Why America should default on the debt

Discussion in 'Political Issues' started by TheDreadnought, Oct 25, 2020.

  1. railfancwb

    railfancwb

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    https://www.measuringworth.com/calculators/ppowerus/
     
  2. Syclone0538

    Syclone0538

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    You can't spend more than you make forever, something bad is eventually going to happen. My guess is printing and hyperinflation.
     
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  3. bdcochran

    bdcochran

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    1. Argentina has defaulted more than once. Speculators bought up already issued bonds and international lawsuits are on-going.
    2. Private bank currencies can be issued in the USA. However, there is about a 10% tax on each issued bill.
    3. Heck, even Greece has defaulted about 8 times since 1875.
    4. There is no way in h-ll to "pay" American holders of bonds and stiff foreign countries. All that has to happen is "a foreign country" (which may be a bank with locations all over the world) endorse the bond over to an American company, an American individual, or a friendly foreign country.
    5. The US came close to defaulting by the end of WW2. Truman was getting warnings that the war economy could only go for about another 18 months and then it would be belly up time.
    (Incidentally, old timers. Do you remember LBJ's pronouncements in the mid 1960s that the involvement in Vietnam wasn't costing much money? I do. And, I will tell you why. The first two years of that war were spent using up left over equipment from WW2. That is how much money was stockpiled in war materials.)
     
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  4. NMG26

    NMG26

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    I forgive you your debt

    That was easy
     
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  5. Geeorge

    Geeorge Sarcasm Inc.

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    I'd rather stop all aid to foreign countries
     
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  6. Timmy bigtime

    Timmy bigtime

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    Tell that to the career politicians. Their behavior shows me they believe it is a grand circus. Lie, cheat, and steal seems to be what they are best at. No ideas for future or growth. You know, the whole reason we vote for representation. They just plot and sceam to win elections and steal from citizenry. I cannot remember the last time I heard real motivational ideas to further the American way. Seems its keep the status quo and get rich doing it. That's their plan. Easy plan is to abolish all alphabet agencies. Empower local law enforcement. Use excess money towards paying down debt. Blacklist all former alphabet agency employees from ever working in any law enforcement and government jobs. Delete and deny any of their pensions. Stop all communist indoctrination in every school from elementary to college. Relocate any communist leanings teachers and professors to communist countries. They gave up their citizenship when they gave up American ideals. This would be a damn good start. Oh, and get rid of all the bs red tape. You shouldn't need building permits to add a bathroom. Just make sure you follow certain real building codes so that it's safe. Make government and their reach small as constitution intended. Congress and Senate should only meet for 3 months. It was never intended to be a full time position.
     
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  7. pairof44sp

    pairof44sp

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    Imagine running for office on this platform. I don't think you'd even make it to the podium before.... tragedy occurred.
     
  8. Timmy bigtime

    Timmy bigtime

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    Nevertheless, it's what needs to happen.
     
  9. BlueBayShepherd

    BlueBayShepherd

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    You're uninformed.


    Inflation is not "really low for years."

    Over the past 100 years, the dollar has lost most of it's value (purchasing power) due to Uncle Fed's money printing.


    [​IMG]


    [​IMG]



    [​IMG]


    The following graph shows the value of the US dollar (purchasing power) compared to the amount of dollars in circulation since 1970. As you can plainly see, the value (purchasing power) of the dollar has drastically declined since 1970, while the amount of dollars in circulation has drastically increased since 1970.

    [​IMG]



    In the 1950s, you could buy candy for a few cents. That same candy today will cost you over a dollar.



    The value of the dollar is steadily declining due to uncontrolled money printing by Uncle Fed ($6.7 Trillion printed since March 2020 alone).
     
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  10. TheDreadnought

    TheDreadnought

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    You are a self-deluding idiot. Going back to 1900 to try and make a point about the modern economy. That’s a laugh.

    Average annual inflation hasn’t hit 4% in 29 years. (That’s since 1991 since numbers don’t seem to be your strong suit.)

    The majority of years since then it has been less than 3%.

