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Trump: U.S. can never default because it prints money
Politico ^ | 05/09/2016 | Nick Gass

Posted on 05/09/2016 6:09:29 AM PDT by GIdget2004

Donald Trump assailed the media on Monday for what he said was a misrepresentation of his comments on debt, rejecting the notion that he would have the United States default on his debt.

"I said if we can buy back government debt as a discount. In other words, if interest rates go up and we can buy bonds back as a discount, if we are liquid enough as a country we should do that. In other words, we can buy back debt as a discount," the presumptive Republican nominee said in a telephone interview on CNN's "New Day."

Those who said he wants to buy debt and default on it are "crazy," he added.

"This is the United States government. First of all, you never have to default because you print the money. I hate to tell you. So there's never a default. But the point is it was reported in the New York Times incorrectly," he said, referring to a critical Times article that ran on Friday.

That article examined an interview Trump gave to CNBC last Thursday in which he suggested that he could reduce the national debt by persuading U.S. creditors to accept less than full payment.

"It was reported in the failing New York Times and other places that I want to default on debt," Trump said. "You know, I'm the king of debt. I understand debt probably better than anybody. I know how to deal with debt very well. I love debt but you know, debt is tricky and it's dangerous and you have to be careful and you have to know know what you're doing. If there's a chance to buy back debt as a discount, interest rates up and the bonds down and you can buy debt. That's what I'm talking about."

(Excerpt) Read more at politico.com ...


TOPICS: Government; News/Current Events; Politics/Elections
KEYWORDS: 2016issues; currency; default; fed; trump; usdebt
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1 posted on 05/09/2016 6:09:29 AM PDT by GIdget2004
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To: GIdget2004

Any 6 year old knows more about finance than the media pundits. Go Trump. Beat the open border one worlders.


2 posted on 05/09/2016 6:11:32 AM PDT by Don Corleone ("Oil the gun..eat the cannoli. Take it to the Mattress.")
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To: GIdget2004

A 20% import tariff balances the budget tomorrow.


3 posted on 05/09/2016 6:13:25 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: Don Corleone

Well then, this proves Trump has the intelligence of a 3 year old.


4 posted on 05/09/2016 6:16:37 AM PDT by ken5050 (A new slogan for #NeverTrumpers: #WTYS (we told you so!))
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To: GIdget2004

One thing I’ve wondered about for a long time, is if the US printed $19 trillion to cover the national debt, what would be the rate of inflation, compared to now?


5 posted on 05/09/2016 6:17:16 AM PDT by baltimorepoet
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To: central_va

That’s a 20% tax increase. Are you really advocating for that?


6 posted on 05/09/2016 6:17:41 AM PDT by ken5050 (A new slogan for #NeverTrumpers: #WTYS (we told you so!))
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To: ken5050

With the wisdom of a centenarian.


7 posted on 05/09/2016 6:18:13 AM PDT by Raycpa
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To: GIdget2004

For at least 5 or 6 years has been printing [probably still going on, the Fed/Treasury had been pumping in about $85 billion/MONTH into mortgage backed securities (stock market) and buying T-Bills (legitimizing debt created by uncontrolled and unlimited spending by Congress)].

One Trillion + per year! Debt. They printed it (created out of electronic bits backed by false promises) and devalued our futures.


8 posted on 05/09/2016 6:20:07 AM PDT by Gaffer
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To: Raycpa

What flavor Kool-Aid did you drink this morning? Prune?


9 posted on 05/09/2016 6:20:35 AM PDT by ken5050 (A new slogan for #NeverTrumpers: #WTYS (we told you so!))
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To: GIdget2004

Just about every nation in the world has defaulted on us at some point in time...


10 posted on 05/09/2016 6:21:00 AM PDT by Sacajaweau
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To: ken5050

“Well then, this proves Trump has the intelligence of a 3 year old.”

Explain, in detail please.


11 posted on 05/09/2016 6:21:31 AM PDT by billyboy15
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To: ken5050

The economy is $18Trillion of which $1.8Trillon is imported goods and services. I am proposing a 20% consumption tax on 10% of the US economy. Not only does this tariff bring in revenue it stops the offshoring and begins the repatriation process of lost industry. Win - win.


12 posted on 05/09/2016 6:22:41 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: GIdget2004

The point of default will be to pensions and benefits. Social Security as currently structured will be a point of default. Health Care as currently structured will be a point of default. If you look at where the debt it owed it is easy to see where the cuts will happen.


13 posted on 05/09/2016 6:23:06 AM PDT by Shanty Shaker
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To: GIdget2004

“Two words!” continued Trump, “Disappearing ink! Then we can send a mountain of cash to China, clearing our debt to them completely! Two weeks later, now what?!” Trump used his index fingers to slant his eyes upward, stuck his upper teeth out and yelled, “Oh no! This cullency is brank!”


14 posted on 05/09/2016 6:24:17 AM PDT by dead (We have to elect him to see what's in him.)
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To: central_va

Yeah, but that would be so unamerican. Our forefathers would never have done such a thing.
Do I need a sarcasm tag?


15 posted on 05/09/2016 6:24:45 AM PDT by freedomfiter2 (Lex rex)
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To: GIdget2004

The media’s been playing a game where they distort what Trump has been saying for weeks now. The idea is to make out to be a flip flopper. Ultimately Trump’s biggest challenge is going to be beating the media, not Clinton.


16 posted on 05/09/2016 6:24:55 AM PDT by RedWulf (End Free trade.)
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To: GIdget2004
Printing money like Weimar is defaulting.
17 posted on 05/09/2016 6:25:09 AM PDT by Paine in the Neck ( Socialism consumes EVERYTHING!)
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To: GIdget2004

Anyone who thinks this is silly ought to consult Alexander Hamilton, who did exactly this in 1789. He structured a menu of debt to prevent default, allowing those with less faith in the government to cash in immediately at lower rates, those with more faith to hold for larger returns.


18 posted on 05/09/2016 6:25:29 AM PDT by LS ("Castles Made of Sand, Fall in the Sea . . . Eventually" (Hendrix))
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To: freedomfiter2

No sarcasm needed!


19 posted on 05/09/2016 6:25:44 AM PDT by central_va (I won't be reconstructed and I do not give a damn.)
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To: ken5050; central_va

You can finance government with an unconstitutional progressive income tax preferred by the Marxists or you can finance government with a constitutional tariff system preferred by the founders. I see you side with the Marxists over the founders, how progressive of you.


20 posted on 05/09/2016 6:25:56 AM PDT by jpsb (Never believe anything in politics until it has been officially denied. Otto von Bismark)
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