It’s a complete lie that things like SS can’t be paid. There is plenty of cash coming in daily to continue to meet all transfer payments for years to come. It’s the ass end of the budget, where all their sweetheart and BBB dollars are that will suffer.
It’s also a lie that he US has never defaulted.
Uncle Sam has a reliable history of stiffing his creditors...
“Lincoln's Greenback was a default inasmuch as it was paper money, and no longer redeemable for gold. FDR's Executive Order 6102 was a default. And so was Nixon closing the gold window. All were/are unilateral redefinition of terms between the debtor (the United States Government) and the creditor (investors) which resulted in lower real returns for investors. Inflation, too, is a soft default…”
Credit BPR.
A default would be welcome. The economic meltdown is a slow moving train wreck. Let’s speed things up with a massive derailment and see where we end up.
The situation is hopeless, as he Venetians used to say, but not serious.
Had it occurred to anyone that maybe the elites what the debt ceiling not to be raised. Thereby creating a credit crisis & crashing the system.
Who better to blame then the bubbling politicians who get their marching orders from the elites anyway. And what a coincidence that this is all happening just as the FED is about to roll out their new payment system FED now, leading straight to CBDC. Seems like their seem old strategy, create a crisis then present the solution based around their new world order.
You got it Garry. This will disrupt the BRICS plan they need more time and are betting we won't default. This would disrupt their plans. Their economies will crash as well and Russia and China's debt to GDP is much higher than the west's. Who owns that debt of the Russian and China central banks? The IMF WB BIS. They own it all. This would start the war sooner that's what they want.
I investigated the facts on the Social Security system. It is the only earned benefit and large expenditure of the US Government that PAYS FOR ITSELF, with about 1.1 trillion in payroll taxes and 1.1 trillion in benefit payments (2022 year). SO why the media LIES that these payments won’t be made if the debt ceiling is not lifted? Well, because the US government has kept the cash flow from the payroll tax receipts in the General Budget and then deposits an equal value in special treasury bonds into the Social Security trust fund (since early 1980’s) it has in essence converted Dollar receipts paid for by every worker into a type of debt.
The bonds are reimbursed immediately for cash (by whom? this I did not find, but I assume by US Treasury which issues the bonds) whenever cash is needed to disburse benefit payments. Here’s my question, what is the purpose of creating a debt instrument owed to Social Security into a trust fund with a $2.8 Trillion balance in Bonds (2022) when the current cash could simply be used to disburse the needed funds directly with no need for bond (debt) instruments?
We boomers and now younger generations paid in excess taxes (beginning in the 1980’s under Reagan) for years in order to help pre-fund the boomer retirement, this meant instead of pay-in and pay-out of an equal amount, bonds were deposited to be saved for future payments for the higher amount paid in than was paid out. So if $100 billion was collected in taxes and only $50 billion paid out, a net INCREASE to the trust fund of $50 billion occurred.
The amount of that increase was apparently confetti fun money for Congress and Presidents, to spend on pet projects and self enrichment. THEY STOLE THE MONEY PAID IN BY EVERY WORKER IN AMERICA. This theft is hidden by the Special Treasury bonds given to our Trust fund because the bonds ‘balance the books’ and it appears to be fully funded, but the real cash money was already spent in the ‘flush’ General budget(s)by a lying pilfering Congress. We have a pile of debts in our Social Security Trust fund that USTreasury must pay back!
Unfortunately, now the amount of money coming in from payroll taxes may be insufficient for current benefit payments and the excess trust fund bonds will be presented to Treasury for the cash needed to pay the people. The problem now, how will Treasury deal with not only no excess cash coming into their hands into the General Budget via payroll taxes and simultaneously the need to RE-PAY additional funds out of the Special Treasury Bonds presented to the US Treasury?
So now 100% of current taxes will go to benefits, plus some of the past excess funds will have to be paid by treasury as the Special Bonds are cashed in from the Trust Fund. The trust is supposed to work this way.
So at a time of high inflation and dropping revenue, Treasury will have to supply more Cash. Where will this extra cash come from? It will be printed via the Federal Reserve system, and everything from the Fed is in fact backed by new debt instruments (US issued Treasury Bonds, Notes, Bills). The likely outcome is high inflation or the collapse of this PONZI scheme called the USA. Every Bond, Note, or Bill also requires interest payments from US Treasury to the bond holders. We need buyers to give us their cash in return for every Bond, Note or Bill.
Why did we ever allow the Federal Reserve system (privately owned) to control the issuance of US Currency in dollars? We could simply have returned all money creation to US Treasury, with no debt involved at all, and kept a gold-backed dollar; this was a goal of John F Kennedy and many believe this was the real reason behind his assassination. A real gold backed monetary system is deflationary, not inflationary.