    There was in fact a year with annual average DEflation! (-.4% in 2009)

    Inflation hasn’t been a serious problem in decades. Meanwhile the debt has escalated through the roof over the same period of time. Your premise is bunk.

    Normal 2%ish level inflation is anticipated and healthy. If we tried to shut that down by extreme measures it would totally wreck the economy. This idea that we should have a permanent steady value dollar is stupid. What problem are you even trying to solve by doing that?

    Thank god you’re not on the Fed. You’d put us into another great depression.
     
    Last edited: Oct 26, 2020
  11. BlueBayShepherd

    BlueBayShepherd

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    From 1971 to 2018, the value of the US dollar has decreased by more than 84% due to Uncle Fed's money printing.


    [​IMG]



    That would be bad enough if only inflation was happening.


    But it's even worse than that, since the money that is being printed out of thin air ISN'T even debt-free.


    Each year the value of the money you earn decreases, while each year the amount of money owed by the US government to the private "Federal Reserve" bank increases.


    That's because since the 1913 creation of the "Federal Reserve", the US government cannot print its own money.


    Instead, the US government is forced to borrow money (which must be paid back with interest) from the private "Federal Reserve" bank.


    An important function of any government is the power to print its own currency. Even in ancient times, kings and emperors minted gold/silver coins with their face on it.


    But since 1913, the power of the US government to print money has been unconstitutionally usurped by the private "Federal Reserve" bank.


    Since the creation of the privately-owned "Federal Reserve", the US government can no longer print money itself. Instead, it must borrow it from the private "Federal Reserve" bank, which is allowed to create money out of thin air.


    The "Federal Reserve" has a great (for them) scam running. They get to create money out of thin air at whim, and the US government borrows this money and has to repay the "Federal Reserve" with interest, either by borrowing even more money from them, or from taxes.


    In other words, each year the US government (and hence, the American people) become more and more indebted to the private "Federal Reserve" bank, while the value of the money you earn continually decreases.


    Thus, the privately-owned "Federal Reserve" is putting Americans into debt slavery while making enormous profits, AND at the same time, due to their money printing they are destroying the value of the dollar.


    The American people are being screwed by the "Federal Reserve" both ways.


    The more money the "Federal Reserve" prints and loans to FedGov, the more profits the "Federal Reserve" makes from being repaid with interest, while the value of the money you earn decreases each year due to the increased amount of money in circulation.


    The privately-owned "Federal Reserve" bank is basically profiting from destroying the value of the US dollar while simultaneously putting millions of Americans into financial hardship or poverty.
     
  12. TheDreadnought

    TheDreadnought

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    You’re making random assertions that have no factual basis and offer no proof at all.

    Please explain how the Fed is putting millions of people into “Financial hardship and poverty.” Show proof of your assertion.

    That’s ridiculous conspiracy talk.

    No doubt you’re a sovereign citizen also?
     
  13. nursetim

    nursetim

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    :rofl: :rofl: :rofl: do you know how money is really created? I’m not talking about the act of physically printed.
     
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  14. BlueBayShepherd

    BlueBayShepherd

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    You clearly don't understand macroeconomics.

    While 3% a year might not sound like much, it adds up over time, as the graphs I posted show.


    So what?



    Did you even look at the graphs I posted? If you did, it's obvious that you don't understand what you're looking at.


    The graphs (which use the Federal Reserve's own data, along with US Government data) prove the opposite.

    Over the past 100 years, the US dollar has lost almost all of its value. Since 1971, the US dollar has lost 84% of its value. Meanwhile, the amount of dollars in circulation has increased 32X due to Uncle Fed's money printing.


    No it isn't, because it decreases the value of the dollar's purchasing power. You sound like an apologist for the "Federal Reserve."

    2% per year might not sound like much, but over multiple years, the damage to the purchasing power of the US dollar is significant (as the graphs I posted clearly prove).


    Besides, my main concern is not so much with inflation, but the fact that the money contributing to the inflation isn't debt-free.


    Damaging the purchasing power of the US dollar due to inflation is bad enough.


    Damaging the purchasing power of the US dollar WHILE SIMULTANEOUSLY putting the American people into debt slavery to enrich a private bank that prints money out of thin air, is EVEN WORSE.


