Posted on 08/09/2009 10:44:02 AM PDT by beejaa
Go to the video link athttp://dailybail.com/home/peter-schiff-of-course-were-not-going-to-pay-back-the-chines.html?ref=patrick.net
I forgot to put a space before the video link. The link is:
http://dailybail.com/home/peter-schiff-of-course-were-not-going-to-pay-back-the-chines.html?ref=patrick.net
...but thanks for all the crap.
“Of Course We’re Not Going To Pay Back The Chinese”
Seems obvious to most with any grey matter.
First logic I have heard in a long time
Peter Schiff rocks!
Gold, guns and ammo. That's what I'm spending my unemployment on.
I think the Chinese know that too, but they also know that if we don’t they can destroy us without firing a shot.
bump
First of all, the US has a long history of ripping off foreigners who thought they would get rich quick here. And defaulting on the national debt is actually going to help *everybody* faster than if we keep playing around like we *might* pay it, if say the government wins the galactic Powerball lottery.
It will help everybody, even the Chinese, because the money they loaned us was from their profits, not their core assets. Even if they lose all the money they loaned us, they are unhappy as blazes, but not in economic ruination.
And though trade with the US would end for a decade or two, except for some currency or trade other than dollars, and paid up front, having the US back as a healthy economy, with a surplus budget, and no more unconstitutional largesse like Social Security and medical care, will put us back in the game faster than not. Other countries, especially in South America, have done this before.
In the Panic of 1837, several individual States renounced their bonds, and while there was unhappiness, it only took a couple of decades for them to have good credit ratings again.
As far as ripping off foreigners goes, my favorite example were the wealthy Scotsmen who decided to make a killing on the great longhorn cattle drives from Texas to Kansas. They even sent accountants to ride along with the cowboys. Leaving Texas, there was a huge herd of cattle, but one by one, by the time they got to Kansas, there wasn’t a single one left. In one instance, they even stole the poor guy’s horse when he was distracted.
Smuggling and ripping off foreigners. Proud American traditions.
The America hating Left will gladly comply.
We better pay back some of it. Or it’s deep deep doodoo for us. Pay it back with worthless currency if we have to.
The ChiComs will leave a part missing from every item we purchase. That’ll teach us!
Withdraw military from korea?
Fat chance in hades.
Schiff wrote a great book about 5 years ago that presaged this whole mess. He — of course —likes gold, but he also likes currencies with sane economic policies behind it, like Singapore, New Zealand and Norway. I like NZ because of their language, their very sane and pragmatic immigration policy (”You are smart, can support yourself and will enrich our society? Welcome!”), their abundance of minerals and their vast distance from the center of universe of insanity: the USA.
Frankly, if NZ hadn’t eff’d up and made guns illegal, I would be living there now. As it is, I might have to sell my guns to a patriot here and go gunless in NZ...
Then when the Chi-Coms take the property of the useful idiots who fled to China to avoid "government interference" and now the useful idiots want U.S. taxpayers to cover their losses tell 'em we don't believe in government interference either.
Great dry quote. Reminds me of this one from Shakespeare
"The first thing we do, let's kill all the lawyers."
1) I don't disagree, just never believed we would pay it all back proper
2) I love your tagline. In fact I just read that in a book I have called THE U.N.: In or Out?—a Debate.
If this came to pass, why would anyone trust Americans ever again? I hope FReepers aren't going to talk themselves into this deeply dishonorable - and pragmatically untenable - position.
Repudiation is for Socialists - it is practically identical to Repudiation of the laws of Contract, or Repudiation of Property. Even the act of discussing these as serious options crushes your credit rating - don't go there guys.
There’s no real choice in the matter. Right now the national debt is at $15T, with near term expansion to $33T, and future obligations of well over $65T on top of that.
Right now, the US Treasury bill is in near collapse, with the Fed buying auctions that have failed. And the two alternatives given in the video were essentially correct: either we repudiate the debt, or our currency is inflated so much that the value of the debt is reduced to nothing.
Credit rating? Ha. It is already dead and gone. With a repudiation, all import trade is effectively over, but there is a plus side to this—all the industries that were outsourced have to be rebuilt in the US, because there will be no alternative to “buying American”. And *this* will be the start of domestic economic recovery.
Unsaid in all of this are US exports, which will almost exclusively be agrarian, and will need to continue because of the agricultural dependencies of perhaps two dozen nations on US agricultural exports. But this is incidental. The charity given by the bankrupt.
As I said before, other nations have repudiated their debts and survived. But unlike them, the US will not tolerate being told by the IMF what it must do to restore itself. This does not matter, as the situation is one that resolves itself without their interference.
In the midst of all of this, unless the federal government again becomes realistic, the individual States will have to intervene to restore a proper balance.
Do not think of any of it as “unthinkable”, because it will not be the end of the world. It will just be a restoration of what our nation was originally intended to be, after a failed, 70 year experiment in bad economics.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.