Tyler's Notes|Notes about Tyler|Tyler's Profile Repudiate the National Debt NowShare Yesterday at 11:44pm A recent Treasury report has said that shortly, the government will reach the debt ceiling that, if I remember correctly, was set at the current level not too long ago. At the rate that the debt is growing, combined with the contractual future obligations already in place, there is no way that, even if all government functions were eliminated except for the future obligations, there would be no way that the debt could be paid off without massive inflation.
Jeffrey Rogers Hummel, an economist at San Jose State University, says that with the current state of affairs, there are ONLY two options available: inflate in a manner that would make Wiemar Germany look tame, or to repudiate the debt altogether directly. The idea of repudiating the treasury obligations is quite interesting indeed. All that the repudiation of that debt would do is make those treasury bills worthless, but holds the dollar where there might be some value left in it. I find that there is another good result of repudiation of treasuries is that borrowing becomes absolutely impossible for the government in the future. Now, I am certain that there are people that are aghast at this idea, but consider this... this is a balanced budget amendment that might have some teeth to it. Plus, I think that it might be enough to scare voters enough to demand some changes in the behaviors of government. I know that it sounds kind of radical, but I see that there are two alternatives, one of them is significantly worse than the others. At the current rate of taxation, even if all other outlays were cut to zero, it would take longer than 5 years to pay back the debt at its current level. There is also the implausability of the government cutting all outlays to zero. So we come to the two choices, indirectly repudiate the debt by massive inflation that would destroy the value of the monetary unit, or repudiate directly the debt. I am pushing for the latter, and the sooner it happens, the better things would be. REPUDIATE THAT DEBT! -- Thanks for being part of "PoliticalForum" at Google Groups. For options & help see http://groups.google.com/group/PoliticalForum * Visit our other community at http://www.PoliticalForum.com/ * It's active and moderated. Register and vote in our polls. * Read the latest breaking news, and more.
