Topic: Is the US national "debt" an illusion? (Read 6690 times)

It can't be illusion as there are physical records of liability. If there were no records and still claims, it could be considered as an illusion but unfortunately that is not the case. The US is under a debt of about  $16.394 Trillion Dollars. United States owes a lot of money. US debt is larger than the size of the economy  The debt ceiling is currently set at $16.394 Trillion and approaching rapidly 

Any other country with such high levels of debt/GDP would have a much lower rating from the rating agencies.
The US manages to get away with it because of its size.

That's indeed the problem, when you tax the super rich guess what happens... they leave to Switzerland and alike places. The only thing that could stop them is public shame, so those that are public figures (top athletes, actors, etc) are risking that their native fanbase starts hating on them. But the anonymous rich bankers and so on? these guys simply don't give a fuck, they'll just move the money.

France actually tried something to that effect. Though I don't know how it fared in the long run (I guess we should ask Arthur Laffer), but I heard some celebrities giving up their French citizenship...


Buy when there's blood in the streets, even if that blood is your own

Wouldn't the total yearly budget deficit be destroyed simply by adding a surtax to the incomes of the super mega duper millionaires? Start with those who whine that their rates are too low - change their rates to 70% of their income or something, and disallow all deductions. And to harden social security, make their social security tax to be 15% of their income.

Can't the top of the pyramid tier rich sacrifice just a little? do it at least to sustain social cohesion? because we are headed towards mass riots at this point. Who wants to be rich in a shitty world anyway?

there are some poor countries that may go in war, they have nothing to lose, and much to gain if they can win the war, but their problem is that they don't hold a large military weapons, hence they prefer to leave the thing as they are now, the best they can do is helping another country or another movements, like ISIS, in destroying their enemies, if they share the same opponent

In today's context, a world war is unlikely. Countries have too much to lose by going to war.
The US, however, might attack any country which is an irritant. Suppose the Sauds decide they want to price oil in Euros, they won't last very long. 

In today's context, a world war is unlikely. Countries have too much to lose by going to war.
The US, however, might attack any country which is an irritant. Suppose the Sauds decide they want to price oil in Euros, they won't last very long. 

It seems that you are confusing cause and effect. The end of many fiat systems had been a result of a preceding war (e.g. the spectacular destruction of the Weimar Republic monetary system after WWI). Needless to say that the present-day monetary system was established in 1944 when the end of the ongoing war was near while its results were abundantly clear...

So what you preach for may actually turn out to be nearer than you contemplate, though not in the order you assume

I have little doubt that US dollar is going to crash... crash really hard. I don't know when, perhaps not the next 5-10 years... but it will happen, and all the other fiat will follow. The result will either be world war or the build up of a new monetary system. In case we don't all die, then will gold,silver and digital currency play an important role in building up the new system.

I tend to agree with many of the forward-thinking viewpoints that are shared on forums like this. However, I feel there is misinformation being circulated regarding the US national debt. The core question that must be answered: What is the national wealth?

Private wealth in the US is almost $70 trillion. But dig deeper: What is the mineral wealth in our national parkland? What are the Rocky Mountains, Mendocino County, and ANWR worth? What is the aggregate oil wealth in public lands? What is the value of the US military in the jungle of international relations?

I argue that the $18 Trillion national debt pales in comparison to the national wealth of the United States. There is no better example of this than the revenue generated from Obama's successful energy exploration campaign.

When you take a look at the massive swaths of valuable land held by the federal government, it becomes clear that the total federally-owned real estate, oil, minerals, etc. within the borders of the USA could be valued in the quadrillions of dollars.

One thing has become increasingly clear to me: the United States HAS debt, but it is really not IN debt.

The purpose of the Federal Reserve is to govern the people through the money supply. The threat of hyperinflation or deflationary depression is exaggerated. The resource wealth of the United States - as well as the large, rich, taxable population - provides a backstop that keeps our currency strong, even in expansionary environments.

I believe this backstop is far more valuable than prior generations' use of precious metal reserves. I concede gold and silver are more tangible, but defining the national wealth by reserves of scarce metals is nothing more than a form of social brainwashing intended to keep resource-rich Americans feeling poor.

Conspiracy theorists and John Birchers who measure the national debt against gold reserves are engaging in monetary child's play. However, the Federal Reserve's ability to spend the past decade in crisis while hiding the money supply (M3) from the American public is brilliant. A brilliant scam that must come to an end in the United States, as it has in central banks throughout Europe and across the globe.

The strength of the dollar in FOREX markets in the wake of QE3 invalidates many conspiracy theories. As a market student and participant, I believe the dollar is legitimately strong and would remain strong through QE4, QE5, and QE6.

Is it time to end the myth of false scarcity? Is the easy answer - a dramatic increase in the debt ceiling to fund the Small Business Administration, Farm Service Agency, and regional banks - the best path for the US economy?

Recently an interesting statistic was released. The USA has fewer corporations today than 40 years ago, despite having three times as many citizens. If "corporations are people," do we just need more "people?"

Or is a multi-decade Japanese-style depression a better way to break the will of American men, break the daughters of the revolution into prostitution, seize American's weapons, and ultimately rejoin the British Crown and join the New/Old World Order?

I ask that question only half-sarcastically, because that appears to be the the intent of the current world order, and the path the United States is headed. Especially if either Hillary "Forester de Rothschild-RHODam" Clinton, or Jeb "Lehman is now Barclays" Bush are elected president.

This is serious business.

Sure, a new monetary system would be nice. But is a total revolution possible? Perhaps it is time to submit to reality, and finally admit that Reagan was right.

Mine eyes have seen the glory of the coming of a new hashtag.

Matthew Libman
Charleston, SC

I argue that the $18 Trillion national debt pales in comparison to the national wealth of the United States. There is no better example of this than the revenue generated from Obama's successful energy exploration campaign.



Imagine when you compare Russia's little debt with it vast natural resources!! This is why the US fears Russia, because Russia's potential far exceeds what the US has been able to create so far.