You see the debt backed system allowed unlimited money creation unconstrained by anything of real value, it allowed the US to pursue wars throughout the globe, to enforce American Economic might and hegemonic aspirations. Unlimited money, accepted all over the world by impoverished peoples and countries that thought the US dollar was as good as gold, even though gold backing ended in 1971 under Nixon. They are catching on to this potential fraud now.
For all of us retired boomers who fully paid for our parents, grandparents, and our own retirements, we are on the precipice. Younger generations need to know We the People did not steal from them. The corrupt Congress and Executive branch managed to do this hidden from our view with their lies and mismanagement, which remains very evident today with financial Armageddon in sight. God help us all!!
My first thought is that the US Congress is keeping the new money coming in from everyone every year from social security taxes, and spending it like it is free confetti for whatever Congress wants; this basically inflates the appearance of US revenues
This default will be nothing like what has happened in the past. Even if we raise the debt limit even our allies are dumping dollars, no one will buy them so we will print more money to buy back our own bonds to meet the debt limit hike demand. This process will no longer work.
Plus, with the BRICS buying gold and many counties now starting a dual currency system one part backed by gold in connection the BRICS system, the FED and the IMF have to move soon to counter that move that is going on now. Yellen is in Japan to talk about this coming transition, this is not far off.
Soc Sec will be gone along with most entitlement programs, we just can afford them anymore. That will be replaced by what they have been calling guaranteed income.
People have no idea how bad things are and how bad things will be when this all comes down soon.
The more I think about it, the more I agree with you. Social Security is a separate fund. But that's always the first thing that they say will go. It's an obvious scare tactic, and now that so many baby boomers are retired, it's an effective one. The second rule of the Democrats is to scare people into doing what they want you to do. What's the first rule, you ask? Cheat, cheat and then cheat some more.
Even if Congress raises the debt ceiling, the ole US of A economy is screwed, blued and tatood. Sorry, but the only way out of this is down, down, down. I am hoping that investing in silver will save me, but no guarantees. God help anyone who's still in the stock market.
It’s a complete lie that things like SS can’t be paid. There is plenty of cash coming in daily to continue to meet all transfer payments for years to come. It’s the ass end of the budget, where all their sweetheart and BBB dollars are that will suffer.
It’s also a lie that he US has never defaulted.
Uncle Sam has a reliable history of stiffing his creditors...
“Lincoln's Greenback was a default inasmuch as it was paper money, and no longer redeemable for gold. FDR's Executive Order 6102 was a default. And so was Nixon closing the gold window. All were/are unilateral redefinition of terms between the debtor (the United States Government) and the creditor (investors) which resulted in lower real returns for investors. Inflation, too, is a soft default…”
Credit BPR.
A default would be welcome. The economic meltdown is a slow moving train wreck. Let’s speed things up with a massive derailment and see where we end up.
The situation is hopeless, as he Venetians used to say, but not serious.
https://www.usdebtclock.org/
look at the lower right-hand corner of the debt clock. This is based on data directly from the Govt. It's broke along with the rest of the system.
Had it occurred to anyone that maybe the elites what the debt ceiling not to be raised. Thereby creating a credit crisis & crashing the system.
Who better to blame then the bubbling politicians who get their marching orders from the elites anyway. And what a coincidence that this is all happening just as the FED is about to roll out their new payment system FED now, leading straight to CBDC. Seems like their seem old strategy, create a crisis then present the solution based around their new world order.
You got it Garry. This will disrupt the BRICS plan they need more time and are betting we won't default. This would disrupt their plans. Their economies will crash as well and Russia and China's debt to GDP is much higher than the west's. Who owns that debt of the Russian and China central banks? The IMF WB BIS. They own it all. This would start the war sooner that's what they want.
I investigated the facts on the Social Security system. It is the only earned benefit and large expenditure of the US Government that PAYS FOR ITSELF, with about 1.1 trillion in payroll taxes and 1.1 trillion in benefit payments (2022 year). SO why the media LIES that these payments won’t be made if the debt ceiling is not lifted? Well, because the US government has kept the cash flow from the payroll tax receipts in the General Budget and then deposits an equal value in special treasury bonds into the Social Security trust fund (since early 1980’s) it has in essence converted Dollar receipts paid for by every worker into a type of debt.
The bonds are reimbursed immediately for cash (by whom? this I did not find, but I assume by US Treasury which issues the bonds) whenever cash is needed to disburse benefit payments. Here’s my question, what is the purpose of creating a debt instrument owed to Social Security into a trust fund with a $2.8 Trillion balance in Bonds (2022) when the current cash could simply be used to disburse the needed funds directly with no need for bond (debt) instruments?
