It is distressing when people with so much power spend time addressing such silly questions, in such silly ways.
In the USA, there is a putative debt ceiling. Theoretically, Congress is supposed to be a check on runaway spending.
Debt is the borrower's side of a loan. The government borrows credit which would be no problem, except the government does so and offers usury. If no usury, no one would lend to the state.
The states power to borrow is related to its power to mulct money from unwilling citizens.
There is no money involved at any point in all of this. So the terms are nonsense to begin with.
A debt ceiling has nothing to do with anything in particular, it is just an imaginary line across a continuous process of borrowing debt and using it to buy things we probably don't need, on credit.
So a trillion dollar coin may be of a nice metal worth say $2000, but it is not money. It is just a token that says "this represents a trillion in currency." And there is nothing wrong with that, except if it is not true.
And we cannot know. We can only judge does the state have the power to borrow credit, trade it for money, and guarantee children and grandchildren will work for money to pay it back? If and when borrowers begin to doubt that, money will get valuable, and currency will tank.
Important to know what the terms mean...
Please feel free to share this post with three of your friends.
In the USA, there is a putative debt ceiling. Theoretically, Congress is supposed to be a check on runaway spending.
Debt is the borrower's side of a loan. The government borrows credit which would be no problem, except the government does so and offers usury. If no usury, no one would lend to the state.
The states power to borrow is related to its power to mulct money from unwilling citizens.
There is no money involved at any point in all of this. So the terms are nonsense to begin with.
A debt ceiling has nothing to do with anything in particular, it is just an imaginary line across a continuous process of borrowing debt and using it to buy things we probably don't need, on credit.
So a trillion dollar coin may be of a nice metal worth say $2000, but it is not money. It is just a token that says "this represents a trillion in currency." And there is nothing wrong with that, except if it is not true.
And we cannot know. We can only judge does the state have the power to borrow credit, trade it for money, and guarantee children and grandchildren will work for money to pay it back? If and when borrowers begin to doubt that, money will get valuable, and currency will tank.
Important to know what the terms mean...
Please feel free to share this post with three of your friends.
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