Oct. 14, 2013
Based on the following premises:
1. The national debt is not an obligation to pay value, it is an obligation to pay money.
2. The government has the authority to create unlimited money out of thin air. The Federal Reserve was created by the government, and derives it’s authority to create unlimited money from the government. If the government does not have the authority to do this itself, then how were they able to delegate that authority to a central bank?
3. The government can make, change or ignore any rule they want as long as they declare national security.
There are at least three ways for congress to “pay their bills on time” and not become “a deadbeat nation” that don’t require borrowing any more money and would spare the American people another crisis over the debt ceiling.
Inflation without negative consequences
Right now you’re saying “inflation is bad because it raises the price of goods and services!” Yes, but the price increase is offset by the fact that there’s more money available to buy these goods and services in the first place. “But inflation is bad because it devalues the money!” but there’s more devalued money than there was before, so the overall value in the economy stays the same. It’s called equilibrium.