We boomers and now younger generations paid in excess taxes (beginning in the 1980’s under Reagan) for years in order to help pre-fund the boomer retirement, this meant instead of pay-in and pay-out of an equal amount, bonds were deposited to be saved for future payments for the higher amount paid in than was paid out. So if $100 billion was collected in taxes and only $50 billion paid out, a net INCREASE to the trust fund of $50 billion occurred.
The amount of that increase was apparently confetti fun money for Congress and Presidents, to spend on pet projects and self enrichment. THEY STOLE THE MONEY PAID IN BY EVERY WORKER IN AMERICA. This theft is hidden by the Special Treasury bonds given to our Trust fund because the bonds ‘balance the books’ and it appears to be fully funded, but the real cash money was already spent in the ‘flush’ General budget(s)by a lying pilfering Congress. We have a pile of debts in our Social Security Trust fund that USTreasury must pay back!
Unfortunately, now the amount of money coming in from payroll taxes may be insufficient for current benefit payments and the excess trust fund bonds will be presented to Treasury for the cash needed to pay the people. The problem now, how will Treasury deal with not only no excess cash coming into their hands into the General Budget via payroll taxes and simultaneously the need to RE-PAY additional funds out of the Special Treasury Bonds presented to the US Treasury?
So now 100% of current taxes will go to benefits, plus some of the past excess funds will have to be paid by treasury as the Special Bonds are cashed in from the Trust Fund. The trust is supposed to work this way.
So at a time of high inflation and dropping revenue, Treasury will have to supply more Cash. Where will this extra cash come from? It will be printed via the Federal Reserve system, and everything from the Fed is in fact backed by new debt instruments (US issued Treasury Bonds, Notes, Bills). The likely outcome is high inflation or the collapse of this PONZI scheme called the USA. Every Bond, Note, or Bill also requires interest payments from US Treasury to the bond holders. We need buyers to give us their cash in return for every Bond, Note or Bill.
Why did we ever allow the Federal Reserve system (privately owned) to control the issuance of US Currency in dollars? We could simply have returned all money creation to US Treasury, with no debt involved at all, and kept a gold-backed dollar; this was a goal of John F Kennedy and many believe this was the real reason behind his assassination. A real gold backed monetary system is deflationary, not inflationary.
You see the debt backed system allowed unlimited money creation unconstrained by anything of real value, it allowed the US to pursue wars throughout the globe, to enforce American Economic might and hegemonic aspirations. Unlimited money, accepted all over the world by impoverished peoples and countries that thought the US dollar was as good as gold, even though gold backing ended in 1971 under Nixon. They are catching on to this potential fraud now.
For all of us retired boomers who fully paid for our parents, grandparents, and our own retirements, we are on the precipice. Younger generations need to know We the People did not steal from them. The corrupt Congress and Executive branch managed to do this hidden from our view with their lies and mismanagement, which remains very evident today with financial Armageddon in sight. God help us all!!
My first thought is that the US Congress is keeping the new money coming in from everyone every year from social security taxes, and spending it like it is free confetti for whatever Congress wants; this basically inflates the appearance of US revenues
All the way back into the 70's when we went Fiat, we started writing IOUs to the Soc Sec Fund. It's never been fully paid back.
https://www.investors.com/politics/commentary/social-security-goes-bust-in-2020-leaving-half-a-trillion-in-annual-deficit/
This default will be nothing like what has happened in the past. Even if we raise the debt limit even our allies are dumping dollars, no one will buy them so we will print more money to buy back our own bonds to meet the debt limit hike demand. This process will no longer work.
Plus, with the BRICS buying gold and many counties now starting a dual currency system one part backed by gold in connection the BRICS system, the FED and the IMF have to move soon to counter that move that is going on now. Yellen is in Japan to talk about this coming transition, this is not far off.
Soc Sec will be gone along with most entitlement programs, we just can afford them anymore. That will be replaced by what they have been calling guaranteed income.
People have no idea how bad things are and how bad things will be when this all comes down soon.
Social security is protected as long as Yellen doesn’t break the law made in 1996. https://www.fool.com/retirement/2023/05/06/are-social-security-benefits-on-the-chopping-block/
The more I think about it, the more I agree with you. Social Security is a separate fund. But that's always the first thing that they say will go. It's an obvious scare tactic, and now that so many baby boomers are retired, it's an effective one. The second rule of the Democrats is to scare people into doing what they want you to do. What's the first rule, you ask? Cheat, cheat and then cheat some more.
Even if Congress raises the debt ceiling, the ole US of A economy is screwed, blued and tatood. Sorry, but the only way out of this is down, down, down. I am hoping that investing in silver will save me, but no guarantees. God help anyone who's still in the stock market.