There Is No National Debt Unless You Want It

The US federal debt is 16 trillion dollars – 20 trillion if you add in state and local government debts – but it could just as easily be zero dollars if we had the monetary system Benjamin Franklin described to the people of London in the 1760s. Englishmen could not understand why the American colonies had no poor houses and unemployed. He explained that if a colony needed to build a bridge or to fight a colonial war against the French they issued money which was retired from circulation as people paid taxes. The New England colonies did print too much money to support of England’s wars against the French in Canada.

The important point is that there was no interest paid and no debt issued. Contrast that to the Federal Reserve which churns out fraudulent and fictional debt by the trillions. The interest on the federal debt is over 500 billion dollars a year. If Ben Bernanke were not printing money to buy bonds, the interest rate would have to at least equal the inflation rate of 10% which would give us an annual bill of two trillion dollars.

Carmen Reinhart and Kenneth Rogoff wrote This Time Is Different: Eight Centuries of Financial Folly which was released in October 2009. They told us that when the total public debt of any nation exceeds 90% of its Gross Domestic Product that it will eventually default. The US GDP if properly adjusted by subtracting the 2012 US deficit of 1.275 trillion dollars is 114% of GDP. If you add in 4 trillion dollars for US state and local debts, you will discover that total US government debt is 20 trillion dollars or 143% of GDP.  If you add government guarantees like Fannie Mae’s underwater mortgages, then you will understand why the Federal Deposit Insurance Corporation will no longer guarantee all of your American bank deposits beginning in January of 2013. It seems the FDIC and the Federal Reserve are preparing for your future when the bankers decide to push you off that financial cliff in January.

Dr Steve Keen who champions Debt Cancellation says we have the highest total level of public and private debt in 500 years. Depressions cancel Unpayable Debts through bankruptcies, defaults, wage cuts and Austerity.That means we will have the Greatest Depression in 500 years if we do not have a systematic and scientific worldwide program of Debt Cancellation.

You have no future other than nationwide food riots. unemployment, bankruptcy and Hyperinflation if you do not demand the government issue a non-interest bearing currency, ban fractional reserve banking and cancel all government debt.

Even the IMF has been backing monetary reform by saying how well Iceland has been doing since it decided that the public should not pay for the losses of criminals who ran banks. Two IMF economists endorsed the Chicago Plan which could have ended the Depression in 1933 when it was published and could do the same today. You can read about that in detail below. I also outline how Debt Cancellation would work. Ideas are not the problem. We have no lack of workable ideas.

If we do not have monetary reform very, very soon, six billion or more real human beings will be dead really soon. That death toll estimate was from MIT not me.

The world is down to its last few weeks and possibly months before the whole world spirals into disaster.

I realize I have said this before. But what has changed is that we are running out of time.

Notes:  This first article outlines how IMF economists have finally admitted that what they were doing was wrong.

IMF Economists: ‘We Were Wrong.’ Will Someone Please Tell The Press And The Politicians.

This next article tells how Debt Cancellation would work.

The New Economics, Radical Solutions Required And Offered

Catherine Austin Fitts; There Is No Fiscal Cliff In January 2013 Unless You Want It

The Chinese Are Buying Gold As If They Knew The Dollar Would Die Very Soon

About horse237

I have decided to share two of the visions I had as a child. When I was eight, I had a vision of a future war that killed 99.5% of the world's population. When I was 16 and living in the projects, I had a vision of my future. I was to live in complete obscurity until it came time to stop WW III. When I was about ten, I had read a bio of Nikita Khrushchev which said he survived Stalin by playing the bumbling fool an old Russian peasant trick. I decided to do the same as I had already learned that we did not live in a democracy. The other vision I had when I was in third grade was of the Mind of God and how it interacted in the creation of the world we see. I believe you and I were born at this time precisely so we would have an opportunity to stop this war. As for my personal info, I grew up on military bases and in housing projects. My legs atrophied from starvation as a child. My second step-father died in prison. I used to have to rub my skin to simulate human contact. They did not feed me when I was a child. I do not fight in their wars as an adult.
This entry was posted in Debt Cancellation, Hyperinflation and tagged , . Bookmark the permalink.

