Posted: September 23rd, 2009 | No Comments »
From Kyle Bennett:
You’ve expressed concern with the safety of the hundreds of billions of dollars of US Treasury instruments that you possess. Your concern is well founded.
They will not be paid in full.
That they have promised you our cooperation, willing or otherwise, should be of little comfort to you. They have no authority to make such promises on our behalf, nor on generations yet unborn. Their promises were based on the assumption that the force of law, or the naked force of arms, will remain at their service to be placed in your service. That is a risky assumption.
Read the entire article.
Posted: August 28th, 2009 | No Comments »
It is not literally impossible that the Federal Reserve could unleash the Zimbabwe option and repudiate the national debt indirectly through hyperinflation, rather than have the Treasury repudiate it directly. But my guess is that, faced with the alternatives of seeing both the dollar and the debt become worthless or defaulting on the debt while saving the dollar, the U.S. government will choose the latter. Treasury securities are second-order claims to central-bank-issued dollars. Although both may be ultimately backed by the power of taxation, that in no way prevents government from discriminating between the priority of the claims. After the American Revolution, the United States repudiated its paper money and yet successfully honored its debt (in gold). It is true that fiat money, as opposed to a gold standard, makes it harder to separate the fate of a government’s money from that of its debt. But Russia in 1998 is just one recent example of a government choosing partial debt repudiation over a complete collapse of its fiat currency.
Read: Hummel: The US Will Default On Its Debt
Posted: July 7th, 2009 | No Comments »
I saw President Obama give a speech, and noticed another new evil fnord. President Obama said “Our children will have a huge burden of repaying the national debt.”
Read the complete article here.
Posted: March 31st, 2009 | 2 Comments »
… Sack’s doctrine of odious debts brings clarity to today’s complicated developing world’s debt crisis were innocent citizens have to continuously pay debts whilst corrupt and negligent borrowers and lenders get away scot free.
Zimbabwe’s illegitimate debt - who should pay?
Posted: March 25th, 2009 | No Comments »
Sheldon Richman has an urgent message for the Chinese: don’t loan the US government any more money!
Dear Chinese people, what have you been thinking? Do you expect to be paid back? Author Peter Schiff recently asked an audience to imagine a U.S. president saying to the American people that it is now time to raise taxes and cut spending because … we have to pay the Chinese back. Not going to happen.
Let’s hope they get the message!
Posted: February 25th, 2009 | No Comments »
Of four major criticisms that have been leveled at Obama’s economic policies, mainly from the political right, the possibility of expanding the federal debt sparks the most public concern. More than four in five Americans say they are worried about the amount of money being added to the federal debt, including 54% who are “very worried.”
Read the Complete Article.
Posted: February 23rd, 2009 | No Comments »
The national spending spree, by which the U.S. government will seek to get the country out of a slump caused by too much spending and debt by running up the credit cards and letting the kids and grandkids worry about the bills, is now law. It’s a truly remarkable effort, not just because of the questionable economics behind the whole idea of stimulus spending, but because of the troubling ethical implications of trying to buy our way out of today’s problems by binding the Americans of tomorrow to foot the bill for our idiocy. By doing so, it spends not just money, but the liberty of generations to come.
J.D. Tuccille: Our legacy to the kids
Posted: February 19th, 2009 | No Comments »
One of the most promising ideas to come out of libertarianism for a long time …. Refuse to be a good peasant. Do not let peasant status be the legacy forced upon your children and grandchildren. They will be free men and women, standing on their own feet, only if you stand up on yours and say the one word upon which freedom rests: NO. You must say it quickly, however, because the politicians have already grabbed onto the idea. Their form of repudiation is to monetize the debt …
Read the whole thing here.
Posted: February 13th, 2009 | 2 Comments »
Here.
