The failure of fiat currency and fractional reserve banking to produce a government-managed utopia is generating very few mea culpas, but lots of rationalizations.
Strangest of all these rationalizations might be the notion that government debt is not really a liability, but an asset of sorts. Where personal and business loans are bad if taken to excess, government borrowing is not just good on any scale, but necessary to a healthy economy. Here’s an excerpt from a particularly assertive version of this argument:
What if every government paid off its national debt?
(Medium.com) – IT might make you feel better but tomorrow if the US Federal Government, or Australia or the UK repaid the entirety of its national debt, it would make not one dollar’s difference to your bank account. In fact the economy would tank.
‘If America repaid all its national debt tomorrow, we very likely would crash into the mother of all great depressions long before the debt is ‘paid off”, says economist, Professor Randall Wray.
This post was published at DollarCollapse on August 9, 2017.
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