Trump: U.S. can never default because it prints money

[Krugminator2]

Trump is right in theory and in practice. The hyperinflation doomsdayers have been perpetually wrong forever. And they will continue to be wrong.

The debt is not a problem. Servicing the debt is not the problem. Spending is the problem. The reason to cut spending isn't because of some inflationary holocaust where people turn into cannibals and are fighting each other in the streets. The reason to cut spending is because government is inefficient and slows growth. The bigger problem than the debt is that it is almost impossible to default or wreck a currency in a market based economy so people like Trump will use it as a reason why spending more is okay which reduces long term innovation and productivity.

 

[anaconda]

I am embarrassed for his supporters. This is just sad.

I think it's amusing. The sound bite, short attention span campaign model is perhaps at its apex. Trump is no worse than any other general election candidate. It makes perfect sense that a reality TV person would have a decided edge over his primary competitors. I suspect we have underrated its potential for the general election. We are about to find out.

 

[puppetmaster]

And Obama supporters called him Messiah.

Now it's eight years later. Guess what they call him now.

By the time Trump gets through printing money, you won't be able to afford a loaf of bread. You'll be calling Trump a lot worse then. Or you would be, if it weren't for the fact that Trump is obviously running to lose--and will obviously succeed.

many Obama supporters still worship him.........sad

 

[BamaAla]

ZOMG! TeH Donald will bring on hyperinflation and the U.S. will be Zimbabwe under his rule! I guess all you survivalist will finally get your chance to be at the top of the food chain. TRUMP '16!

 

[anaconda]

Please reconsider this whole "debt talk" issue. Is this about "fully controlling" inflation?

The US Treasury "prints" the money. (The smoke and mirror aether tells them to do it.)

It's not Trump who set up this system of perpetual debt, but he sure does know how
to play it from the outside. Can he run it from the inside and/or make it any better?

What debt do they keep talking about paying off or paying down?

That money (currency) was printed up, used up and poof - it's already
long gone. Happened last year, every year or decades ago, it's all gone!

Lot's went for bombs, cars from Japan, and stuff from China and home lawn care.

It does not go into default or get paid back. It just grows larger and larger on paper!

How is the mainstream explanation valid? Who had those trillions of dollars stashed away
to borrow from (and/or loan out) in the first place?

Why worry about paying anyone back WHEN THE USA PRINTS THE MONEY?

Any bonds, loans or interest "promised" still must be funded with some source in the
current year's budget. Problem is the same; the taxes, fees and tariffs collected from
this (and future) year's budgets fall WAY too short of the required amount. EACH YEAR,
the budget always comes up SHORT even though it even fudges a bit by counting income
tax money collected from government employees who are being paid with the printed
money trickling in from the prior year's deficit budget, ...and so on.

It's neat how major banks can fail and then, poof QE, poof everything is OK and paid off.
It all runs on smoke and mirrors. By law, we have to use this money/currency.

Only kicking the can, (keeping the printing press) more out-of-thin-air funny-money can
keep this beast alive. Of course there is inflation that cannot be completely resisted. Only
the official reports and speaking points read by the MSM along with some price controls can
apparently keep inflation somewhat in check. The trick is not to expose/fiddle with it too much.

It would cause shock waves, but the income taxes could be eliminated and replaced by more
BS printed money and the debt could be paid off by tacking on the entire amount to one year's
budget deficit since the printing press was already running anyhow. It's possible by printing more
money, but could the resulting inflation be kept in check? Maybe a wizard could adjust the ratios
and BS like Bill Clinton did when he found a big gob of hidden money just sitting around, and made
everyone happy ...for a while. Trump might be able to pull that same kind of "magic" trick again
by negotiating better deals for America. I'd buy it (solve budget problems, restore near-full
employment, keep taxes low and hold back inflation, etc.) if he could do it convincingly just like
WJC did.

What am I missing? (Be nice to me 'cause I took my idiot pill this morning.
It's a placebo tab 1000; the placebo tab 500's were just not strong enough
and I must have started to worry about thinking, again. I think I don't care now.)

