It's very simply really, but very unconstitutional. Say we need to spend $1 billion dollars for a program. What do we do? We go to the FED as ask for $1 billion dollars. They in turn go to the mint and tell them to print up $1 billion dollars. After that is deposited in their bank, they "LOAN" it to Congress so they can spend it. Now that loan has to be repaid in addition to the interest on that loan. Now the FED does not have that money in the bank, or anywhere else for that matter. They just pull it out of thin air. They have no investment in it and they do not own it, but they non the less loan it to our government anyway at interest and we are obligated to pay it back.

According to our Constitution, congress is the only body authorized to print money, anyone else is just forging it. Now if that bank is forging our money and it is not real, then how can we be liable for it? The banks have a s**m going that is k*****g this country and at the same time making money hand over fist. If the t***h be known, we can never repay that debt and the bank owns this country.

Other countries like Germany have given us gold for safe keeping, yet when they ask for it back, we can't give it to them. Why is that? It's very simple really. This bank figures that VERY FEW actually ask for gold in place of the paper money they were given, so they use it for collateral on loans they make to other countries. In some cases, they sell the gold to other countries, but that country doesn't ask for the gold, only the promise that it will be there when they ask for it. Now the bank still has that gold, so they sell it to someone else with the same results. They don't take position of it either, so they sell it again. They may sell this gold to 5 different countries, yet none of them ask for the gold, just the promise of it. Now Germany, the ones that actually own the gold ask for it back, but the bank can't give it to them, because they have sold it. Now they are in a bind and can't give it back, so they promise Germany they can have it back, but it will take 5 years before they can take it.

Now do you understand debt?????????????? It's the biggest s**m in the world and is going to bring us down.........

It's very simply really, but very unconstitutional. Say we need to spend $1 billion dollars for a program. What do we do? We go to the FED as ask for $1 billion dollars. They in turn go to the mint and tell them to print up $1 billion dollars. After that is deposited in their bank, they "LOAN" it to Congress so they can spend it. Now that loan has to be repaid in addition to the interest on that loan. Now the FED does not have that money in the bank, or anywhere else for that matter. They just pull it out of thin air. They have no investment in it and they do not own it, but they non the less loan it to our government anyway at interest and we are obligated to pay it back.


According to our Constitution, congress is the only body authorized to print money, anyone else is just forging it. Now if that bank is forging our money and it is not real, then how can we be liable for it? The banks have a s**m going that is k*****g this country and at the same time making money hand over fist. If the t***h be known, we can never repay that debt and the bank owns this country.

Other countries like Germany have given us gold for safe keeping, yet when they ask for it back, we can't give it to them. Why is that? It's very simple really. This bank figures that VERY FEW actually ask for gold in place of the paper money they were given, so they use it for collateral on loans they make to other countries. In some cases, they sell the gold to other countries, but that country doesn't ask for the gold, only the promise that it will be there when they ask for it. Now the bank still has that gold, so they sell it to someone else with the same results. They don't take position of it either, so they sell it again. They may sell this gold to 5 different countries, yet none of them ask for the gold, just the promise of it. Now Germany, the ones that actually own the gold ask for it back, but the bank can't give it to them, because they have sold it. Now they are in a bind and can't give it back, so they promise Germany they can have it back, but it will take 5 years before they can take it.

Now do you understand debt?????????????? It's the biggest s**m in the world and is going to bring us down.........

It's very simply really, but very unconstitutional. Say we need to spend $1 billion dollars for a program. What do we do? We go to the FED as ask for $1 billion dollars. They in turn go to the mint and tell them to print up $1 billion dollars. After that is deposited in their bank, they "LOAN" it to Congress so they can spend it. Now that loan has to be repaid in addition to the interest on that loan. Now the FED does not have that money in the bank, or anywhere else for that matter. They just pull it out of thin air. They have no investment in it and they do not own it, but they non the less loan it to our government anyway at interest and we are obligated to pay it back.


