Posted on 05/04/2023 4:36:21 PM PDT by lowbridge
The US is hurtling towards an entirely preventable economic crisis, and a trillion-dollar coin could solve all of its problems — if the Biden administration decides to take it seriously.
Treasury Secretary Janet Yellen said that the government could run out of money to pay its debts as soon as June 1, triggering a never-before-seen debt-ceiling crisis. Even a short default could cost the country almost a million jobs and trigger a recession.
But Republicans and Democrats are still waiting for the other to blink. The House GOP narrowly passed a bill last week that would tie massive budget cuts to a one-year increase, which Senate Democrats have proclaimed dead on arrival. President Joe Biden said he would veto that legislation, and continues to insist upon a clean raise.
Some economists say that means it's time for a break-the-glass option: a trillion-dollar coin.
The coin — which wouldn't need to be bigger than an average coin, and can be made quickly — is part of a potential debt-ceiling loophole. The Treasury Department can mint platinum coins of any denomination. That's led to a school of thought that says Yellen should simply mint a trillion-dollar platinum coin and deposit it to pay off the debts until a more permanent solution can be found.
"At this point, if any of the other solutions, the so-called more serious solutions would work, then they would've been used by now. But they keep not actually being strong enough. The coin's the only one that's strong enough," Rohan Grey, an assistant professor at Willamette University College of Law, told Insider.
To be sure, Biden's administration has not been so accepting of using a $1 trillion platinum coin to avoid an economically catastrophic default.
(Excerpt) Read more at businessinsider.com ...
LOL
We are being ruled by lunatics.
No wheelbarrow needed to buy that loaf of bread
Why a coin? Why not a grain of sand?
What a fairy tale loved by fairies, but loathed by those who remember ECON 101 and 102.
THE VOLUTARY COOPERTRION BETWEEN BUYERS AND SELLERS FREE FROM GOVERNMENT INTERFERENCE IN THE MARKET ECONOMY is “The Wealth of Nations” as Adam Smith told us back in 1776. America in the 1800’s proved it!
Where does this trillion dollar coin get deposited? All of a sudden does the federal treasury have a trillion dollars because of this coin? Is it an illusion to try to calm financial markets?
Why stop with one? Print 32 coins and say the entire national debt is paid off. Then, each year print, what, another 10+ and spent unlimited amounts of money. Heck, then print enough to give each person one, we’d all be rich!
“.... until a more permanent solution can be found....”
The way we have been and are going, the only “permanent” solution is to surrender to the CCP.
Serious countries do not run their economies based on magic accounting tricks. But corrupt banana republics do.
Have seen this before.
nd cut the value of the dollar in half or even total collapse in a week.
Why not print a bill worth a negative trillion dollars so it cancels out the debt too.
They might as well have an announcement, full media spectrum, where Yellen holds a conch shell while declaring it is worth a trillion dollars.
Declaring it doesn’t make it so, as it comes down to a belief in the full faith and credit of the U.S., on top of being the world’s reserve currency.
So what this exposes is how $$$ can be printed indefinitely to toss cash around as long as the dollar is the reserve currency, for without it, belief in the full faith and credit of the US is diminished, especially so with a federal debt portion that looks increasingly likely of never being repaid to foreign govt’s indebted to.
It won’t stop the massive wave of catalytic converter thefts.
They should sell the Brooklyn bridge first
Not the Bee
5.56mm
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