Trump’s Right——Paying Back The National Debt With “Discounts” Is Already Official Policy By David Stockman – Contra Corner

Understanding how usa produces exports nothing and how it gets away with money printing .. and now let us get ready to be shafted royally seems no escape . the flwg article is NOT easy reading , please read the original at the flwg url Trump’s Right——Paying Back The National Debt With “Discounts” Is Already Official Policy By David Stockman – Contra Corner i ll quote below , to excite your interest : Later , -if you want to argue against , or to just discuss why this article is a must read in the FIRST CLASS tomorrow morning for you MBA/Finance teachers , call and i wd love to chat ! .1........" That’s right. The world’s central banks own more than 50% of the publicly traded US debt of $13.5 trillion, and not one single penny of it was purchased with real savings or anything which remotely resembles honest money. It was all scooped-up when central banks hit the “buy” key on their digital printing presses. In short, the “very low yield” on US Treasury debt is the product of a giant monetary fraud, not a testament to the strength and safety of Washington’s credit. And it most certainly has nothing whatsoever to do with investor “confidence” in Washington’s integrity...." :2.........Yes, the savvy insiders argue its 2% uber alles(above all ). That is, everything goes along for the inflationary ride—–prices, wages, profits, rents, indexed social benefits and the works. Except it doesn’t work that way in the slightest. Just like the Donald says, debtors get relieved and savers get creamed....." 3....This is why Trump’s politically incorrect bluster is such a refreshing tonic. It exposes the entire tissue of fraud, corruption and willful deceit that underlies the Washington/Wall Street status quo. None of his loudly remonstrating bettors, for example, even bothered to mention the context in which he mentioned the possibility of default in the form of negotiated discounts on the public debt. Namely, what happens, the GOP nominee inquired, if interest rates rise by “2, 3 or 4%”? That is a perfectly valid question and one that is studiously avoided by the Keynesian Cool-Aid drinkers who pass for economists and fiscal experts. The truth is, interest rates must return to something like our current 2.3% core CPI inflation plus a 2% margin for risk, return and taxes or the entire monetary system will someday blow sky high..." 4....."The deliberate national policy of 2% inflation is the most capricious form of economic injustice imaginable. Not even its perpetrators have a clue as to the utterly random incidence by which it impacts economic agents over time and the resulting windfall gains and losses in wealth which flow therefrom. And that’s not the half of it. The Fed’s deliberate 2% inflation policy not only results in the arbitrary seizure of deep discounts on the public debt by the government, but also an immense dissipation of economic resources by the private sector. That is, all kinds of racketeers are enabled to make a handsome living peddling information and services which would never be needed under a regime of sound money. Economists who work the “fed watch” beat are a prime example. If the Fed had stuck to the original passive rediscounting mission conferred on it by Carter Glass in 1913, there would be no open market operations and the Fed would not be stuffing its balance sheet with trillions of public debt, thereby drastically falsifying its price. ...."