Why The National Debt Is Good For The Country

[Contumacious]

Why The National Debt Is Good For The Country

1- Debt enriches the parasitic sector

2- Debt enriches the Federal Reserve bankers

3- debt will eventually cause the nation's finance system to collapse; giving the socialists the pretext to centralize even more power in DC

4- We are not "borrowing from our grandchildren, we are merely destroying their future, hopes and aspirations;;


.

 

[P@triot]

Manageable debt.

Its what every sucessful business has done.

Imagine if you were hired as a CEO and tried to run the company with a balenced budget and NEVER borrowed money.

You would be crushed by the competition.


Nearly every family in the world borrows money to buy big items like homes and cars.

Really? Microsoft is one of the richest most powerful companies in America - and they operate with a $4 billion "war chest" at all times. Which tells me they are not wasting money on interest for loans when they can dip into that.

Additionally, Harvard sits on on a $40 billion endowment fund. Something also tells me they are not wasting money on interest for loans when that is available.

Only a monumental idiot thinks that debt is a good thing. Take even the most basic business course and they will explain the dangers of debt. If you borrow 1 million for a 1 million item, you end up paying 1.3 million for that 1 million item. Again, only a monumental idiot thinks that is a good idea. No wonder liberal policy fails world wide. They think spending themself stupid into collapsing debt makes "good business sense"

 

[saveliberty]

Last week Google had more readily available cash then the Fed.

 

[P@triot]

7. When the government issues debt, it enriches the private sector, which encourages people to spend and invest. When people spend and invest, they create jobs and improve the economy.

You left out all the important reasons & made your argument completely one sided.

8. Increasing debt = Inflation. This is bad for most especially fixed income & savers. It is earnings & savings theft. A cruel tax. If the USG is going to print money then they should pay it to the people who they stole the value from. The savers. All that newly created currency should not go to government cronies first. They are getting to spend it first before inflation sets in. That is criminal in so many ways.

9. China is artificially devaluing their currency creating a de-facto export subsidy & import tariff. They have found a way around the WTO policy on protectionism.

A. Nobody's printing any money. Issuing Treasury bonds does not increase the money supply.

B. When corporations issue debt, does that also, in your mind, equal theft?

C. What does China have to do with anything?

Like all liberals do, now you are contradicting yourself. In your very first post to start this thread, you cited "Our debt is denominated in dollars. We can create as many as we want. Now you turn around and say "A. Nobody's printing any money".

This just shows how confused you are about economics and proves you truly have zero idea what you are talking about.

 

[Ernie S.]

7. When the government issues debt, it enriches the private sector, which encourages people to spend and invest. When people spend and invest, they create jobs and improve the economy.

Yeah Right-- We see how well that's working with Obama's flood the basement economic policies--specifically his 1 trillion spent on an economic stimulus bill.

[:

When the economy collapsed at the end of Bush's second term, a lot of Tea Party types were out buying shot guns shells and Kruggerands. The reason it didn't get to that point was because of government intervention.

The government could bring the unemployment rate down even more. But it would require even bigger deficits than the ones you're complaining about now.

OK... When obama took office, gold spot was about $850/oz. Currently it's at just under $1,650. Shotgun shells are up about 30% as well. How did your stack of dollars do? Do they still buy the same amount of weed they did when the O took over?

 

[Soggy in NOLA]

The notion that all companies run debt is B.S. I can tell you as a CPA and a former CFO, any company borrowing money to meet payroll is in big trouble. Most of the time when companies borrow money, it is for capital expansion projects, not to fund daily operations.

 

[P@triot]

Manageable debt.

Its what every sucessful business has done.

Imagine if you were hired as a CEO and tried to run the company with a balenced budget and NEVER borrowed money.

You would be crushed by the competition.


Nearly every family in the world borrows money to buy big items like homes and cars.

By your own "logic", that means the people who have had their houses foreclosed on over the past few years are wealthier than Bill Gates who is sitting on billions and who has no debt.

Wow. I mean, seriously, just wow.....

 

[P@triot]

Last week Google had more readily available cash then the Fed.

Which means Google is dirt poor and the Fed is filthy rich by liberal "logic". I mean, Google doesn't have to borrow money, so clearly they are in big financial trouble.

Liberal "logic" - seriously folks, you can't make this stuff up....

 

[saveliberty]

Last week Google had more readily available cash then the Fed.

Which means Google is dirt poor and the Fed is filthy rich by liberal "logic". I mean, Google doesn't have to borrow money, so clearly they are in big financial trouble.

Liberal "logic" - seriously folks, you can't make this stuff up....

Let's Google it to be sure.

 

[Soggy in NOLA]

Last week Google had more readily available cash then the Fed.

Which means Google is dirt poor and the Fed is filthy rich by liberal "logic". I mean, Google doesn't have to borrow money, so clearly they are in big financial trouble.

Liberal "logic" - seriously folks, you can't make this stuff up....

Well, this is what happens when you spend 12 years in college immersed in the liberal arts.

