The US in in debt to the tune of trillions of dollars.

How can we loan foreign countries billions of dollars?

The only way I can think that this can work is if the debt and the deficit are both meaningless statistics and there is never any plan to pay off or reduce either of them.

Debt can be easily managed with money printing and inflation. It might not work out well for the citizens.

The only way I can think of to fix it is:
1. Stop spending
2. Only pay for defense and payment on the debt
3. Stop all government welfare-return it to the states or churches like in the past
4. Prune the federal government until it meets what the Constitution lists as federal government requirements
5. End professional politicians-it should return to an unpaid job that meets infrequently
6. Bring all our military back from foreign lands-we don’t need to be involved in anyone else’s problems-we are not the world police

Our elected officials have determined that buying votes with taxpayer's money and letting following generations pay the bill is a wonderful strategy for staying in office. they are counting on never paying it back (by continuing it indefinitely), or if forced to, doing so with cheapened dollars (as a result of inflation), or raising taxes to "sufficient" levels.

So far, this strategy is working. For them, at least. This is not the first time this has been tried, google "Wiemar Republic" for one example, ask Nicki (member 0-0) for another.

It's all a giant ponzi scheme.

kick the can and keep the presses running

quote:

Originally posted by Ryanp225:
It's all a giant ponzi scheme.

Yes.
Mike above has the solutions.

quote:

The only way I can think that this can work is if the debt and the deficit are both meaningless statistics and there is never any plan to pay off or reduce either of them.

That is not possible. Argentina tried. Watch Tucker on Argentina.

To me, the economy is very much a balance with dozens if not hundreds of topics on both sides of the scales. I am worried that globalists and enemies alike now have thumbs on one side and actively working to remove safeguards on the other.

Inflation is a tax on all of us and it can only ease some of the significance of the debt. Interest rates going up make borrowing much worse of course. Stop over spending, especially on green energy shit. Cut federal budgets to something similar to pre pandemic levels. Cease giving money to those who hate us, and use it for domestic interests instead. Stop quantitative easing and printing money. Let's make stuff again. My best suggestion would be start W energy production as it creates wealth, and also lowers costs to all of us. National interests are better protected if we are energy self sufficient again. Drill baby drill.

The Government Debt to GDP in the United States averaged 65.20% of GDP from 1940 until 2022. It peaked at 129% if the stats are not rigged it is down to 118%

We could easily get it down 5%-10% a year and be fine.

This social engineering crap has to go.

The Dems are using money to reshape our lifestyles.

Spending us into oblivion to do it.

Agreed with the comments but still doesn’t address the basis of my question

If we are in debt how can we make loans unless the debt is irrelevant and no one ever intends to pay it back.

quote:

Originally posted by sig2392:

The Dems are using money to reshape our lifestyles.

Spending us into oblivion to do it.

They aren’t just using money. The Dems are devaluing our currency to reshape our culture. Those who have accumulated some lifetime wealth but are not savvy at investing will suffer the most.

quote:

Originally posted by nhtagmember:
Agreed with the comments but still doesn’t address the basis of my question

If we are in debt how can we make loans unless the debt is irrelevant and no one ever intends to pay it back.

Making loans is easy, just keep printing money. I think TPTB do pretty much consider the debt to be irrelevant, nothing more than a theoretical talking point. "Somebody" will pay it back down "someday". Of course that's nothing but fantasy unless they also start cutting spending in significant ways, as a couple of other posts have started to enumerate. They know that, too. They just don't care as long as it keeps getting them elected.

There was a time when I was in debt in excess of $25,000. Over half of it was from flying lessons, but some of it truly was frivolous spending on my part. Guess what I did???

I STOPPED SPENDING MONEY!!!!!!
I SACRIFICED A BIT AND PAID OFF THE DEBT!!!!!

By making good LIFE CHOICES, I am now debt free with the exception of my mortgage, and I'm actually on the verge of paying that off in the next year or so.

How in the name of Zeus's butthole ANYONE thinks they can "spend their way outta debt", ala the Crimson Kenyan, I'll never know. That "strategery" makes no sense whatsoever to this accounting brain. To have duped the common public that you can actually spend MORE money to get yourself out of debt is the biggest reach-around in the history of mankind. JSMFH.......

quote:

Originally posted by nhtagmember:
If we are in debt how can we make loans unless the debt is irrelevant and no one ever intends to pay it back.

if the question is genuinely, how can you be in debt and make loans at the same time, it's pretty simple. Your debt isn't all due immediately, so you use cash that comes in to make more loans and, when payments on your debt is due, you use some cash then to take care of that.

Think of banks. They all have debt (bonds, e.g.) but yet their business is making loans. They just make coupon payments on their bonds when they're due, and retire them or roll them over when they expire.