11 Responses to There Is No National Debt Unless You Want It

  1. Gabreal Jones says:

    (…) The man who forced the government of Iceland to resign and kicked out the IMF representatives from his country, Hordur Torfarson, is now teaching meta-modern democracy throughout Europe.The rest of the world would benefit from following the example set by Iceland: Arresting the corrupt bankers who are responsible for the current economic turmoil (…)

  2. Pingback: There Is No National Debt Unless You Want It | Video Rebel's Blog – Current National Debt

  3. usurykills says:

    The “Chicago Plan” is a farce invented by the plagiarist Stephen Zarlenga.

    The Franklin comment infers you’ve read the Parable of Perfect Economy. Keep in mind, it is only a parable — the words belong to Mike Montagne, not Ben Franklin. The parable was there to catch plagiarists but I think it is clearly marked as to its purpose, now.

    Debt cancellation would only be a temporary “fix.” Debt is not the problem. Interest is the problem.

    Mike’s computer model (from 1979) predicted total economic collapse somewhere between 2010 and 2015. When money is created the money to pay the interest is not created. The shortfall is what causes economic strife (theft, murder, war, etc) and the only “answer” allowed is to refinance principal and interest into a larger debt. Repeat until unable to meet “financial obligations.”

    The answer is simple, really. Read about Perfected Economy. Search for PfMPE.

    • horse237 says:

      Zarlenga is not well like me because he does not sell monetary reform well. But he is not old enough to author the Chicago Plan which was published in 1933 by 8 college professors.

      The idea is to end fractional reserve banking and interest bearing currencies. You can rad about the Chicago Plan in my article in the Notes to this article.

      I have read the ideas of the Perfect Money crowd. They are childish. I would prefer to abolish government debt and therefore interest on government debt as there would be none.

      I would abolish $20,000 in debts of most adult citizens. I would fund that by invading Cayman Islands, Lichtenstein and other hot spots. I would also seize tens of trillions held by government agencies as noted by .

      If we need to cancel debts in 20 years, we can do so again. The Babylonians had a formula worked out to tell them when to cancel debts.

      I would actually support the Perfected model if it ever was developed to the point where it was practical. Professor Steve Keen has studied the Perfected Model and also found it lacking. I do not think it would wotk in an advanced economy.

  4. douglas mccloud says:

    How about Social Credit? Would it not solve the debt crisis?

    • horse237 says:

      Social Credit is OK but I would prefer to spend money into circulation by giving everyone a tax cut. I would cancel 80 different social programs including Food Stamps and Earned Income tax credits so I could have an incomes policy. I would have a negative income tax so a man who makes the minimum wage of 7.25 an hour would get an extra $2.75 an hour or $110 extra each week. I would have a child income policy of $600 a month for the first child and $400 for the second. A married couple with 2 adults working would have an income of $50,000 plus a year after taxes.

      We would save 500 billion in federal interest payments and another 100 billion in state and local government interest payments after Debt Cancellation.

      The Money Supply is a little over 10 trillion dollars so I can increase the Money Supply the same as the GDP and have stable prices.

  5. Pingback: Economy in DEATH spiral - Page 1324 - Stormfront

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  7. Rational Person says:

    Agreed, the Debt should be defaulted on. Those politicians that aided and abetted this Jewish crime syndicate should be arrested and tried for treason.

    If you are serious about freedom then those that commit treasonous acts must be dealt with resolute will and moral authority.

    Never again.
    (Sorry but I gad to edit this to remove certain references that went too far for a web forum.)

  8. Pingback: Monday 29.10.12 | The Inner Circle Group

  9. morningsideroad says:

    Reblogged this on morningsideroad.

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