For Chrissakes... take an accounting or finance class.

 

[P@triot]

It is official, the left is delusional. This mentality is demonstrates such ineptitude that it defies any rational explanation.

Name calling is not a substantive response. If you think I've said something delusional, you should say what it is.

If name-calling is just your knee-jerk reaction to reading something you don't understand, you should try to understand it so you can make an intelligent response.

Can one liberal explain to me, if deficit spending and debt is so beneficial, why is it not working? Under this president deficit spending and debt has increased more than any other president, so why is economic growth stunted?

Any number of liberals - or just plain economists - could explain it to you, if you read what they had to say.

Here's Paul Krugman, yesterday:

Given a crisis that should have been relatively easy to solve — and, more than that, a crisis that anyone who knew macroeconomics 101 should have been well-prepared to deal with — what we actually got was an obsession with problems we didn’t have. We’ve obsessed over the deficit in the face of near-record low interest rates, obsessed over inflation in the face of stagnant wages, and counted on the confidence fairy to make job-destroying policies somehow job-creating.

This is such a stupid, and there really isn't any other word to describe this thinking, that it is laughable if it weren't for the fact that we have a president that subscribes to this stupidity.

Whether Obama subscribes or not - and I don't doubt that he does - the fact remains that the deal he signed off on does the opposite of what's needed. It may be the best he could do, politically, but it's not what's best for the economy.

If national debt is beneficial what went wrong in Greece

This is so easily demonstrated to be absurd, though absurdity usually is.

The Greek and US situations are vastly different. For one, people are perfectly willing to lend the US money. Treasury rates are at historic lows. For another, our debts are denominated in our own currency.

Of course - in liberal logic making the exact same tragic mistakes as someone else doesn't matter because it's "just different".

People were willing to lend the US money. Now that we've had our credit rating downgraded by several institutions - including China - people will not be willing to lend us money in the near future. Barack Hussein and his Marxism has created new record unempolyment levels, new record debt levels, and has pushed this country to the brink of collapse. In other words, exactly where he planned.

 

[Sundial]

Save liberty: you're right, some of the money came from TARP. Everything else you said is still wrong.

Rott: Nothing I said has anything to do with raping women, or the Holocaust, or Reaganomics.

Other than that, I can only say that you don't understand the difference between micro- and macro- economics.

Comparing the finances of an individual person, or a family, to the economy as a whole, will mislead you every time.

Answer this question: if foreigners have US dollars, what, if anything, can they do with them?

 

[Sundial]

Except we can't reduce unemployment because you people, in typical Communist fashion, want to punish those that are successful.

The people who benefit the most from our laws, our government, and our country have the greatest obligation to support them.

 

[Too Tall]

It is official, the left is delusional. This mentality is demonstrates such ineptitude that it defies any rational explanation.

Name calling is not a substantive response. If you think I've said something delusional, you should say what it is.

If name-calling is just your knee-jerk reaction to reading something you don't understand, you should try to understand it so you can make an intelligent response.

Can one liberal explain to me, if deficit spending and debt is so beneficial, why is it not working? Under this president deficit spending and debt has increased more than any other president, so why is economic growth stunted?

Any number of liberals - or just plain economists - could explain it to you, if you read what they had to say.

Here's Paul Krugman, yesterday:

Given a crisis that should have been relatively easy to solve — and, more than that, a crisis that anyone who knew macroeconomics 101 should have been well-prepared to deal with — what we actually got was an obsession with problems we didn’t have. We’ve obsessed over the deficit in the face of near-record low interest rates, obsessed over inflation in the face of stagnant wages, and counted on the confidence fairy to make job-destroying policies somehow job-creating.

This is such a stupid, and there really isn't any other word to describe this thinking, that it is laughable if it weren't for the fact that we have a president that subscribes to this stupidity.

Whether Obama subscribes or not - and I don't doubt that he does - the fact remains that the deal he signed off on does the opposite of what's needed. It may be the best he could do, politically, but it's not what's best for the economy.

If national debt is beneficial what went wrong in Greece

This is so easily demonstrated to be absurd, though absurdity usually is.

The Greek and US situations are vastly different. For one, people are perfectly willing to lend the US money. Treasury rates are at historic lows. For another, our debts are denominated in our own currency.

I am an Engineer, not an Economist so allow me to be wrong. I heard that the national debt equaled 100% of the Gross Domestic Product today. In the past I have read that when the debt gets to 90% of GDP, the nation is in serious trouble.

What say you?

 

[MeBelle]

Manageable debt.

Its what every sucessful business has done.

Imagine if you were hired as a CEO and tried to run the company with a balenced budget and NEVER borrowed money.

You would be crushed by the competition.
Nearly every family in the world borrows money to buy big items like homes and cars.

Business, family and government debt cannot be equated in the least.
Business fails to pay it's debt , they go out of business.
Families fail to pay their mortgage, car, credit cards they end up homeless, no transportation and NO CREDIT.
Govt fails to pay it's debt, they get more credit, and the families that are now homeless, transportation-less and probably unemployed by now, are on the hook for paying off debt. I mean, the families that still have a job and a place to live are on the hook for the 'part' of the debt family #1 'owed', plus our tax dollars will go to support family #1.
TRIPLE FAIL!

