On Jun 8, 1:15 am, Michael Coburn
verizon.net> wrote:> On Mon, 07 Jun 2010 18:56:17 -0700, Wide Eyed in Wonder wrote:
>
>
>
>> On Jun 7, 8:11 pm, Michael Coburn
verizon.net> wrote:>>> On Mon, 07 Jun 2010 12:05:54 -0700, The_Carpathia wrote:
>>>> On Jun 7, 2:06 pm, Michael Coburn
verizon.net> wrote:>>>>> On Mon, 07 Jun 2010 03:18:51 -0700, The_Carpathia wrote:
>>>>>> This is soooo sad. This is why we are going to keep going down.
>>>>>> It's the mentality of the age. From the What's News section of
>>>>>> the WSJ.."EU finance ministers are on track to sign off on final
>>>>>> details of $527 billion in loans intended as a backstop if
>>>>>> sovereign debt woes deepen." (WJS, today)
>
>>>>>> Get that? If debt becomes too large...THEY'LL TAKE OUT MORE DEBT
>>>>>> TO SOLVE IT. That's like saying the alcoholic bought a case of
>>>>>> beer in case they have a hangover. We're just digging our grave,
>>>>>> one loan at a time.
>
>>>>> Long past time for this lesson in economic reality:
>
>>>>> If I have borrowed money at 4%% interest I will owe that money and
>>>>> the interest. Each year I will pay some of the principle and the
>>>>> interest on the debt. Yet if I am the government that backs the
>>>>> currency in which the debt is denominated then I control the actual
>>>>> VALUE of that debt as it is held by the public and the actual cost
>>>>> of that debt as realized by ME. So my objective (if I were a profit
>>>>> maximizing entity which government is not) would be to diminish my
>>>>> cost and maximize my profits. Still the government actually does
>>>>> seek to minimize _REAL_ costs.
>
>>>>> In this _REAL_WORLD_ inflation (which is anywhere and everywhere a
>>>>> devaluation of the currency) is the friend of the party who owes and
>>>>> the enemy of the party who is owed.
>
>>>> Was it the same under Bush?
>
>>>> But, tell you what....go out and get a couple credit cards and pay
>>>> all your bills with them. When they come due, get more to pay the
>>>> interest and your bills...then, get more and more till you learn this
>>>> lesson.
>
>>> Unlike the example of the credit cards in which interest
>>> fluctuates rapidly and the borrower must pay in an EARNED script not
>>> his own, government has total and complete control over its debt.
>
>> This one sentence reveals your key flaw of your entire argument. You
>> claim the government can solve it's debt crisis by printing money. Yet,
>> if that were the case, there never would have been a problem. We've been
>> printing money for a hundred years, and...yet....the debt is HUGE. The
>> White House acknowledges that the deficit is too large. The economists
>> know the debt is too large. EU is collapsing right now DESPITE printing
>> money.
>
>> Just take a breath. I'm going to give you the respect to take a
>> second...think about what I'm saying and realize I'm right, here. If
>> the government had control over their debt, there never would have BEEN
>> a debt, and no one could take away their credit rating (nor would a
>> credit rating matter). The ONLY system that makes your theory work is a
>> worldwide global economy under a centralized worldwide government that
>> is able to control all of the variables. Is that your proposal..yes or
>> no?
>
> You continue to be a lying pig that cannot ever LEARN. Her is an article
> for you to study. What the article does is to "soft pedal" the reality
> so as to make it more understandable to the moronic. We'll see if it
> works. It is posted at Huffington Post. But it is written by a VERY
> RESPECTED economist named Dean Baker.
>
Answer the question. The only government system that controls the
variables to make this work is a worldwide, centralized government.
Is that what you propose?
Kenneth W Clifton
http://stores.lulu.com/kenclifton
(free Christian books and devotionals)