According to our Constitution, congress is the only body authorized to print money, anyone else is just forging it. Now if that bank is forging our money and it is not real, then how can we be liable for it? The banks have a s**m going that is k*****g this country and at the same time making money hand over fist. If the t***h be known, we can never repay that debt and the bank owns this country.

Other countries like Germany have given us gold for safe keeping, yet when they ask for it back, we can't give it to them. Why is that? It's very simple really. This bank figures that VERY FEW actually ask for gold in place of the paper money they were given, so they use it for collateral on loans they make to other countries. In some cases, they sell the gold to other countries, but that country doesn't ask for the gold, only the promise that it will be there when they ask for it. Now the bank still has that gold, so they sell it to someone else with the same results. They don't take position of it either, so they sell it again. They may sell this gold to 5 different countries, yet none of them ask for the gold, just the promise of it. Now Germany, the ones that actually own the gold ask for it back, but the bank can't give it to them, because they have sold it. Now they are in a bind and can't give it back, so they promise Germany they can have it back, but it will take 5 years before they can take it.

Now do you understand debt?????????????? It's the biggest s**m in the world and is going to bring us down.........

Welcome to the fray! I am the house liberal. Try this on for size:

The goal of a nation’s economy is to maximize the wealth of the nation by full employment of its resources. When private industry does not fully employ all of the nation’s resources, it is the duty of a government with fiat currency and a floating exchange rate to employ its idle resources to build infrastructure for our grandchildren while avoiding harmful inflation and a serious trade imbalance.

The wealth of our nation depends only upon its resources and its productive capacity and not upon its accounts. Wh**ever is technically feasible is financially possible. The myth that the powers of Congress are limited by tax revenue vanishes in every crisis, corrupts political dialogue, promotes austere budgets, and destroys our infrastructure.

Our Congress does not need tax revenue for spending. On the contrary, taxpayers need Congress’ spending to pay their taxes. Congressional spending is the only source of currency.

Think about it. How did the first American taxpayer, a Pilgrim, get legal tender for the first American tax payment? At first, the colonial government was new and had no currency. Tax-anticipation warrants were the only answer and became the only legal tender for paying taxes.

The Governor of the Massachusetts colony, out of thin air, issued warrants as payment for goods and services furnished by the colonists. The warrants would also be the only legal tender for payment of taxes. Without the Governor’s warrants, the colonists would not be able to pay their taxes. The Pilgrims also used the warrants as money. The warrants became money.

Every householder or business owner ALWAYS checks his bank account before writing a large check. Before passing a spending bill, Congress NEVER checks with the treasury to see if there is enough cash in the Treasury’s account. Congress writes a check that never bounces. After cashing the check, the Treasury taxes the public. Any funds spent and not recovered by taxes (the deficit) are saved by the public and becomes its wealth. The Treasury auctions enough bonds to provide an interest-bearing asset for that wealth. Outstanding US bonds are equivalent to the wealth of the private sector.

There is no upper limit on the amount of money Congress can spend, neither in the Constitution nor in any law. The financial assets of the federal government are infinite. Our only problems are inflation and unemployment, not federal debt.

If you could legally print dollars in your attic, why would you balance your budget? You would only have to balance your desires against the well-being of your family. The government does not have to balance its budget. It has to balance inflation against unemployment. Unemployment is winning that fight thanks to austerity nuts.

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The essay above is based on works by: (books cost about $10 at Amazon)

*Frank N. Newman, former Deputy Secretary of the US Treasury, recipient of the Treasury’s annual “Alexander Hamilton” award, author of “Freedom from National Debt” (Two Harbors Press);

*Francis X. Cavanaugh, US Treasury economist for over 30 years, author of: “The T***h about the National Debt”: Five Myths and One Reality” (Harvard Business School Press);

*Warren Mosler, economist, author of “Seven Deadly Frauds of Economic Policy” (Oxford U. Press);

*Dr. Stephanie Kelton, Chair of the UMKC Economics Department, at NewEconomicPerspectives.org.
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© 2014 Marvin Sussman All Rights Reserved. Permission granted only to copy entirely.