This is not to defend the morons who make foreign 'loans' or the morons (same people, generally) who run up the massive deficits. Tar should be heating up and feather sources identified for them.

Every debt is paid by someone. Normally the borrower, but if he defaults it will be the lender. Governments have the trick of inflation to shift it to others.

I don't believe politicians expect the debt to ever be properly paid off. Kick it down the road and inflate it to nothing.

Read the book "The Mandibles" by Lionel Shriver. I believe it explains and predicts quite accurately.

quote:

Originally posted by chellim1:

quote:

Originally posted by Ryanp225:
It's all a giant ponzi scheme.

Yes.
Mike above has the solutions.

quote:

The only way I can think that this can work is if the debt and the deficit are both meaningless statistics and there is never any plan to pay off or reduce either of them.

That is not possible. Argentina tried. Watch Tucker on Argentina.

I believe that is pure BS for the ignorant stupid brainless senseless empty headed worthless fucking masses. Hot air for the educated.

The same motherfuckers that said they wouldn’t pay the debt were stealing us blind to collect the doe to make the payments. Unfortunately, mine is a rich country with poor people. There’s always plenty to keep stealing so the politicians never run out of work.
Their bravado doesn’t and never match their actions.
While they curse and blame the IMF permanently, they don’t hesitate to negotiate and borrow at every chance. They do collect generous travel funds when traveling to the IMF meetings and bring plenty of goods that are othert probibitive for the rest of us.

They have screwed us way beyond human tolerance and keep on going. Now they print pesos non stop to give away free money to the non working class they bred from scratch. Throwing cash to two figures inflation is not a solution recommended by economists or even dimwits dumbfucks.

We might be headed to another 2001 crisis. Fast. Next couple of months will tell.
Come Summer things go usually quiet.
0-0

quote:

They have screwed us way beyond human tolerance and keep on going. Now they print pesos non stop to give away free money to the non working class they bred from scratch. Throwing cash to two figures inflation is not a solution recommended by economists or even dimwits dumbfucks.

Yep.

Originally posted by nhracecraft:
Tucker on X: Hyperinflation and Argentina

About my post above, my apologies to everyone.
I am so upset.

Lost my job when the lockdown started three years ago. Haven’t made a dime since.

Came to some money after my family imploded catastrophically like the tinfoil minisub.
Recent factual by non official argentine devaluations have halved my funds and worth value over and over and over again. Not sure how long it will last. Not the years i had counted on.
Property is unaffordable as it is priced in dollars and we earn worthless pesos.
Can’t lease as people can’t make ends meet and there’s no legal system to count on.

Pardon my above French my friends.

0-0

My $0.02:
- The National Debt is out of control; The #s are so big they are incomprehensible. It would take generations of discipline, and significant adjustments to taxes and spending... No political leadership will attach themselves to this... The easy/natural thing for them to do is nothing... just kick the can down the road for the next generation/administration

- I heard it said Q: "why do people keep lending us $ when the debt is so high?" A: "Because we pay our bill"

- If I were king:
1) The USA gives ZERO money to any country. If we determine say Ukraine should receive some USD or a couple hundred mil is needed to fight climate change in Uganda so be it; BUT, we only LOAN $ or issue bonds
2) Servicing the national debt (Interest only) would be a separate tax so every person in the US would better appreciated and feel it's pain... Hopefully this would better train the public to think twice before approving the outpouring of millions/billions to other countries
3) As best we can and adjusted every year; institute a VAT % that would be applied to EVERYTHING to cover servicing the national debt only (bared by the end user); EVERYONE would feel the pain evenly. Federal income tax would of course go down... but NO ONE escapes the pain of the national debt... Every time anyone buys anything, they see the $ on their receipt. Unlike the SS ponzi scheme, the VAT covers the national debt ONLY, no exceptions.
4) Federal spending would be more transparent, allowing the persons paying for it more time and ability to approve/dissaprove via their elected officials (And also help keep the elected officials accountable). If we knew giving [x] billions to [y] was going to cost us [%] on everything we bought... maybe we would reel it in a little

It's not money, it's currency. There are 2 economies, one is between commercial banks and the central bank (federal reserve), and the other that is loaned out to the public. We have to, one way or another, pay back that loan, the banks just swap IOUs with each other and they have a "printing press". The debt will never be paid off, let alone the interest, but rather through taxes and inflation (devaluation) by our children, our children's children..etc. National fiat currencies are created by indebting you and future generations. Homeowners will pay through the collapse of equity in their homes.

"It is well that the people of the nation do not understand our [fractional reserves] banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning".-Henry Ford