How much longer til the deadbeat bloodsuckers deplete our treasury beyond repair and destroy our country?

[Romeo]

@ marvin
You are out of your mind just like FDR and all the communist socialists who have followed in his footsteps. Real wealth is created by the manufacture of goods, the implementation of efficient systems and the development of raw resources, not with a computer keyboard. All the keyboard creates is massive debt and a temporary illusion of wealth. It is a robbery of the people of the future.

[Violentjudge297]

Too late.

[Educated Liberal]

Once it becomes difficult to pay the interest on our debt we're screwed.

Then the bloodsuckers will be forced to contribute to society.

[Mighty897]

You mean the Department of Defense? They spend more in a year than ObamaCare would spend in ten, and isn't doing anything to help Americans.

[Vito1964]

What are you talking about?

The $1 trillion/year we spend on medicare?
The $1 trillion/year we spend on Social Security?
or the $18 million we spend on welfare checks.

It's that last one, isn't it? Be honest.

[whoyeah]

Yes corporations should get off welfare!

[IntellectualWorld559]

Inflation is caused by an excessively high ratio of the nation’s supply of money to its supply of goods. The federal government can minimize the supply of money with its taxing powers and maximize the supply of goods with its computer keyboards. Prosperity requires only a wise President, an agreeing Congress, and an educated electorate. Unfortunately, we lack all three.

During World War II, the federal government minimized the supply of money by selling war bonds and raising taxes. It maximized the supply of goods by printing contracts. WW II productivity was not a miracle; it was simply the result of full employment. The unemployment rate was less than 1% and Inflation was not rampant. The debt-to-GDP ratio was twice today’s ratio but the war debt was never “paid off”. Due to post-war economic growth, it remains an insignificant portion of our annual debt interest expense.

Today, unlimited funds can be created with computer keyboards and spent usefully on the infrastructure we will need to stay ahead of China in the coming century. More than an economic issue, this is a matter of national defense. Just as industry found it unprofitable to build the Interstate Highway System, government must again finance new infrastructure. It works for China. Why not for us?

For security, we will need a smart grid and a nationwide, underground power and communication network. For energy independence, we will need homes with near-perfect insulation, solar panels, and geothermal wells. To battery-power our entire automobile fleet, we will need dozens of safe, thorium-based nuclear power plants. And to eliminate the long-haul truck and air traffic that uses a major portion of our energy and our highway and airport maintenance expense, we will need a network of low friction, energy-saving, maglev freight and passenger trains zipping through low-pressure tubes at jet speed.

Most of all, we must provide free apprenticeship and college education for all the youth that can absorb it. Just as we do not expect children to pay for K-12 education, we must also provide them with tuition, supplies, and housing while they earn their diplomas and degrees. That would be our best investment, as it is for all the other advanced and developing nations.

At the same time, we can provide Medicare for everyone and pay for Social Security retirement at an age commensurate with our need for a labor supply. Free education and full employment will provide the required supply of doctors, nurses, and medical infrastructure.

Will taxes pay for all that? No! There are only two reasons for taxation. (1) To control the money supply, tax the income of the bottom 99%. (2) To prevent the purchase of Congress, tax the income and the estates of the top 1% until they are no longer rich enough to buy the votes. Wealth is power and inherited wealth is inherited power: aristocracy. It is the exact opposite of democracy and meritocracy. End this betrayal of our Founding Liberals! Enrich the middle class so that it can also invest!

What will pay for all that? We can finance government with computer keyboards. The labor of twenty million people currently doing nothing but drawing benefits will turn a $500B annual cost into a $2T annual benefit. Do the math!

What about the value of the dollar? Relative to a foreign currency, its strength depends upon our productivity relative to that of the foreign nation. To maximize productivity, we need full employment to rapidly build the world’s best infrastructure. Our military strength depends upon our domestic industrial base. Productivity cannot be out-sourced. There is no alternative to a policy of full employment. A small government is the road to serfdom.

What about the debt? The world is begging us to keep their money safe at a negative real (inflation-adjusted) interest rate. As a service to the market, we should pay the debt interest expense at a rate slightly higher than the normal inflation rate, ideally 2%. There is no reason to pay more. We don’t need the bond-holders. We have keyboards.

Google: Functional Finance, Dr. Abba Learner, http://www.KeynesForum.blogspot.com