You say why is something so simple so hard to see? Every world empire that ran a fiat currency failed. The Roman Empire, The Ottoman Empire, The British Empire, and so on. We will be no different. You can not spend more, print more, borrow more, and tax more without consequences. The value of the dollar continue to sink. The first place you see this is in food and gasoline prices. You know the ones that aren't included in the inflation index because the government states they are too volatile? The real reason is because they are the first warnings of a currency collapse. Prices have been going up for years. At some point in the future if we don't change our bad habits of over spending and money printing we too will go the way of the other empires that also thought they were indestructible.

It's one of those points that is good insight when it is expressed the way you wrote it but that becomes ostracized by most folks when it is written dramatically like was done in the article. Then if someone is skeptical and looks up the referenced congressional act and do not find anything, it just makes it even harder to lend an ear. On the other hand, if a headline and article don't grab attention, few will take the time to be informed.

I think the new world order, (greater government intrusion and control) will occur but not by some purposeful plan by Obama or some cabals. It will be a slow t***sition over time with the intent of national interests or a greater cause for the benefit of society. To me, we are far from the new world order but it's important to keep a watchful eye as it could happen quickly.

There is nothing more wonderful than the joy & comfort of a good marriage.

I would like to hear some input regarding the trials of marriage, once beyond the 'honeymoon' phase. I am referring to the years after the initial heat of physical desire and attraction wanes, and into the meat and potatoes aspect of a real union. What are the possible steps taken by each side to secure a solid foundation for a lifetime of happiness as a couple while keeping the flames or embers of passion alive?

Presidents have no direct effect on the economy and certainly not on the stock market. Once in a blue moon, they appoint a
Fed chairman, who can do a little.

Mostly, Presidents can more or less push regulators to regulate or deregulate. Thus, Bush pushed for deregulation and probably helped to bring on the Bush Meltdown. Obama signed a regulatory law that may ease the next meltdown.

But that’s it. It’s never the President’s economy.

Oh, yes. I forgot. He can start a war. Or he can try to get out of one. That's the difference between Bush and Obamal.
It's Congress that taxes and spends and is able to push or restrain the economy. Read the Constitution.

When Reagan was President, he did not care about debt - Reagan tripled the national debt and they responded by making Reagan their hero.

When Clinton took office, all they wanted to talk about was debt, saying it was because Clinton was a big spender. Clinton eventually balanced the budget and even made a trillion dollar surplus, but conservatives attacked him then, too - saying that if the budget was balanced and we were finally paying off the debt, then somehow it meant that the American taxpayer had been 'over charged' and were due a 'refund' which meant massively cutting taxes.

When Bush was elected, he frittered away the entire surplus with tax cuts and an unnecessary war and doubled the national debt. Cheney even said "Reagan proved deficits don't matter" when his party offered to pass the largest deficit in history. Most Republicans said nothing.

Now that Obama is president, they are once again making noise about the debt, shutting down the government and threatening default - even though the deficit is falling at its fastest rate in 50 years!

You want a good economy? Try this:

Q1: For taxpayers, is our “national debt” really a burden that must be repaid?
A1: No. For taxpayers, it is not a real debt. It’s a “Debt In Name Only”, a “DINO”-*

THE DINO IS NOT NOW AND NEVER WILL BE A BURDEN FOR TAXPAYERS. It is not the taxpayers but rather the buyers of newly-issued bonds who, in a virtual rollover, pay for redemption of mature bonds. In every auction, more bonds are demanded than are available. Auction winners get the safest, most liquid US dollar instruments; the losers are stuck with bank risk. If it were ever necessary, the Fed, with cost-free keystrokes, could increase the demand for bonds by buying a large slice of the DINO in the market.

THE DINO WILL NEVER BE REPAID AND SHOULD NEVER BE REPAID. Only a budget surplus can reduce the DINO. Since Truman, no President has reduced the DINO and no annual budget surplus is now in sight. To supply enough bonds, the ONLY risk-free securities used for trade collateral, insurance, pensions, bank reserves, etc., the DINO MUST GROW with the economy! Our world needs the DINO!

