Monday, August 3, 2009

No Money

The government, in the very near future, will not have the money to fund ANY of its programs (without REAL, and DAMAGING, printing of fake money to buy U.S. Treasury Bonds).

"A key factor is the economy's health. The future of current programs — not to mention the new ones Obama is proposing — will depend largely on how fast the economy recovers from the recession, said William Gale, co-director of the Center. "If it's just one year, then it's a remarkable thing, but it's totally manageable. If the economy doesn't recover soon, it doesn't matter what your social, economic and political agenda is. There's not going to be any revenue to pay for it."

Any Questions?

Libertariananimal (at) gmail Dot Com




4 comments:

Jacob Gittes said...

Most people simply can't believe that the government can "run out" of money. They both have a childish faith in the solidity/permanence of the dollar, and a Keynesian mythology in their heads telling them that money can magically be created with no consequences for the value/longevity of the currency.

Magical thinking -which works, until it don't.

Any comments about the just plain weirdness in the air?

Anonymous said...

Publius,

It's the socialist view of money. Print it and the goods will magically appear to spend it on. The Obama administration is betting our futures on it. They truly believe that the rules don't apply to them. They are just too damn smart.

Regards,

Coal Guy

Donal Lang said...

I agree, printing money is a huge gamble. It probably won't work.

But surely better the possibility of avoiding a crash (and pay for it for 20 years), rather than the certainty of a crash, and pay for it for 20 years.

I still haven't heard of any alternative plans; what would you guys propose?

RobG said...

One proposal was done by the Onion:
U.S. Government Stages Fake Coup To Wipe Out National Debt