An observation.

[Dovahkiin]

I always hear people claim that the government "CAN'T" create dollars from thin air. This is wrong, of course, but it leads me to think about something else: The Iraq War. Did the government have any trouble coming up with the trillions needed for that war? Did we all have to "tighten our belts and kick in?" Of course not. So where did the government get the money? Hm... Remember the recent crisis, did the government have any trouble acquiring the trillions needed to respond to it? No, and taxed didn't really go up either. Think over this if you're one of the people who believes the government can't create dollars from thin air.

 

[Dovahkiin]

Also.. inflation is low, interest rates are low, and the government never has trouble acquiring dollars.. even with the "HORRIFIC KILLER DEBT" we have.

 

[Slade3200]

The more money the government prints and puts into circulation and the more money they borrow to add to our debt adds up to a crushing and unsustainable weight on our economy. If we keep feeding the deficit and adding to our debt we head towards a collapse and our future generations are in big trouble.

 

[SassyIrishLass]

debt
det/
noun

1. something, typically money, that is owed or due.
   "I paid off my debts"
   synonyms: bill, account, dues, arrears, charges; More
   
   
   • the state of owing money.
     "the firm is heavily in debt"
     synonyms: owing money, in arrears, behind with payments, overdrawn,overleveraged; More
     
     
   • a feeling of gratitude for a service or favor.

 

[saveliberty]

It does not create dollars from thin air, it creates debt to fund those dollars. Low interest rates and an unstable world economy have allowed us to do this. Time to put your dunce cap on.

 

[TNHarley]

You read one article and started 10 threads about it lol
Oh well. At least you apparently like to learn lol

 

[Dovahkiin]

You read one article and started 10 threads about it lol
Oh well. At least you apparently like to learn lol

What are you talking about?

 

[Dovahkiin]

It does not create dollars from thin air, it creates debt to fund those dollars. Low interest rates and an unstable world economy have allowed us to do this. Time to put your dunce cap on.

Yes, it does. The us government has been creating dollars from thin air for quite some time now. The debt is nothing more then an accounting record, the interest on the debt is not an issue, even if it does increase. We can pay the interest for free without having to "take" from other spending.

 

[Dovahkiin]

debt
det/
noun

1. something, typically money, that is owed or due.
   "I paid off my debts"
   synonyms: bill, account, dues, arrears, charges; More
   
   • the state of owing money.
     "the firm is heavily in debt"
     synonyms: owing money, in arrears, behind with payments, overdrawn,overleveraged; More
     
     
   • a feeling of gratitude for a service or favor.

The national debt is not the same as private debt. Tell me, what do you believe the national debt is?

 

[SassyIrishLass]

debt
det/
noun

1. something, typically money, that is owed or due.
   "I paid off my debts"
   synonyms: bill, account, dues, arrears, charges; More
   • the state of owing money.
     "the firm is heavily in debt"
     synonyms: owing money, in arrears, behind with payments, overdrawn,overleveraged; More
     
     
   • a feeling of gratitude for a service or favor.

The national debt is not the same as private debt. Tell me, what do you believe the national debt is?

We've went down this road already, now run along ya daffy moon bat

 

[Dovahkiin]

The more money the government prints and puts into circulation and the more money they borrow to add to our debt adds up to a crushing and unsustainable weight on our economy. If we keep feeding the deficit and adding to our debt we head towards a collapse and our future generations are in big trouble.

The more money the government prints and puts into circulation and the more money they borrow to add to our debt adds up to a crushing and unsustainable weight on our economy

Evidence please.
The government has been adding dollars to our hands for as long as I can remember, the economy suffers when the private sector takes on debt and has suffered when we've attempted to cut the debt/run surpluses.
Think big deficits cause recessions

 

[Dovahkiin]

debt
det/
noun

1. something, typically money, that is owed or due.
   "I paid off my debts"
   synonyms: bill, account, dues, arrears, charges; More
   • the state of owing money.
     "the firm is heavily in debt"
     synonyms: owing money, in arrears, behind with payments, overdrawn,overleveraged; More
     
     
   • a feeling of gratitude for a service or favor.

The national debt is not the same as private debt. Tell me, what do you believe the national debt is?

We've went down this road already, now run along ya daffy moon bat

What, you mean where you bailed and stopped engaging because you are wrong? The us government, sovereign in its own currency, issues bonds. Read that and try using "debt" as you want to think of it again and realize why that's silly. Dollars literally cost the government nothing to create. The interest on bonds doesn't cost the government any real resources. How is this a "debt" as related to household debt, where the household can't create dollars from thin air?

 

[saveliberty]

It does not create dollars from thin air, it creates debt to fund those dollars. Low interest rates and an unstable world economy have allowed us to do this. Time to put your dunce cap on.

Yes, it does. The us government has been creating dollars from thin air for quite some time now. The debt is nothing more then an accounting record, the interest on the debt is not an issue, even if it does increase. We can pay the interest for free without having to "take" from other spending.

