Reposted,
Originally posted on 1.5.13:
1.26.19:
In case you are wondering about the adjournment of Congress, and ruling by decree, it might be possible to fund the government like this...
It would debase the currency, but isn't that what they have been doing all along?
............
1.5.13:
It's amusing because they're citing a difference that doesn't make a difference. To illustrate: let's look at how they do it now.
To start, how much does it cost the government to print a $100 bill? I don't know myself, so let's just say it costs a penny for each bill. That is a ratio of 10000 times its actual cost to produce--- $100/.01= 10000.
By the way, to run monetary policy, they don't even have to print the money. They can do just accounting entries. Maybe the ratio is closer to a million to 1. After all, how much does an accounting entry cost? lol
Let's say platinum's price is about $1600 per oz. That means with the same ratio, you could strike a $16 million dollar coin. Okay, that's not a trillion, but in principal, how is it different? Just to run the numbers, you need 62,500 coins of this denomination to make a trillion. Would you feel better if they had to make all those coins? It would cost the Treasury about the cost of 2 tons of platinum, or 1/10000th or their true value. Sure, they still aren't worth that much that it says its worth, but neither are those bills in your wallet nor those coins in your pocket.
You'll probably object by saying that I don't know what I'm talking about. If you do think that way, then please tell me how it is actually done. That's because that's the way it was taught to me while I was in school. Maybe the way I learned it all was wrong.
I'm not missing the point either. I suspect those of you who object are the ones missing the point. Our currency is actually worthless. It is only "worth" something because somebody in authority says it is.
They say our debt is 16 trillion, but a lot of that is hocus-pocus too.
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