Uh no every dollar that enters circulation comes with debt. A private bank called the Federal Reserve creates our currency and lends it to us at interest. We borrow our currency from them. In order to get more dollars to pay that interest we borrow more dollars into circulation. We print the paper but we don’t create the currency.
You cannot repay debt with debt. Only equity can repay debt. Trump understands this. He wants dollars created at zero interest. This is why you don’t hear him squawk about raising the debt ceiling. He understands that govt spending isn’t really what created $25 trillion in debt and that cutting govt spending will not repay our debt.
IMO Trump plans to wait until after the election and then make his move on the Fed. The easiest way with the least pain would be to simply cut the Fed out of the loop by instructing the Treasury department to issue is own debt instrument which is already legal to do and create dollars at zero or negative rates and use those dollars to pay off the debt. It would be disruptive for the banking sector but not crash the whole economy. After 2020 I would not want to have money in the big four banks.
Due to fracking the petro dollar is dying. We will not be the reserve currency of the world much longer. That is the only thing keeping us afloat. Trump understands this. Why do you think his first state trip was to Saudi Arabia?
Right now Trump is doing what he can by attacking Powell and forcing him to cut rates which puts more dollars into circulation. Trump needs those dollars to fuel his industrial resurgence. Without Trump’s constant drumbeat Powell would have kept rates up and happily let the economy hit the rocks for the 2020 election. The Feds raised rates 8 times after Trumps election. Recessions don’t just happen. The Federal Reserve creates them.
You're wrong. No one borrows FRNs from the Fed. Not even you.
“Uh no every dollar that enters circulation comes with debt.”
So tell us how you go about paying the interest on this debt your money obligates you to. Are you getting billed by the Fed? Sending them a check?