PULLING A $1 TRILLION COIN OUT OF OBAMA’S ASS

9 comments

Posted on 8th January 2013 by Administrator in Economy |Politics |Social Issues

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9 Comments

  1. Davos says:

    Wooden nickels are wooden nickels and debt monitization is debt monetization.

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    8th January 2013 at 9:29 am

  2. flash says:

    Yeah, there’s petition for that, too.

    screen%20shot%202013-01-03%20at%2010.15.34%20pm.png

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    8th January 2013 at 9:31 am

  3. AWD says:

    That’s hilarious. I think the point most dolts are missing is our currency, t-bills, and debt have become such a joke and so invalid that this type of discussion is possible. The rulers and the public are so delusional that this type of thing seems logical to them.

    Hell, why not just multiply all the debt in the world by -1. Poof, all the debt is gone, and is now spendable cash. The dummies who saved money would now have debt, which is no problem for them, since they are savers/producers.

    I’m sure the people holding our debt don’t think this bullshit is very funny. They (Chinese) start dumping our debt and the whole mess collapses.

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    8th January 2013 at 12:00 pm

  4. Ron says:

    Start making coins now in some odd number.The 19.95 coin sounds like a winner! And put ninety percent towards the debt and watch the debt meter spin backwards! What a country!
    The other ten percent? Its for those commercials on TV. It well help the economy that way.

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    8th January 2013 at 12:01 pm

  5. Thinker says:

    For anyone who likes to read things like this, the World Economic Forum (WEF, group that stages Davos) just released their 2013 Global Risks report.

    http://reports.weforum.org/global-risks-2013/

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    8th January 2013 at 1:13 pm

  6. AWD says:

    18355

    More than lavish vacations and golfing, Emperor Obama valued appearances, which consumed a bigger share of his government’s budget than the army, the people, or the economy.

    One day Nancy Pelosi and Harry Reid informed Obama that they could dress him up in a way that would make him even more appealing to his fan base than he had ever been. At the same time, these new magic clothes would be invisible to the low-brow conservative knuckle-draggers, who didn’t support his policies.

    Obama couldn’t miss a chance to shine – while, at the same time, to find out exactly whom to add to his “enemies list.” Therefore, he ordered the two politicians to make the new clothes ready for his next inauguration ceremony.

    Pelosi and Reid demanded a pile of taxpayer money, which put the country in an even bigger debt, and started their work in a backroom of the Capitol building. Day and night they were busy making their designs, and from time to time they’d asked for more taxpayer money.

    After a time, Emperor Obama sent his trusty media reporters to check on their progress. As Pelosi and Reid went on about the great patterns and originality of the Emperor’s new magic clothes, the media reporters soaked up every word and concurred in unison: “They are magnificent!”

    To Emperor Obama’s delight, the reporters planted the news in all media channels, repeating all of Pelosi’s words. The world’s best photojournalists published pictures of the glorious magic cloth. While no one could see the actual cloth, everyone pretended they saw splendid textures because they were terrified that others would think of them as low-brow conservative knuckle-draggers.

    When the day came, Emperor Obama was presented with the clothes – but, to his horror, he couldn’t see anything! Nevertheless, noticing everyone else’s adulation, he pretended he saw the invisible clothes and made the motions of putting them on.

    Then Obama went out to meet his subjects, as his image was being projected onto a gigantic TV screen. Everyone stood in awe, praising what they could not see, but trusting the words of others, who, in their turn, also relied on someone else’s opinion. At the same time, they loudly ridiculed the low-brow conservative knuckle-draggers who were too close-minded and unrefined to appreciate the beauty of Obama’s new clothes.

    Suddenly, a small child, too young to know how bad it was to be thought of as a low-brow conservative knuckle-dragger, pointed at Obama and shouted, “The Emperor has no clothes!” Upon hearing the child’s proclamation, the Obama voters suddenly realized that their Emperor indeed was standing in front of them naked. The next thing they suddenly realized was that it had to be a new, cool trend.

    With a loud cheer, they all stripped naked and ran towards the White House, glorifying Obama and marveling at his extraordinary beauty and wisdom.

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    8th January 2013 at 1:16 pm

  7. Bob says:

    Given the current trend in social mood, this loophole in the law is likely to be closed and/or not used. This is precisely what the Treasury is precluded from doing by the Federal reserve laws — it is a dreamed-up gimmick driven by wishful thinking.

    Until sometime after the collapse, we probably will stick with the current method of monetary creation, which is debt issuance. Ofsetting the vaporization of current debt with new debt is at best neutral, and at worst, deflationary. It is only after we experience a profound, painful deflation that idiotic ideas like creating money by having the Treasury mint a coin will gain real traction.

    Minting a $1 Trillion coin and ‘depositing’ it would be an inflationary act. If it replaced an equivalent amount of vaporized debt, the impact on the actual money supply would be small, but expectations would be dramatically altered. This is a big reason why I believe that we will undergo first a significant deflation, followed by an unknown degree of inflation, attempting to ‘re-flate’ the economy. As Admin likes to say, “What could possibly go wrong?”

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    8th January 2013 at 3:02 pm

  8. Hope@ZeroKelvin says:

    How will a $1T coin, which is <1 year of deficits, have any real impact on the solvency of the US?

    How will a $1T coin maintain "full faith and credit of the US government"?

    How will a $1T coin ensure that oil is traded in the USD?

    In short, isn't this just a fast way to crash the USD?

    Like or Dislike: Thumb up 4 Thumb down 1

    8th January 2013 at 6:17 pm

  9. todd says:

    hope,

    mish had a good post on the same thought today suggested instead a 1 quadrillion coin.

    http://globaleconomicanalysis.blogspot.com/2013/01/krugman-supports-1-trillion-coin-why.html

    if you’re gonna go might as well go big.

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    8th January 2013 at 10:10 pm

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