The debt is issued to someone, it does not just sit in a drawer. That debt has a due date. Interest certainly will be an issue if rates increase as the Fed is making more and more a reality. The Euro was considered a very stable currency too. Try to learn.

 

[Grandma]

Did the government have any trouble coming up with the trillions needed for that war? Did we all have to "tighten our belts and kick in?" Of course not. So where did the government get the money? Hm... Remember the recent crisis, did the government have any trouble acquiring the trillions needed to respond to it? No, and taxed didn't really go up either. Think over this if you're one of the people who believes the government can't create dollars from thin air.

If you do some research and dig deep enough, you'll find that the initial funds for the war came from using Social Security money as a slush fund.

Really, look it up.

That's why they wanted to privatize it, because when the time came to put the money back they knew they wouldn't be able to. By privatizing it the elderly would be left holding the bag.

It wasn't just SS funds, they "borrowed" from other government fund pools.

We're in debt to ourselves thanks to them.

The rest of the war money came from borrowing, mainly from China.

Usually war debt is paid back by taxing the rich, but the Kochs, Cheney, and most others wouldn't pay their fair share.

 

[Dovahkiin]

debt
det/
noun

1. something, typically money, that is owed or due.
   "I paid off my debts"
   synonyms: bill, account, dues, arrears, charges; More
   • the state of owing money.
     "the firm is heavily in debt"
     synonyms: owing money, in arrears, behind with payments, overdrawn,overleveraged; More
     
     
   • a feeling of gratitude for a service or favor.

The national debt is not the same as private debt. Tell me, what do you believe the national debt is?

We've went down this road already, now run along ya daffy moon bat

Oh, by the way, "paying off" the debt, if we were ever silly enough to try that again, we'd simply be retiring bonds.. Since dollars and bonds are a liability of the government, retiring bonds doesn't change the liability one bit.

 

[SassyIrishLass]

debt
det/
noun

1. something, typically money, that is owed or due.
   "I paid off my debts"
   synonyms: bill, account, dues, arrears, charges; More
   • the state of owing money.
     "the firm is heavily in debt"
     synonyms: owing money, in arrears, behind with payments, overdrawn,overleveraged; More
     
     
   • a feeling of gratitude for a service or favor.

The national debt is not the same as private debt. Tell me, what do you believe the national debt is?

We've went down this road already, now run along ya daffy moon bat

What, you mean where you bailed and stopped engaging because you are wrong? The us government, sovereign in its own currency, issues bonds. Read that and try using "debt" as you want to think of it again and realize why that's silly. Dollars literally cost the government nothing to create. The interest on bonds doesn't cost the government any real resources. How is this a "debt" as related to household debt, where the household can't create dollars from thin air?

No what I mean is you're an idiot that hasn't the first clue about economics. That was patently obvious on the other thread. You talk a game you can't play

 

[saveliberty]

Evidence please.
The government has been adding dollars to our hands for as long as I can remember, the economy suffers when the private sector takes on debt and has suffered when we've attempted to cut the debt/run surpluses.
Think big deficits cause recessions

We have a big deficit correct? You realize companies are reporting flat earnings? That happens for three consecutive quarters and its called a recession. Lack of QE stimulus is partially to blame.

 

[Dovahkiin]

It does not create dollars from thin air, it creates debt to fund those dollars. Low interest rates and an unstable world economy have allowed us to do this. Time to put your dunce cap on.

Yes, it does. The us government has been creating dollars from thin air for quite some time now. The debt is nothing more then an accounting record, the interest on the debt is not an issue, even if it does increase. We can pay the interest for free without having to "take" from other spending.

The debt is issued to someone, it does not just sit in a drawer. That debt has a due date. Interest certainly will be an issue if rates increase as the Fed is making more and more a reality. The Euro was considered a very stable currency too. Try to learn.

Bonds issued by a government sovereign in its own currency? Never an issue to "pay off." Interest will literally never be an issue unless we play silly games. Dude, don't even try to bring up The Euro, it's a completely different animal.

 

[saveliberty]

Oh, by the way, "paying off" the debt, if we were ever silly enough to try that again, we'd simply be retiring bonds.. Since dollars and bonds are a liability of the government, retiring bonds doesn't change the liability one bit.

Retiring bonds means paying off the old bond. If you do not use another bond to pay it off, you reduced the liability. It is an accounting definition of liability.

 

[Dovahkiin]

Evidence please.
The government has been adding dollars to our hands for as long as I can remember, the economy suffers when the private sector takes on debt and has suffered when we've attempted to cut the debt/run surpluses.
Think big deficits cause recessions

We have a big deficit correct? You realize companies are reporting flat earnings? That happens for three consecutive quarters and its called a recession. Lack of QE stimulus is partially to blame.

A big deficit?
U.S. fiscal year budget deficit narrows to $439 billion
http://economix.blogs.nytimes.com/2013/12/24/the-budget-deficit-as-seen-from-2009/?_r=0
I know what a recession is.
QE fails. We need to stop silly shit like that.