If something doesn't make sense to you, use logic, be objective, and have an open mind.
Trust your own logic over others.
When people are not being honest, truth becomes clouded and we have a choice.
Trust in others, even though it doesn't all make sense, or trust ourselves.
I submit that trusting your own thoughts is one of the most important things to intellectually learn in life.
Personal Debt : You wouldn't have any hypothetically.
Suppose you were given the exclusive right to print money on an everyday copy machine.
The money you print is legal tender anywhere.
How much debt would you have? Obviously, you would have zero debt.
You would have "tons" of money.
The federal government has the same exclusive right to print money.
So, why are they in debt? Inflation Risk I have a good idea (not really).
Let's print money to ourselves and turn around and lend it to ourselves at face value, to avoid inflation.
A main argument people make is that due to inflation the government can't just print whatever money they want.
It would devalue the currency.
In times past, countries have debased their currency and severely hurt their economies.
It's not a good argument and here's why.
Print what you need and stop printing.
No matter how much you print, it's still paper.
You shouldn't be in debt for printing a bunch of paper.
The inflation argument really points to the fact that we need to make wise decisions on the quantity of money we produce.
This, however, is a different statement than we can't print money because of inflation.
What the inflation risk argument is really saying is that we are in debt because if we make errors and print too much money there will be inflation.
It's not logical to assume we should get a bunch of debt because we are to irresponsible to govern our own printing press.
Inflation Argument #2 We can only print so much money to avoid inflation risk.
So, what we should do is borrow the extra money we need to avoid inflation.
We can borrow from people and countries.
Inflation argument #2 is flawed, as well.
When you borrow money from other countries, you are, in fact, injecting the money into the economy as if you had printed it.
You are borrowing the money to spend it.
So, you convert foreign currency to dollars and put it into the economy.
These days it is done electronically and it expands the money supply.
If you borrow money from the American People, you are actually taking money out of the economy.
Who Is The Federal Reserve Bank? It's a small group of wealthy bankers.
Morgan, Rockefellers, Rothschilds, Paul Warburg, and the Lehman Brothers.
This list is not all inclusive, but shows the main controlling partners.
What Presidents Have Been Against A Centralised Bank? President Andrew Jackson destroyed one of the nations centralised banks.
President John F.
Kennedy was also against the Federal Reserve Bank.
Thomas Jefferson felt strongly that it was unconstitutional.
Thomas Jefferson was concise in his early warning to the American nation, "If the American people ever allow private banks to control the issuance of their currency, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all their property until their children will wake up homeless on the continent their fathers conquered.
" Why Does The Government Have Debt? The government borrows at monetary face value plus interest.
The government borrows the money from the Federal Reserve Bank (a.
private money printers).