Every federal dollar spent and not taxed is saved by the private sector. Yes! DEFICITS = SAVINGS! The Treasury has a “national debt” and the private sector has a “national asset”! The bad “Debt Clock” is also the good “Asset Clock”. Since, with our trade deficit, we export money, deficit spending is our economy’s SOLE source of savings! In fact, if large budget deficits don’t soon replace our vanishing cash, deflation will freeze our economy solid. Who would spend a dollar today if it would buy more tomorrow?

Our economy is suffering from acute anemia. Our (DINO + total bank deposits) / GDP ratio is less than half of China’s figure. Our M2 (money supply) / GDP ratio is half of Switzerland’s ratio and one fourth of Hong Kong’s ratio. To become and stay prosperous, we need to DOUBLE the DINO / GDP ratio to return it to the World War II level that was followed by 35 years of prosperity without harmful inflation.

Ine******y worsens the anemia. Most of the paltry money supply circulates among the Rich who corrupt Congress for estate laws to stay rich to buy Congress for laws that enrich the Rich to buy Congress…..etc.
Wealth is power and inherited wealth is inherited power: aristocracy, always the enemy of meritocracy!

Q2: Won’t the annual debt interest expense explode the budget?
A2: Bond-holders’ taxes return about 20% of their interest income. New bond issues finance the rest. As no physical resources are consumed and the money supply does not change, there is NO INFLATIONARY EFFECT. About 80% of the interest is added to the DINO, which is good. For those reasons, CBO budget economists deal only with the “primary” budget, which excludes the annual debt interest expense.

Q3: Could savers make a “run” on US Treasury bonds?
A3: Yes, when savers can get risk-free returns from the Wall Street casino or from GM bonds, Illinois bonds, or Detroit bonds. Safety is not everything. Safety is the ONLY thing! That’s why the whole world relies on US bonds.

Q4. Could savers stop buying US Treasury bonds?
A4. Yes, indeed! SAVERS WILL ALWAYS WANT THE SAFEST BONDS for trade collateral, insurance, pensions, bank reserves, etc. Now, almost two thirds of the world’s reserve currencies are in US dollars and about half of all US Treasury bonds are held by foreigners. But if China’s infrastructure and productivity become better than ours, its bonds could become safer than ours and we could then lose our bond-buyers. And that could happen if US v**ers let their DINO concerns stop the renewal of falling bridges, failing schools, creaking railroads, leaking sewers, etc. Money can be printed, but infrastructure has to be built with real resources over time, which has no substitute.

Q5: Won’t we need higher income tax rates to pay for infrastructure?
A5: Congress NEVER asks the Treasury if can pass a spending bill. In effect, Congress writes a check that Treasury NEVER bounces. To finance a deficit, the Treasury auctions new bonds created out of thin air with keystrokes.

The only rational reason to restrict deficit spending is the onset of harmful inflation. Until then, Congress can
finance both the DINO’s annual interest payment and our much-needed infrastructure. Every day, you fill your sink with water AND you prevent it from overflowing. Why can’t Congress fill our economy with money by building infrastructure AND prevent harmful inflation? China builds 24/7 without harmful inflation. Why can’t we do that?

While a bank holding too many bad loans can certainly hold too many maturing CDs, our non-lending Treasury cannot hold too many maturing bonds unless its deficit spending causes harmful inflation. And that happens ONLY in a war or emergency requiring rationing. It NEVER happens during a recession. During prosperity, banks are ALWAYS the main cause of inflation, creating over $6 of credit for every $1 of deficit spending. To curb inflation, regulate the banks before stopping work on infrastructure projects!

Q6: How much should Congress tax and spend?
A6: Ideally, Congress should tax just enough to prevent harmful inflation and should spend almost enough to cause full employment (and therefore harmful inflation). Result: prosperity with low inflation.

