Quote:
Originally Posted by Old Mechanic
5 billion a week. Let's use a hypothetical millionaire for an example. This person is worth exactly 1 million dollars. That means we are confiscating the total net worth of 5000 hypothetical millionaires every week, and this money is gone, every week. The debt the US has accumulated is the total net worth of 16,000,000 of our hypothetical milionaires.
Maybe it is better understood in this context, the US has spent that much net worth and we are bleeding net worth at the rate of 1,000,000 a year in Federal deficit and 5000 more a week in trade deficits. A lot of those recieveing this cash influx are converting it to gold and the price of oil versus gold has been fairly consistent for a long time.
What is the solution? Elimination of the 5000 a week deficit and elimination of the 1 trillion a year in unfunded spending. The accomplishment of those two losses would result in a capital influx of substantial proportions. This is cash, and when cash is infused into our economy, the banking systen multiplies that cash tenfold.
Now we are talking about 5 trillion in new capital every year in the US economy. The result of this influx would be a transformation of our economy, with new capital available for all kinds of investments.
I find it hard to believe that we continue the process of bleeding our national net worth without a real policy of an unbiased effort to find any and every way of reducing the outflow of national net worth. I guess the only justification is that capital represents a windfall for almost every other nation on the planet, but at what point do we become impoverished by the outflow itself. Only recently we have seen a substantial reduction in national net worth but it is something we need to understand and resist, with our best efforts at every technology that would stem the flow.
regards
Mech
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What? Mech, you've clearly crossed a line here into pure politics. The issues regarding the public debt in this country are so insanely complicated it boggles the mind, religion and politics have nothing on the debt issue.
Your fast and loose utilization of numbers here make no sense whatsoever, you completely take things out of context.
I would get into it a lot further with you, but, I will not because of the wishes of the forum founders that this discussion has no place here in the ecomodder lounge as has been pointed out to us previously.
Quote:
Originally Posted by MetroMPG
Just a proactive reminder that the forum has a policy of non-political subject matter, and also ... civil discourse! (Mwebb, please keep that in mind. Thanks.)
No problem with this thread's subject matter, otherwise.
But I have a prediction (based on years of experience!) of where this is going.  |