PDA

View Full Version : Obama doubles the marketable US debt



Peter1469
02-19-2014, 05:45 PM
Obama doubles the marketable US debt. (http://cnsnews.com/news/article/terence-p-jeffrey/106-obama-has-more-doubled-marketable-us-debt)

Marketable debt is the debt that can be sold in the secondary markets. It does not include money raided borrowed from, for example, the Social Security trust fund.

Obama doubled it- 1789 until 2009 marketable debt was 50% less than today.

Mainecoons
02-19-2014, 05:47 PM
You know the relationship between scarcity and price, yes?

At some point debt becomes worthless when there is too much of it and the buyers realize there's no way in hell it can be repaid. Think Greece.

For a liberal, though, there is no concept of debt becoming runaway and worthless. It just doesn't occur to them. And that includes those liberal RINOs like Mr. McCain, et al.

Peter1469
02-19-2014, 06:07 PM
Yes. I think that we are close to that. We are doing the last best option- print, print, print. But instead of paying debt off we are adding to it. Insane.


You know the relationship between scarcity and price, yes?

At some point debt becomes worthless when there is too much of it and the buyers realize there's no way in hell it can be repaid. Think Greece.

For a liberal, though, there is no concept of debt becoming runaway and worthless. It just doesn't occur to them. And that includes those liberal RINOs like Mr. McCain, et al.

Mainecoons
02-19-2014, 07:00 PM
We don't know how close we are. History tells us that when the time runs out, it is almost instantaneous, like an overnight crash. All the sudden, the awareness that the paper is essentially worthless reaches a critical mass/penetration and BOOM!

Newpublius
02-19-2014, 08:03 PM
We don't know how close we are. History tells us that when the time runs out, it is almost instantaneous, like an overnight crash. All the sudden, the awareness that the paper is essentially worthless reaches a critical mass/penetration and BOOM!

Precisely, the 'debt wall' -- you don't know where it is, but its a matter of faith and the inflection point.....bam....you're fucked. Happend in Argentina, let's say you had $100 pesos worth at the time $100 US dollars (1:1), the next day you still had 100 pesos, but they were only worth $33 dollars.....

Cigar
02-19-2014, 08:29 PM
Well .. if you have to explain it right after you announce it ... it's a political loser :laugh:

Newpublius
02-19-2014, 08:32 PM
Well .. if you have to explain it right after you announce it ... it's a political loser :laugh:

True, America's a deadbeat nation. You're right, no stopping it.