"What is the point of getting elected and re-elected unless you stand for something?"
- - - - President Grover Cleveland
"Default is coming. The only argument that's going on now is how to default, not send the checks out or just print the money. In all countries our size, they always print the money.
They're going to raise the debt limit, and then they're going to print the money, and then they'll default by inflation, and that's much more dangerous than facing up to the facts of what's happening today."
- - - - Congressman Ron Paul
"They (Americans) are living beyond their means and shifting a part of the weight of their problems to the world economy. They are living like parasites off the global economy and their monopoly of the dollar."
- - - - Vladimir Putin, Prime Minister of Russia
Hey Republicans - where is the money coming from?
Vladimir Putin and Ron Paul.
Now there is something you don't see everyday - the former head of the Soviet KGB and the former Libertarian Party nominee for President agreeing with each other.
We are entering the Twilight Zone folks.
|Socialist Republicans, like Democrats, live in a |
never-neverland of endless spending.
Let's see . . . we don't have the money to pay our bills. What to do? I know, let's borrow $2.4 trillion to temporarily get enough money to pay the bills.
Add in almost no spending cuts till 2014 and everyone avoiding doing their jobs by appointing a Super-dooper Committee to "study" the problem and you get a nation run by idiots.
Also consider Congress is living in a fantasy world of "magic" money that appears on command.
They just raised the debt ceiling by some $2.4 trillion, the largest increase in our debt in history. Congressmen are just waving a magic wand and believe the money will just appear so it can be spent to buy votes in 2012.
I guess when you do not believe in anything it is easier to destroy the nation.
But no one is asking: where is this magic $2.4 trillion going to come from?
Her are our top four foreign creditors:
CHINA: currently holds nearly $1.2 trillion of our debt. Yes China is doing well, but it is also going through a real estate melt down. China is also feeling their own domestic credit crunch from racking up massive local government debt. The well may be dry.
JAPAN: our #2 creditor holds $912 billion of our debt. Just in case no one noticed, Japan was underwater and experienced a nuke meltdown. They may have plans for their money that do not include us.
UNITED KINGDOM: holds $346 billion of our debt. All of Europe is in a debt crisis of Biblical proportions. I suspect the UK and anyone in Europe with money will be working on their own problems to prevent a complete meltdown of the Euro.
BRAZIL: our #4 creditor with $211 billion of our debt. Brazil is making great strides in building a modern nation. But give me a break. The United States going hat-in-hand to Brazil to beg for trillions in money! It is a total joke. They do not have that kind of money, and if I was them I would not loan any more to deadbeats like us.
So you deadbeat Congressmen, with the top four nations out what do you do? Are you going to take a tin cup and roam the earth begging Poland, Turkey, South Africa and Iran for money so the Welfare State can be funded and Americans do not have to work for a living?
This is getting to the stupid stage.
Do you borrow trillions from Americans? Sorry, it is not there. We are flat broke. Busted. Out of luck. But if any money was available the Fed would act like a giant vacuum cleaner sucking away funds that could be used to grow businesses and create jobs.
Print the money! Looks like Ron Paul was right. If you don't have it, then print it.
Printing money. What could possibly go wrong?
Yep, Congress is run by idiots. . . . . . better learn to speak Greek in your spare time.
|Not worth a Continental|
At the founding of our Republic the Congress also created money out of thin air to
pay their bills. Hell, need $65 dollars? Just print all the $65 dollar bills that you need. What could go wrong?
First Report on Public Credit (1790)
Our Federalist Founding Fathers took the helm of a country with a near worthless paper currency, a huge national debt and a new nation that was not respected in the world. Through sound money policies they solved their debt and currency crisis.
When George Washington became the first President of the United States in 1790, he selected Alexander Hamilton to be his first Secretary of the Treasury. Although Hamilton served in Washington's cabinet for only five years, many historians regard him as the greatest and most influential Secretary of the Treasury in U.S. history.
As the founder of the Federalist Party, Secretary Hamilton wrote five key reports that established American economic policy.
|Federalist Founding Father Alexander Hamilton faced|
a brand new nation that was bankrupt. Rather than
ignoring the problem, he used sound fiscal policies
to strengthen the credit of the nation.
The first and last of these reports were his Reports on the Public Credit in which Hamilton argued that the United States government should assume the debts of all the state governments. Hamilton also encouraged Congress to pay the interest on the debts the country owed, not just the principle. He believed that these measures would give credibility and stability to the American economic system.
Specifically, Hamilton argued for full funding of the national debt (approximately $11 million) and assumption of state debts incurred during the War of Independence (approximately $40 million).
The US national debt in 1790 was $54 million which would be comparable to a US national debt of $4.1 trillion in 2009 by relative share of GDP.
Some interest groups had recommended repudiation of the debt and others partial repudiation, but Hamilton argued that the young nation's good credit could be assured only by proper treatment of all creditors. The issue was especially critical in the South: State governments there had worked hard to begin paying off their obligations, but Hamilton’s plan pledged them to assist other states that had let their debts languish.
A compromise was finally achieved in which the South reluctantly accepted Hamilton’s financial plans in return for Northern support of the eventual establishment of a permanent capital on the Potomac.
Hamilton's initial program was an immediate success. It established excellent credit for the Federal government, proved the government could handle its affairs, and inaugurated an era of wide prosperity. When Jefferson transacted the Louisiana Purchase, credit and funding were available because of Hamilton's debt assumption plan.
Hamilton also wrote a report to convince Congress to establish a national bank to control the country's finances, and followed this up with a report encouraging Congress to draft a Mint Act to create a national mint and stable national currency.