[quimby]

fter the transaction takes place, that's true-- but before the transaction takes place you have to come up with the money to pay off the notes that are due. Where does the US get the cash?

Try this analogy. You are buying a house. You get laid off, but get unemployment. You can no longer make your house payment and the electric bill. So, you pay the house payment, but n0t the electric bill. Did you default on the house loan ?

[pierrem15]

You will if the note comes due, you don't have cash on hand, and you can't refinance :-)

I think we're have some fundamentally different assumptions about the process here: I know that tax revenues in this month are more than enough to pay off the interest due on the national debt this month.

But T-Bills come with maturity dates-- that means not only the interest but the principal is also due that month, and that (I think) is where the problem lies-- if we can't borrow more money to pay off the principal on the notes due when they are due the we are in default.

Now, that doesn't particularly bother me, because most of the 6 trillion borrowed in Obama's term went to his political supporters and through the Fed to the Wall Street banksters. So I don't see why I'm obligated to pay back money borrowed in my name as part of a fraudulent conveyance.