Instead, bribed by Wall Street, Congress taxes as little as possible, enriching the rich, and spends as little as possible, impoverishing the rest of us by restricting deficits / savings. Just as quacks k**led George Washington by bleeding his “bad blood”, Congress is destroying our younger generations by reducing (possibly to zero!) our annual budget deficits / private sector savings increase / consumer demand. And, by bribing Congress to pass austerity budgets, the Wall Street charlatans are deliberately nursing a huge army of unemployed labor to suppress the wages and working conditions of the shrinking middle class.

Q7: How should one v**e?
A7: V**e only for someone who NEVER EVER worries about the DINO and who ALWAYS worries about people looking for work and drawing benefits instead of building infrastructure for their grandchildren.

Q8: “I have to balance my budget. Why doesn’t Congress balance its budget?”
A8: If you could legally print money in your attic, why would you balance your budget? Congress only needs to balance full employment against harmful inflation. Why is something so simple so hard to see?

To stay ahead of China, please help me convince v**ers that deficit spending on infrastructure is limited ONLY by harmful inflation (nowhere in sight). Please copy and distribute this message where possible.

Not very secretive after all, apparently. Many who post here don't actually have a grasp of socialism, c*******m or capitalism. They only know what they've been taught. Republicanism ( NOT the party ) has elements of all three ideologies. The Roman system was fine on paper but was destroyed by special/self interests. THAT is a lesson from history we really need to learn, because the exact same thing is happening NOW.
Everyone and every group is looking out for itself, including the politicians who are supposed to be looking out for OUR interests. Again, special and self interest is destroying our Republic. What is best for the most is no longer a concern, it is what is best for me and mine that has supplanted it.

IDSUTTONJR, Nobody has a Marxist plot! We all regard ourselves as patriots. I enlisted in the navy in the mid 60s, served honorably even though I h**ed the military lifestyle. Became a high school history and government teacher for over thirty years. I love this country, and certainly am no Marxist. That doesn't mean that I think my country is perfect. I believe it has many problems that are a serious. As a patriotic American, I feel duty bound to try to understand these problems and help solve them by v****g and speaking out ( respectfully).Thats why I am a progressive, liberal not a marxist!

I know I'm going to catch a bunch of crap here for what I'm about to say but I really could care less. Floyd you and your lefty bunch of friends on this site crack me up. You and like posters have resorted to much name calling and insults when we on the right don't agree with your Obama, you, and his disciples, but now that his policies are proving to be failures its all kumbaya and lets hold hands. Paddle in a boat together. Give me a break. You guys only talk that crap if we are all willing to paddle the direction you want to go. We on the right are always whackos, extremists and heartless if we disagree with your liberal views. Even though only 26% of the country is liberal, but some how you are right and the rest are wrong. I think you all should get in the boat and paddle away. You won't get far because elitist know it alls don't really work well when it comes to maual labor

A recent study showed that people who are around firearms are twice as likely to die from them. So? People who fly are more likely to die from a plane crash than someone who doesn't. Studies are relative. The BIGGER picture shows an increasingly violent society, both children and adults. Why? I think it's because of "stuff". Not enough stuff and needing to protect one's stuff. Some of the stuff is emotional but still stuff.
School shootings because of emotional stuff as well as domestic shootings. Other shootings are either to get more stuff and/or to protect some stuff. We are obsessed with stuff. Guns are a convenient tool, BUT, if there were no guns, k*****g over stuff would still occur.
Gun control issues now look like 4 year olds are arguing. "we want no guns" - " we want everyone to have a gun". "we want a limit of 5 rounds per magazine" - "we want 30 round magazines", etc. This has turned into another political tool against Americans, just like a******n. While the politicians get you cranked up about THIS, they're screwing you over THERE. I no longer pay any attention to the "issue of the campaign cycle" because it's BS. They're cahooting on something else that will have a REAL impact on us and THAT'S what I want to look at.