Good post. I'm not certain that it makes much difference whether debt owners accept a reduced return now vs. a larger return later on a higher risk bond. It seems that either scenario will reduce investor confidence. And move us closer to the currency crisis. It seems that either scenario would beckon higher stated rates of return, which will presumably spiral to absurdity at the onset of the currency crisis and presumably quickly lurch into a collapsed debt market and non use of U.S. dollars or other currencies heavily invested in U.S. dollars.

 

[anaconda]

ZOMG! TeH Donald will bring on hyperinflation and the U.S. will be Zimbabwe under his rule! I guess all you survivalist will finally get your chance to be at the top of the food chain. TRUMP '16!

I think a currency crisis sooner is better than later. I don't want a reformation left to the whims of a fully advanced police state apparatus.

 

[Zippyjuan]

Trump can't tell the Fed to print more money. He can try but they are independent.

 

[oyarde]

Trump can't tell the Fed to print more money. He can try but they are independent.

Somebody needs to send him an e mail , probably need to CC Clinton & Bernie too .

 

[oyarde]

...i heard some goddamned fool conservative republican on the radio claiming, 'trump wants to print money to pay off the debt'..



...this display of ignorance is very typical among supporters of these miserable republican and democrat dullards..

(hint for any fool supporting any stinking republicrat: "THE GOVERNMENT" DOESN'T PRINT/CREATE MONEY TO PAY 'DEBT'...IT (gov.) ISSUES TREASURY BONDS WHICH PRIVATE COMMERCIAL BANKERS ACQUIRE WITH 'MONEY' (deposit creation) THEY CREATE...NOT THE GOVERNMENT, MONEY DUMMIES!!

(i know a couple of 10 year olds who under$tand the REALITY better than MANY MANY MANY (vitually all) monetary ignoramus republicrats!!

...sorry for 'yelling'...but sheesh!...

Who are you listening to on the radio ?

 

[carlton]

Is this guy insane?!


http://www.politico.com/story/2016/05/trump-no-debt-default-222957

You're a cuckservative SJW minority loving, border hating globalist! Trump Trump Trump, Trump Trump Trump Trump.

Its funny though, how many so called 'conservatives' are not just willing, but eager to jettison all their principles just because they like the 'balls' of this guy.

 

[kahless]

Who are you listening to on the radio ?

Probably Mark Levin whose getting Cruz Super PAC money and whose son worked on the Cruz campaign. Either that or that clown Glenn Beck, who is obviously not a credible source of information.

 

[Cleaner44]

Trump can't tell the Fed to print more money. He can try but they are independent.

The Bureau of Engraving and Printing, a U.S. Department of the Treasury prints our money, not the Federal Reserve dummy.

http://www.moneyfactory.gov/uscurrency.html

 

[FindLiberty]

Trump can't tell the Fed to print more money. He can try but they are independent.

Yes cleaner4Dd, BINGO (but please don't call others names - or did you mean the FED dummies?).

Fed does not print money - they only "loan it", independently, from their vast
Aether reserves. Independent applies if it means cabal. They are appointed
and approved by the USG before they are hired. I'm not sure how they get paid...

Trump probably doubts if they even expected it to be "paid back". If they do,
well there may be a small problem, a glitch unless they can wait a few minutes
so we can "borrow" even more money from them and immediately use it to pay
this new interest payment loan down (up!) 'till the end of time because the total
amount owed just keeps rising. Forever. It's never been a problem 'cause our
credit is as good as gold with them. Don't worry, now fuhgettaboutit!

Congress "orders it" by responding to requests, orders and "needs". It
usually comes garnished with extra bacon, wrapped in bacon with even
more crumbled bacon that sprinkled on top. Some of that fat is used to
grease the revolving corporate door that we sometimes hear about.

Senate and POTUS might play too, IDK about Senate, but the POTUS
needs to sign off on the whole "deal" lol Some Trump haggling may occur!

Then the US Treasury buys some ink and paper and only prints up
what has been requested, without spilling a drop. Electronic money
is a "bit" easier and costs a lot less to produce with a couple clicks
of the mouse. (I'm just guessing, but I bet they spend a lot of time
double-checking account numbers before birthing hundreds of billions
of bouncing new baby bucks where millions fly out every minute...)