 

[Sundial]

Manageable debt.

Its what every sucessful business has done.

Imagine if you were hired as a CEO and tried to run the company with a balenced budget and NEVER borrowed money.

You would be crushed by the competition.


Nearly every family in the world borrows money to buy big items like homes and cars.

Really? Microsoft is one of the richest most powerful companies in America - and they operate with a $4 billion "war chest" at all times. Which tells me they are not wasting money on interest for loans when they can dip into that.

Google "Microsoft debt".

The first link is:

Microsoft issues debt as if it were the US government

 

[Sundial]

Again, only a monumental idiot thinks that is a good idea.

The second link:

Microsoft $2.25 Billion Debt May Reward Shareholders

Feb. 3 (Bloomberg) -- Microsoft Corp., the world’s largest software maker, plans to sell $2.25 billion of debt as soon as today as investment-grade companies tap the corporate bond market to reward shareholders.

Proceeds may be used for working capital, stock buybacks and acquisitions, the Redmond, Washington-based company said today in a regulatory filing. Microsoft is offering 5-, 10- and 30-year senior unsecured debt, according to a person familiar with the transaction.

 

[Sundial]

You left out all the important reasons & made your argument completely one sided.

8. Increasing debt = Inflation. This is bad for most especially fixed income & savers. It is earnings & savings theft. A cruel tax. If the USG is going to print money then they should pay it to the people who they stole the value from. The savers. All that newly created currency should not go to government cronies first. They are getting to spend it first before inflation sets in. That is criminal in so many ways.

9. China is artificially devaluing their currency creating a de-facto export subsidy & import tariff. They have found a way around the WTO policy on protectionism.

A. Nobody's printing any money. Issuing Treasury bonds does not increase the money supply.

B. When corporations issue debt, does that also, in your mind, equal theft?

C. What does China have to do with anything?

Like all liberals do, now you are contradicting yourself. In your very first post to start this thread, you cited "Our debt is denominated in dollars. We can create as many as we want. Now you turn around and say "A. Nobody's printing any money".

This just shows how confused you are about economics and proves you truly have zero idea what you are talking about.

You need to slow down and read more carefully. The fact that we can create as much money as we want doesn't mean that issuing debt is the same as printing money.

 

[Sundial]

Manageable debt.

Its what every sucessful business has done.

Imagine if you were hired as a CEO and tried to run the company with a balenced budget and NEVER borrowed money.

You would be crushed by the competition.


Nearly every family in the world borrows money to buy big items like homes and cars.

By your own "logic", that means the people who have had their houses foreclosed on over the past few years are wealthier than Bill Gates who is sitting on billions and who has no debt.

Wow. I mean, seriously, just wow.....

Description of Straw Man

The Straw Man fallacy is committed when a person simply ignores a person's actual position and substitutes a distorted, exaggerated or misrepresented version of that position. This sort of "reasoning" has the following pattern:

1. Person A has position X.
2. Person B presents position Y (which is a distorted version of X).
3. Person B attacks position Y.
4. Therefore X is false/incorrect/flawed.

This sort of "reasoning" is fallacious because attacking a distorted version of a position simply does not constitute an attack on the position itself. One might as well expect an attack on a poor drawing of a person to hurt the person.

 

[P@triot]

Manageable debt.

Its what every sucessful business has done.

Imagine if you were hired as a CEO and tried to run the company with a balenced budget and NEVER borrowed money.

You would be crushed by the competition.


Nearly every family in the world borrows money to buy big items like homes and cars.

By your own "logic", that means the people who have had their houses foreclosed on over the past few years are wealthier than Bill Gates who is sitting on billions and who has no debt.

Wow. I mean, seriously, just wow.....

Description of Straw Man

The Straw Man fallacy is committed when a person simply ignores a person's actual position and substitutes a distorted, exaggerated or misrepresented version of that position. This sort of "reasoning" has the following pattern:

1. Person A has position X.
2. Person B presents position Y (which is a distorted version of X).
3. Person B attacks position Y.
4. Therefore X is false/incorrect/flawed.

This sort of "reasoning" is fallacious because attacking a distorted version of a position simply does not constitute an attack on the position itself. One might as well expect an attack on a poor drawing of a person to hurt the person.

Nice try. You said debt is great and having a balanced budget collapses economies. Therefore, by your own asinine logic, the people who have had their homes foreclosed on are in exponentially better shape than Bill Gates.

1. Person A (Sundial) in an attempt to push Communism, takes the asinine position that balancing our budget would collapse our economy while increasing our $14 trillion debt is somehow good

2. Person B (Me) simply illustrates how asinine that position is

3. Person B (Me) still simply illustrated how asinine your position was to push your Communist agenda

4. Therefore, I've proven that everything you said was asinine.