Maxdeath
Diamond Member
- Jun 12, 2018
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Lol. You don’t think that countries that we borrow from want something for loaning money? You don’t think that people that loan money in the way of bonds don’t want something for the government using their money? I take it simple finance is not something you are familiar with.I take it you still don’t understand. Last years interest was 378 Billion dollars. Guarantee it will be much higher next year thinks to stimulus. That does nothing to bring the debt down.
Who or what do we owe the principle and interest to?
Any government that issues its own currency can not be forced to default on debt issued in that currency.
Greece collapsed because it joined the EU and no longer possessed a sovereign currency.
The US not only has a sovereign currency it also possesses a global reserve currency.
Imho, government deficits and debt are not the problem.
Private individual and corporate debt are the problem
Government Debt and Deficits Are Not the Problem. Private Debt Is. | Michael Hudson
"Student loan debt, now the second largest debt in the US at around $1 trillion, is the one kind of debt that has been growing since 2008. It is depriving new graduates of the ability to start families and buy new homes.
"This debt is partly a byproduct of cutbacks in federal and local aid to the universities, and partly of turning them into profit centers – financializing education to squeeze out an economic surplus to invest in real estate and financial holdings, to pay much higher salaries to upper management (but not to professors, who are being replaced by part-time, un-tenured help), and especially to create a thriving high-profit, zero-risk, government guaranteed loan business for banks."
We can not just print our way out of debt. Every amount you print devalues the dollar by that much. You print billions of dollars you either have to back that up with something of value or you have uesless paper. Print enough and you might as well just use it to burn in the fireplace.