Yes, and only YOU have the RIGHT numbers...
How ridiculous.
Yes it is possible to pay off the debt, and balance the budget. We certainly will not default. Before the government did that, they would, with one click of the mouse, pay off the debt, and instantly devalue your retirement fund (if it is in US dollars, anyway). Its actually quite easy.
What's the worse case scenario if we don't raise the debt limit?
Discussion in 'Political Debate & Discussion' started by Skandelon, Jul 21, 2011.
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United States National Debt An Analysis As you will see the debt has never went down.
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So again, we will not default. In fact, the idea of a default is completely outside the realm of possibilities. We will either get our act together, and balance the budget, or in effect "cheat" by printing more money. -
:laugh:
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Call it what you want the debt cannot be fixed. We will default in the near future and lose just about everything we have because of a devalued dollar. -
>It would just devalue the dollar tremendously ( a GREAT thing for those with home mortgages, car loans, and so on).
That's why you gots to differentiate between money inflation and price inflation. We will get price inflation. The cost of consumer goods will skyrocket but they will get their mortgage payments. -
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righteousdude2 Well-Known MemberSite Supporter
We Will ONLY Know IF.....
....it comes to pass! Let it happen and let's see if the world ends, of if we just have one more reason to not trust what our elected leaders tell us! -
Government IOU's do not equal "self-sustained."
Furthermore, we are approching a 1:1 ratio (contributors to beneficiearies) fairly quicly. Furthermore, life expectancies are now such that many will receive SS for decades (something FDR didn't have to factor in).
You couldn't be more wrong about Social (in)Security, a.k.a., "Legalized Ponzi Scheme," a.k.a., "Congress' secret cookie jar," a.k.a., "My kids likely won't see a dime of this." -
Call it what you like this is all going to come crashing down. No amount of shuffling of number will stp that as the debt cannot be fixed. -
SS is not the problem as it is pay as you go and there is 2.5 in bonds in the system even if they are held by a government that is broke. The problem is the over spending of funds that are not there and since it has went on for so long it is now past correcting. We will default in the near future. -
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The value (purchasing power) of the dollar has been devalued 95 - 97% since the Federal Reserve system was created in 1913. So, there isn't much wiggle room left for further devaluation.
Look at it this way, what cost 20 dollars in 1913 now costs around 450 dollars! This is the effect of creating money from nothing.
QE2, what happened to the money?
In effect 600 billion dollars plus or minus a few billion was taken out of our pockets and handed to foreign banks where it now sits collecting interest. How does this help our economy? It doesn't!
Setting Things Right
Whatever is responsible for causing the local credit crunch, trillions of dollars thrown at Wall Street by Congress and the Fed haven’t fixed the problem. It may be time for local governments to take matters into their own hands. While we wait for federal lawmakers to get it right, local credit markets can be revitalized by establishing state-owned banks, on the model of the Bank of North Dakota (BND). The BND services the liquidity needs of local banks and keeps credit flowing in the state. For more information, see here and here.
Concerning the gaping federal deficit, Congressman Ron Paul has an excellent idea: have the Fed simply write off the federal securities purchased with funds created in its quantitative easing programs. No creditors would be harmed, since the money was generated out of thin air with a computer keystroke in the first place. The government would just be canceling a debt to itself and saving the interest.
As for “quantitative easing,” if the intent is to stimulate the economy, the money needs to go directly into the purchase of goods and services, stimulating “demand.” If it goes onto the balance sheets of banks, it may stop there or go into speculation rather than local lending — as is happening now. Money that goes directly to the government, on the other hand, will be spent on goods and services in the real economy, creating much-needed jobs, generating demand, and rebuilding the tax base. To make sure the money gets there, the 1935 law forbidding the Fed to buy Treasuries directly from the Treasury needs to be repealed.
SOURCE
Better yet, abolish the Federal Reserve system along with it's unconstitutional enforcment arm known as the IRS! -
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InTheLight Well-Known MemberSite Supporter
http://upload.wikimedia.org/wikipedia/commons/3/3b/USDebt.png -
The debt is too great to fix and we will go under as a nation.
http://cedarcomm.com/~stevelm1/USDebt.png
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