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Topic: USA Debt Repayable - page 8. (Read 7608 times)

sr. member
Activity: 350
Merit: 250
May 13, 2013, 06:43:31 AM
#19
Hi guys

Is USA debt repayable? Or are governments just hiding the truth - that infact western governments can never repay their debts, and that eventually sovereign bonds will collapse.

Does anyone actually have an answer to this? Is USA government heading down a road of responsible payback of its debt, or a road of full-on Keynesianism that will eventually lead to financial catastrophe.

I know that it would be in government's interest to hide the fact that debt was , at current economic growth rates , unrepayable. But I just want to know the truth. Lets assume USA economy continues to grow at current rate and deficit continues to grow/shrink at current rate. Where are we in 10 years? Is the debt repaid, halved or has it grown more?

Side question - If the debt is repayable, panic over. If it's not, how long will it take for markets to reflect this. Also - If anyone has some numbers, all the better.

Cheers

 Grin

Of course it's repayable.

But it requires printing which is going to be politically and socially unacceptable.  Not least because then confidence will be lost in the currency, and top down printing is rarely well distributed.

Debts that cant be paid wont be paid.  There will be haircuts ... the only question is who will be left standing when the music stops .... sadly, it's often the weakest in society ...

sr. member
Activity: 350
Merit: 250
"Don't go in the trollbox, trollbox, trollbox"
May 13, 2013, 06:40:47 AM
#18
It will never be payed back, they'll just print some more of it.

There is no need to repay any debt as, with coming The Great Economic Collapse, the whole world will become single global corporation controlled by the US China.

member
Activity: 83
Merit: 10
May 13, 2013, 03:22:26 AM
#17
All debts in current economy cannot be paid, because it would cause deflation that would make debts unpayable. BAM!
sr. member
Activity: 364
Merit: 250
May 13, 2013, 02:24:59 AM
#16
Yea, I wish the debt clock would account for inflation.  I think it would look very much different.
donator
Activity: 1218
Merit: 1079
Gerald Davis
May 13, 2013, 02:15:34 AM
#15
Countries which are in control of their own printing press never face a default risk. 
Why would the US default?  Nothing in the bonds guarantees the PURCHASING POWER just the nominal amount.

US owes $15T which is a lot today?  Well ramp up 5% inflation a year for 30 years and that $15T nominal is more like $4T in todays dollars.  See $4T on a $20T economy is nothing.  

That doesn't mean buying t-bonds is a good idea as while you may get every penny the price of everything will have quadrupled by the time your 30yr bond was repaid (putting you behind in real terms).

I mean why default, when you can "honor" the letter of the contract, break the spriting of it and repay bondholders in increasingly worthless pieces of paper.
sr. member
Activity: 364
Merit: 250
May 13, 2013, 02:06:09 AM
#14
Watch this for about 2 minutes and you tell me.

http://www.usdebtclock.org/


That's a cool link.  I have to say, at least some of the numbers are going down.  I have to say that as bad as they made the sequester sound, it doesn't really seem likes its doing enough.  I think they should probably rock the sequester up a bit more.

But I have learned that holding no debt is actually a bad thing for a business.  Its important to have a low debt to equity ratio but having 0 debt can negatively affect your cash flow. 
newbie
Activity: 42
Merit: 0
May 12, 2013, 11:45:02 PM
#13
It appears that money is being created at very high rate in order to ultimately make the debt more repayable by making it's real value smaller. It also gives the banks some money. They were broke.

This isn't going to work because people's wages and GDP can't grow exponentially like the debt grows, due to the compound usury. The money lenders (printers) probably know this. They see the same insane hyperbolic graph that we see.

However, this money printing gives them a little more time to fleece off the collateral, privatize public assets, squeeze blood from the public stone.

This debt was created with money loaned out of thin air by private, broke, mere publishers of pieces of paper, computer keyboard strokers.

It can't be repaid. I'm pretty sure just the interest payment alone is now more than the entire federal income tax revenue. Everybody who has a job now works about 3-4 months out of the year for free in order to pay usury which is growing exponentially.

Somebody tell me if I didn't get this right.
member
Activity: 66
Merit: 10
May 12, 2013, 06:53:25 PM
#12
Imo, debt should be completely wiped. You know how big the economy would boom if debt was wiped?

You realise this wipes out an equal amount of savings?
newbie
Activity: 42
Merit: 0
May 12, 2013, 06:52:43 PM
#11
Imo, debt should be completely wiped. You know how big the economy would boom if debt was wiped?

