US debt solutions

[America 1st]

"The solution to the debt crisis is economically easy but politically difficult. First, agree to cut spending and raise taxes to an equal amount. Each will reduce the deficit equally, although they have different impacts on economic growth and job creation. Tax cuts aren't great at creating jobs. There is no need to create a massive debt by cutting taxes.

Whatever is decided, make it crystal clear exactly what will happen. This will restore confidence. That allows businesses to put the assumptions into their operational plans."

The Surprising Truth About the U.S. Debt Crisis

A debt crisis occurs when a country is in danger of not meeting its debt obligations. Learn about past times of crisis in the U.S. and their lasting impacts.

www.thebalance.com

Seems pretty obvious Medicaid and Social Security should be the first things to go but this is a forum for open debate so what else y'all faggots got?

 

[Dinkis14]

Do what Cuomo did to the homeless by shipping them elsewhere. Except, instead of shipping just the homeless, ship those on welfare to Haiti on a one way ticket. If they don’t like it, they can catch the Megabus to the Dominican Republic for $1.

 

[Rooney]

The Marxists will propose a land tax.

That is if you own 5 acres or more of land you are the “landed gentry”.
A tax will be proposed, a one time tax, of $100 per acre. This will enable the rulers to drastically reduce the deficit. How can ANYONE be against this? It’s your duty as a rich landowner to pay this tax.

of course there will be exemptions for people of color and rainbow people.

 

[BigBucnNole]

The debt isn't great by any means, but debt service is also 600bn of the budget and 2.4% of the GDP. It would be equivalent to wracking up $64k in credit card debt on a 60k salary and paying $120 bucks a month. It's not fun, but it's not breaking the bank. In those cases, best option is to grow out of the debt. At current rates we're adding about a trillion in GDP annually. Slow spending growth and it's easily achievable.

It will be interesting to see how healthcare fits into this going forward. That's clearly one of the fastest and most unstable budget line items that needs to be solved.

To put some of it into further perspective... the British Government just finished paying off debt to the War of Jenkins Ear, circa 1720 or 30 IIRC. Essentially the debt got so small over time it fit within the margin of error of budget estimates. That was a lot of money at the time, it turned into effectively a world war against a super power.

 

[CDDP]

President needs to tell the Treasury Secretary to direct the US Mint to engrave a $30 Trillion Dollar Platinum coin and deposit it at the Federal Reserve. Fed will then hold the coin as an asset and print $30 trillion dollars and give it to the Treasury department to pay off our national debt.

 

[BigBucnNole]

President needs to tell the Treasury Secretary to direct the US Mint to engrave a $30 Trillion Dollar Platinum coin and deposit it at the Federal Reserve. Fed will then hold the coin as an asset and print $30 trillion dollars and give it to the Treasury department to pay off our national debt.

Under MMT, debt doesn’t really matter. It’s disconnected from output and money is solely a supply and demand issue. Taxes act as a pressure valve.

 

[CDDP]

Under MMT, debt doesn’t really matter. It’s disconnected from output and money is solely a supply and demand issue. Taxes act as a pressure valve.

Do you see full blown MMT in our future?

 

[BigBucnNole]

Do you see full blown MMT in our future?

I think so. It's been the trend for decades.

Problem is, tying down currencies just creates deflationary issues, and that's something very difficult to control. The great depression was a deflationary depression. The Central banks cut money supply, and cash became extremely expensive and killed growth. Of the three types of recessions, supply gluts, inflationary, and deflationary... deflationary is the worst.

If you really want to flesh out where shit is going. Digital currency is going to make for some interesting outcomes. May come to a point in time our ability to produce enough energy to generate enough transactions to stabilize the velocity of money becomes difficult to do. Probably won't be in our lifetimes, or at least not until we are all extremely old and gray here. Space based solar energy may be the only solution to a problem like that.

 

[America 1st]

I think so. It's been the trend for decades.

Problem is, tying down currencies just creates deflationary issues, and that's something very difficult to control. The great depression was a deflationary depression. The Central banks cut money supply, and cash became extremely expensive and killed growth. Of the three types of recessions, supply gluts, inflationary, and deflationary... deflationary is the worst.

If you really want to flesh out where shit is going. Digital currency is going to make for some interesting outcomes. May come to a point in time our ability to produce enough energy to generate enough transactions to stabilize the velocity of money becomes difficult to do. Probably won't be in our lifetimes, or at least not until we are all extremely old and gray here. Space based solar energy may be the only solution to a problem like that.

Hell might be freezing over because we are going to agree again.

Deflationary spirals are the only thing to really be worried about.

 

[skramer100]

The debt isn't great by any means, but debt service is also 600bn of the budget and 2.4% of the GDP. It would be equivalent to wracking up $64k in credit card debt on a 60k salary and paying $120 bucks a month. It's not fun, but it's not breaking the bank. In those cases, best option is to grow out of the debt. At current rates we're adding about a trillion in GDP annually. Slow spending growth and it's easily achievable.

It will be interesting to see how healthcare fits into this going forward. That's clearly one of the fastest and most unstable budget line items that needs to be solved.

To put some of it into further perspective... the British Government just finished paying off debt to the War of Jenkins Ear, circa 1720 or 30 IIRC. Essentially the debt got so small over time it fit within the margin of error of budget estimates. That was a lot of money at the time, it turned into effectively a world war against a super power.

So we just get a heloc to lower our rates and pay over time?

 

[Zgdaf]

Under MMT, debt doesn’t really matter. It’s disconnected from output and money is solely a supply and demand issue. Taxes act as a pressure valve.

couple things.. one is Triffen’s dilemma.. basically in order to be the reserve currency, we had to gut out manufacturing and give away usd to others countries otherwise we would have runaway inflation. China has figured this out and uses the free money and in turn traps other countries in debt,, but this is another topic.

Your correct, The MMT is disconnected from output. So right now any money given in stemmies are put in savings, stock market, pissing money away which might not help the economy.
to control this, there is going to be a fed coin. They can expire the money and direct the receiver on how to spend it to stimulate different areas of the economy.

 

[Cre8ive]

"The solution to the debt crisis is economically easy but politically difficult. First, agree to cut spending and raise taxes to an equal amount. Each will reduce the deficit equally, although they have different impacts on economic growth and job creation. Tax cuts aren't great at creating jobs. There is no need to create a massive debt by cutting taxes.

Whatever is decided, make it crystal clear exactly what will happen. This will restore confidence. That allows businesses to put the assumptions into their operational plans."

The Surprising Truth About the U.S. Debt Crisis

A debt crisis occurs when a country is in danger of not meeting its debt obligations. Learn about past times of crisis in the U.S. and their lasting impacts.

www.thebalance.com

Seems pretty obvious Medicaid and Social Security should be the first things to go but this is a forum for open debate so what else y'all faggots got?

I'll try being nicer if you'll try being smarter. None of the above even approaches the critical mass of the black hole that is being formed by the feds. Try again.

 

[America 1st]

I'll try being nicer if you'll try being smarter. None of the above even approaches the critical mass of the black hole that is being formed by the feds. Try again.

Fuck being nice