    This can be solved by returning the power of money printing to the US Treasury, instead of that power being held by a private bank.


    At least if it's the US Treasury printing money to increase the 2% annual inflation you love so much, that inflationary currency will be debt-free.
     
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  15. TheDreadnought

    TheDreadnought

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    I actually have a very good grasp of macroeconomics. You apparently only know how to copy stuff on the internet.

    You still have offered ZERO proof that the Fed is pushing people into poverty.

    I’ll give you one more shot. Show some proof.

    With respect to the dollar having lost much of it’s value over the last 120 years. So what?

    In the real world, people get a raise every year that covers the inflation and adds a little bit more to their real income.

    Our economy is the strongest in the world, and we dominate the global marketplace.

    The strength of our economy has driven massive wealth creation in the stock market and in real GDP.

    During my career, over the last 22 years my investments have returned about 16% on average. That adds up a WHOLE lot faster than 2% inflation.

    I’ll take the inflation, thanks.

    If you bury your money in a hole and then complain it’s worth less 30 years later. That’s on you.
     
    Last edited: Oct 26, 2020
  16. 10or45

    10or45 NRA Benefactor Life Member

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    ...
     
    Last edited: Oct 26, 2020
  17. BlueBayShepherd

    BlueBayShepherd

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    Ummmm, what?


    Specifically which assertion that I've made is false in your view?


    Have you even looked at the graphs?


    It's a simple concept: the more money in circulation, the less value each dollar has, because more dollars are available.


    How can you not comprehend this?

    :brickwall::brickwall::brickwall:



    Wages have not risen at the same rate as inflation.


    Thus, people are being pushed into poverty/financial hardship, because they are earning the same amount of money (or at least, less than the rate of inflation), but that money is worth less than it used to be.


    And WHY is that money worth less than it used to be?


    The money is worth less than it used to be BECAUSE the "Federal Reserve" printing trillions out of thin air and pumping it into the economy.


    That's how the "Federal Reserve" is putting Americans into poverty/financial hardship.


    The "Federal Reserve" money printing is decreasing the value of the dollar, causing inflation, which raises prices and damages the purchasing power of the dollar.


    For example, in the 1970s, $20,000/year was a good salary. A person earning $20,000 in 1970 was considered solidly middle-class, and could afford a nice house, nice car, vacations, etc.


    Today, a person earning $20,000/year would be below the poverty line.


    That's because prices have increased due to inflation, while the value (purchasing power) of the US dollar has decreased due to inflation.
     
    Last edited: Oct 26, 2020
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  18. nursetim

    nursetim

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    All the presidents that have been assassinated have one thing in common, they attempted to change our monetary system and policy.
     
  19. BlueBayShepherd

    BlueBayShepherd

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    You're either trolling or being intellectually dishonest.


    I've shown you plenty of proof, which you simply ignore.


    In either case, it's clear that you aren't willing to have an honest discussion.


    Until you respond with actual evidence instead of insults, we're done here. :p
     
    Last edited: Oct 26, 2020
  20. TheDreadnought

    TheDreadnought

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    You’re right. Wages have not risen at the same pace as inflation.

    In fact, wages have risen FASTER than inflation.

    The fact that the prices of a handful of particular goods have risen even faster has to do with the peculiarities of the market for those goods. Not the prevailing rate of inflation and not the Fed policy.

    Your’re just spouting leftist talking points, probably without even realizing it.

    Housing is expensive because of the way we build them and how we limit construction. Not because of inflation. It’s a supply/demand issue.

    Cars are expensive because of all the crap we put into them and the way we regulate them.

    That’s not inflation, that’s your government driving up prices through regulation.

    But leftists like to bake stuff like that into the inflation rate and talk about the poor downtrodden and oppressed people.

    Since 1900 America has risen from an economic lightweight into the world’s only global superpower. Trampling a couple other super powers to get there along the way.

    Americans, at a macroeconomic level are better off than just about anybody else in the world. We dominate global trade, the financial markets, and tech innovation. It’s hard to argue with success.

    But yeah, we’re all poor and oppressed.
     
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