I agree but we both know that the FED controls things, not the Gov't, not the president of the US. The fed wont wipe away shit. Greed will ultimately be the demise of the USA. Time is ticking. tick, tick-tock, tick, tick-tock........
hero member
Activity: 770
Merit: 502
May 12, 2013, 06:36:43 PM
#10
Imo, debt should be completely wiped. You know how big the economy would boom if debt was wiped?
member
Activity: 66
Merit: 10
May 12, 2013, 06:26:38 PM
#9
Sure it is possible. If they stop borrowing now and start funding deficits by printing money the debt should be gone in about 30 years.
newbie
Activity: 42
Merit: 0
May 12, 2013, 06:22:52 PM
#8
Unfunded liabilities, 123 TRILLION!!!! WTF Shocked Shocked Shocked Shocked Shocked Shocked Shocked Shocked Shocked Shocked Shocked Shocked Shocked Shocked

So, how long can they keep this ship afloat with the gaping wound and seawater rushing in?
newbie
Activity: 42
Merit: 0
May 12, 2013, 06:21:31 PM
#7
Shit, I just watched it for a few minutes, absolutely stunning!
newbie
Activity: 42
Merit: 0
May 12, 2013, 06:19:07 PM
#6
Watch this for about 2 minutes and you tell me.

http://www.usdebtclock.org/
newbie
Activity: 42
Merit: 0
May 12, 2013, 06:17:58 PM
#5
Hi guys

Is USA debt repayable? Or are governments just hiding the truth - that infact western governments can never repay their debts, and that eventually sovereign bonds will collapse.

Does anyone actually have an answer to this? Is USA government heading down a road of responsible payback of its debt, or a road of full-on Keynesianism that will eventually lead to financial catastrophe.

I know that it would be in government's interest to hide the fact that debt was , at current economic growth rates , unrepayable. But I just want to know the truth. Lets assume USA economy continues to grow at current rate and deficit continues to grow/shrink at current rate. Where are we in 10 years? Is the debt repaid, halved or has it grown more?

Side question - If the debt is repayable, panic over. If it's not, how long will it take for markets to reflect this. Also - If anyone has some numbers, all the better.

Cheers

 Grin

How could they pay it back? They are printing 85 million a month just to keep things afloat. Student loans are now the 2nd largest debt (1st is mortgages). The house of cards that is will soon, maybe a year, maybe 2, come tumbling down. First though, you will see major events unfold in the USA, this will be their way of shifting the blame.

Impossible to pay it all back unless they just wipe away A LOT OF DEBT---POOF.......
newbie
Activity: 56
Merit: 0
May 12, 2013, 03:51:49 PM
#4
It will never be payed back, they'll just print some more of it.

There is no need to repay any debt as, with coming The Great Economic Collapse, the whole former supposedly "free" world will become single global corporation controlled by the US IMF/World Bank.


The US?  LOL

The private owner-shareholders of the private Federal Reserve Printing Corporation are mostly Tory Bilderberg Rothschild-surrogate foreigners who "tax-reside" in Liechtenstein, Cayman Islands, Belize, Bermuda, the City of London etc. and "live" elsewhere, beyond national and international laws. Those Federal Reserve "They-Owe-Us Debt-Notes" belong to that private corporation, not the US Treasury. All the US Treasury (Union of ZioNazi Socialist Republics) "owns" are it's great, great, great grandchildren's debt-bonds to the Federal Reserve Printing Corporation. If/When FedResCo goes into receivership (because of defaulted bond-interest servicing payments) it's sole asset is the US Treasury who's bonds (save any others that have been sold to others) it owns. Every "They-Owe-Us Debt-Note - dollar" Uncle Ben prints-up for his pals (who own the politicians) is backed by a US Treasury bond-debt pledged either to FedResCo or some other schmucks. (Red China, Saudi Arabia, Japan or your Granny etc)

A FedResCo bankruptcy does not affect it's private owners private booty, only the value of their shares in it's bankruptcy settlement.

By the time Rubin got to Treasury the Fed owners had already cleaned out Ft Knox, so when "it" all finally and inevitably now hits the fan, the US (UZSR) will be selling off islands, highways, military bases, ports, tourist zones and parks like Greece is to keep up with the interest payments with IMF acting as the FedResCo's receiver.

If they put even +1 percent of interest back into the Prime Rate, it will all collapse now, since Washingwhoreland can no longer afford to pay that amount on it's debt plus what it's criminally squandering on supporting both sides of it's (owner's favourite) ZioNazi war-communisms at home and all over the planet.
donator
Activity: 784
Merit: 1000
May 12, 2013, 11:09:55 AM
#3
It will never be payed back, they'll just print some more of it.

There is no need to repay any debt as, with coming The Great Economic Collapse, the whole world will become single global corporation controlled by the US.
member
Activity: 111
Merit: 10
May 12, 2013, 10:46:53 AM
#2
It will never be payed back, they'll just print some more of it.
sr. member
Activity: 260
Merit: 250
May 12, 2013, 10:37:01 AM
#1
Hi guys

Is USA debt repayable? Or are governments just hiding the truth - that infact western governments can never repay their debts, and that eventually sovereign bonds will collapse.

Does anyone actually have an answer to this? Is USA government heading down a road of responsible payback of its debt, or a road of full-on Keynesianism that will eventually lead to financial catastrophe.

I know that it would be in government's interest to hide the fact that debt was , at current economic growth rates , unrepayable. But I just want to know the truth. Lets assume USA economy continues to grow at current rate and deficit continues to grow/shrink at current rate. Where are we in 10 years? Is the debt repaid, halved or has it grown more?

Side question - If the debt is repayable, panic over. If it's not, how long will it take for markets to reflect this. Also - If anyone has some numbers, all the better.

Cheers

 Grin
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