It's all pretty slick! Taxpayers are not required and need not apply.

 

[Matt Collins]

Its funny though, how many so called 'conservatives' are not just willing, but eager to jettison all their principles just because they like the 'balls' of this guy.

I understand the temptation... but I also know history.... I am in no way saying that Trump is Hitler, but Hitler said a lot of great things about restoring Germany before he became the dictator. He appealed to a lot of people.

Just because a politician hits all or at least some of the right notes, doesn't mean they are going to be good, even if they are replacing some previously elected morons.

 

[acptulsa]

I understand the temptation... but I also know history.... I am in no way saying that Trump is Hitler, but Hitler said a lot of great things about restoring Germany before he became the dictator. He appealed to a lot of people.

Just because a politician hits all or at least some of the right notes, doesn't mean they are going to be good, even if they are replacing some previously elected morons.

Make that especially if they are replacing some previously elected morons.

'The thing about revolutions is--in fact, they're like most wars in this respect--is nobody knows what they are fighting for.'--Will Rogers

The American Revolution was very unique in that respect, IMO. Like the exception that proves the rule.

 

[FindLiberty]

I understand the temptation... but I also know history.... I am in no way saying that Trump is Hitler, but Hitler said a lot of great things about restoring Germany before he became the dictator. He appealed to a lot of people.

Just because a politician hits all or at least some of the right notes, doesn't mean they are going to be good, even if they are replacing some previously elected morons.

Exactly. Americans have been exposed to about 20 years of
"single leader" conditioning and now conditions are about "ripe".

Is it me, or is the whole world now following the same script?
The EU is a few years ahead of this,
...in this pursuit towards doom.

A benevolent dictator can seem/be great, for a while...

Then suddenly, or delayed four, eight or twelve years
later BOOM HITLER TYRANT. Not kidding. No Liberty.

The USA certainly has the police state at the ready now.

 

[H. E. Panqui]

semantics

...pray tell...is it 'semantics' to point out to a bunch of LOUD, CONFIDENT, (despite their miserable ignorance) brainwashed republicrat monetary ignoramuses who 'think' 'the government prints the money' that in REALITY (a place foreign to the gd fool republicrats) OUR MONEY IS CREATED/DESTROYED/LARGELY CONTROLLED (EXTREMELY SECRET-SQUIRRELISHLY) BY PRIVATE COMMERCIAL BANKSTERS!! (strangely, i never hear any loud ludwiggers condemn this...maybe because they 'believe' that largely-secret, private control over the public's money is a good/smart thing?) ...(psssst...i think they're gd fools)

...pray tell...is it 'semantics' when i point out the twisted ignorance of the MANY MANY MANY (virtually all, ime) republicrats who 'believe' they 'know' that THE "FEDERAL" "RESERVE" is both 'federal' and that there are honest 'reserves'?....

...btw, it's all 'semantics'...you, me, jesus the christ, etc. ad nauseam, everyone everywhere always.....words mean different things to different people based on individual experiences, chemistry, etc. ad nauseam...and unlike the many gd fools who demand adherence to dogma(crap), it seems to me differing viewpoints ought to be celebrated as the beautiful variety 'spice of life'...but no, we have republicrats instead...

...and i understand, 'the truth will never be expressed in words'...but c'mon republicrats...all of you...we can do waaaaaaaaaaaaaaaay better than thi$...it seems to me, there is hardly one person in 'the public eye' worth a sh!t when it comes to under$tanding and $olving root problem$... (of course the banksters make sure of thi$)

 

[H. E. Panqui]

The Bureau of Engraving and Printing, a U.S. Department of the Treasury prints our money, not the Federal Reserve dummy.

http://www.moneyfactory.gov/uscurrency.html

( i believe you'll find that 'the federal reserve' uses the bonds it gets for nothing as collateral to 'secure an issue of federal reserve notes/the little green rectangles)

 

[H. E. Panqui]

Who are you listening to on the radio ?

(please don't make me reveal my shame) :o

 

[LibertyEagle]

Maybe Justin should get back to kissing up to the guy he endorsed. Good 'ol Ted "Trans Pacific Partnership/North American Union" Cruz.