President Trump: Next Stimulus Bill Will Be ‘Very Generous’ And Announced In A ‘Couple Of Weeks’
The Dollar to become … The new penny … YA-a-a-a
A huge new stimulus with the debt at $27 trillion and climbing with the money supply at God knows where?
This one place where I have to disagree with Trump. There are already people who won’t go back to work because they are getting more on unemployment.
My niece’s husband is one of them. When the store where he works re-opened, he told them he wanted to be the last called for that reason. Sorry, but he needs a kick in the butt.
And, yea, the dollar is going to the new penny. When I was in London a few years ago, the one pound coin was like a penny. It had almost zero buying power despite the fact that it had an exchange rate similar to the current $1.30 to the pound.
Debt is imaginary, so we’ll be fine. I’m more concerned about Biden inheriting this debt, because he’s dumb enough to actually think it matters. Of course if he does, the question is if he screws things up enough that we get a Republican afterwards who’s also stupid enough to think it matters and try to make spending cuts and pay it down. Then we’re actually in trouble.
The debt is crippling if we try to pay it back(Greece). It’s no problem if we blow it off(China, Iceland).
If Trump can spend his way to re-election we’ll be fine. AOC can take over from 2024-2032 and by then any illusion that the debt matters will have been fully dispelled. Once the genie is out of the bottle, there’s no stuffing it back in.
Problem is, we owe MOST of the debt to ourselves.
Say you had a debt reset. All long term debt is just - gone. What changes? There is a need for short term debt, it’s necessary for trade. Different services/goods have different time periods for production, sales, etc.
But what is the use of 10+ year contracts? They’re just simply not needed. And let’s be real, who holds basically 100% of 10+ year debt? Banks, lending institutions. All of them are parasitic industries that produce nothing of value. They just pooled other people’s money and used it to extract money out of other people they “lend” to (more recently they just create it on demand). It’s really very screwed up.
We have a whole system designed to entangle people. Yes, you can stay out of it if you’re careful. I still don’t have a lot of sympathy for the people who will “lose everything” if debt is wiped away. If they do - good. I don’t think manipulating systems that entangle most people in debt is a good thing.
The arguments against it are always a word salad. “Confidence”, “Obligation”, “Inflation”. Never a specific example.
Name me one single tangible thing that would happen if we just keep adding on debt to 50 trillion over the next 20 years and don’t “pay it back”. Who specifically is losing out? What specific impact would this have?
Except…nobody FORCES anyone to go into PERSONAL debt. That’s a decision each person makes on their own. You don’t HAVE to contract to buy a $500K house. Nobody MUST borrow tens of thousands of dollars to pay for useless schools offering “educations” in “women’s studies,” “art history,” “how to go to the movies” or “underwater basketweaving.” But we do. I made enough money to pay for my daughter’s two undergrad degrees so she didn’t HAVE to borrow money. Of course, her degrees haven’t done her much good–Sociology and Public Relations (Journalism). Neither of those degrees have enhanced her ability to support herself so she’s now gone into debt to obtain a law degree! I am not in a position to subsidize that effort and she hasn’t been able to pay the costs herself so she’s borrowed money from the feds. She graduated this Spring (well, “virtually graduated”) so maybe she can start earning a living for herself now.
As long as the Federal Reserve keeps buying the debt, there is no need to pay it back. The Fed will just keep creating money. As long as the production of goods keeps up with that AND that production corresponds with what people are demanding, it’s okay. A slow down in the velocity of money will also lesson the problem.
But if those factors don’t knock the inflationary forces, there will be major economic problems. That is well documented in history.