
Is it a Greek comedy?
Is it an episode of Monty Python?
No, siree, it's the DC beltway tussle over the US debt ceiling.

I only mention it now, and selfishly so, because it's coming very close to the time that I thought a 'midnight hour' deal would have been achieved. I do still truly believe that they'll pull a ragged looking, beaten ol' rabbit puppet out of their magicians' hat by August 2 and the world will be saved and the DC belt can keep on turning. It does make me very nervous however, and like I said, Mr won't talk about it. He is nervous too.

His government is having a huge, embarrassing domestic at the supermarket checkout.

The best basic description of this housekeeping argument can be found in genuine 'house keeping' terms courtesy of the fantastic pop-economist Tim Harford. He explains what happens if mummy can't find a job and keeps on buying handbags when the family still need to pay the mortgage.

Propublica offers a more extensive discussion which boils down to this: The US Constitution says that Congress has 'power of the purse' and decides what can be spent where. The US Government is into its overdraft, but also has high-interest loans to pay and a number of pre-agreed direct debits coming out of its account. Congress needs to decide whether or not to increase its overdraft limit, even though Congress knew (by tracking their interest-rates and expenditure) they'd reach the limit of their overdraft in August. Congress has increased its overdraft before, but not without a huge, rancourous tiff about household expenditure and income.

But this tiff is not about the US Government deciding to spend more than it has already agreed. As the US Treasury Secretary Timothy Geithner explained back in April: Increasing the limit “does not increase the obligations we have as a nation; it simply permits the Treasury to fund those obligations that Congress has already established.” Ignore all the potential deals and tax-rates and budgets for now, because they aren't really part of the short-term issue and nor should they be if a budget has already been agreed.

Poynter published some super background details on the subject, in its article "Seven mistakes journalists make when covering the debt ceiling debate." This article provides some important additional details to Tim Harford's simplified depiction of dinner table arguments.

If, after that, you want even more background reading, here's a handy reading list of some of the media's attempts to explain this very political crisis.

Pay special attention to the section of the reading list on what happens if the debt limit isn't raised. This is where the politics ends and the speculation begins. The Financial Times put it best last week, envisioning a scenario as the Treasury reaches the dregs of the overdraft and receives a call from the Fed: "would you like to put more money into your account or stop the payments going out?"

It is widely predicted that if the debt ceiling is reached next week, then the US government will have to stop paying for 'non-essential' items, stuff that it had already commmited to paying such as staff members (including military staff), social security, unemployment benefits, etc. This wouldn't happen immediately, as I understand; only when the Treasury is unable to balance revenue (tax) versus expenditure (spending plus debt interest) will things get halted, cut back, prioritised.

This ABC news article from April, when the US Government was close to shutdown over budget negotiations, has a list of offices and functions that would cease operation. I shall be explicit that this is not the same situation as in April, but it's worth looking at for an idea of what could be cut back on if the US sees 'no deal' in the coming weeks.

The reason I said I was selfish in mentioning this issue is because one of the functions that would likely halt is, of course, visa processing. Visa applications and petitions would pile up on empty desks, creating bureaucratic backlogs for when the budget situation was solved. If it came to this, though, at least we could wait, and we're certainly good at waiting.

Unfortunately I'm not sure those who await pay packets or benefit cheques could wait as long as us. I hope those taking part in this check-out conveyor-belt barney do realise that it's not just the stock markets that are anxiously following this tussle, but that ordinary peoples' lives are affected too.

stairmaster 3000

As you will have noticed, I have had little to say about job hunting recently. That's because I am taking a break, and I've put the career search on hold for a short time. My current job is great fun (tinned pumpkin aside) and I'm also very excited to announce something else:

I have paid off my overdraft!

I am indeed back to black. As you may recall, this was the first step in my five step plan, so now I can concentrate on saving a bit of money, and (gulp) learning to drive, which I promise, promise will start in the new year.

So this, along with graduating a few days ago (woohoo!) has made it a very good week for me.

But it's difficult to see my friends in different states of post-graduation despair. I see facebook status updates, receive text messages, and have conversations with people very close to me who are struggling in dealing with this time. I hear bitter words from friends who don't know what they want to do with their lives; those who do know what they want to do but are finding it impossible to get on the career ladder; those who thought they knew but it's not quite working out.

Some of my friends have just left Universityville, and have also just begun the rite of passage of uncomfortable disillusionment that occurs in the period between Uni and starting a career. I know how it feels. I spent 2 years reading up on jobs and job hunting, because I was doing the awkward shift into entry level work while still studying. I had the panic-ridden thoughts of "what am I doing?"
"what SHOULD I be doing?"
"am I doing the right thing?"
"Is this all I am worth?"
"Why can't I get where I want to be?"
"Is this it?"
"Why didn't I do things differently? Would it have made a difference?"
"Why won't someone give me a break?"
"What else can I try?"
"If this is all I can get, why even bother?"
"Where does all my money go?"
"Why is everyone else getting better opportunities than me?"

It's difficult to know what to say back to my friends though because I can relate all too well. Practical advice is usually not what they want to hear, and empty words like "I am sure it will turn out fine" are meaningless and insincere.

Most people find their way during this horrible period. Some shake up their lives a bit, go travelling, sign on, reconsider their priorities, find their own coping mechanisms and then find a way of making money. It's not easy, and there's little to say to reassure people.

I can't pretend to be a careers expert; for a start I don't really have a career, but I do have a lot of experience of the job-hunting mill (at least more than one of my student friends who stepped inside the Uni careers centre for the first time recently and was so scared she ran away).

I already went through these thought patterns and now have a clearer idea of how things work as well as a clearer idea of where I want to be. I don't have a problem with admitting to people, or myself, that I am living with my parents and working in a deli and that my career is currently on hold. When I started my first job out of University, as a staff assistant for the government, I was thinking too much about what my next step would be. When I was studying for my MSc, I was thinking too much about what I was going to do when I finished and how I would afford to live. Panicking too much about the next step made me panic too much about the one I was currently sitting on.

There are lots of approaches to job hunting and career starting, but the one that has worked best for me so far is to take things slowly, to take things one silly step at a time. When I moved back home in September, I set myself some very small goals indeed. But as silly as these goals may seem, and no matter what happens next, achieving the first one this week has made me feel like everything is on track.

mixed nuts

I'm now in paid employment.

It's not very glamourous, but should be good banter and will help me along with achieving my multi-step plan:

1.Pay back my overdraft.
2.Earn some money.
3.Learn to drive.
4.Get some work experience in my chosen field.
5.Get on track with a related job. Bingo.

My student debt is not that bad. My student loan is somewhere in the ether gathering dust and interest, and my overdraft is manageable. Due to a mixture of hard graft and excellent budgeting, I'm actually in less debt from having completed my Postgrad degree than I was when I left studentville after my Undergrad. I count that as a huge success. It would have been even smaller, or non-existent, if I didn't get wanderlust for foreign climes, but hey, have overdraft, will travel.

I made the decision that I didn't want to commence the next part of my life while still in debt. I should add that by 'debt' I mean debt to the bank. My student loan is to remaining drifting in the governmental ether for some time yet, I fear. But with my parents being so generous with the whole bed and board situation, I'm glad I'll be able to get back to black in no time...theoretically.

Of course, this does not mean I am signing off the lol. This is but just the beginning. There's a whole lot of comedy to be found in career-hunting, paid employment, learning to drive, and of course, I'm sure our friendly political representatives will keep us endlessly entertained. Have a great weekend.