Comments by "Grim Affiliations" (@grimaffiliations3671) on "Does anyone care about the national debt?" video.

  1.  @nobodysfool2232  the inflation we experienced was due to supply issues around covid. We've printed a lot since then and inflation has only fallen
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  2.  @thecwd8919  the government budget is not like a household budget
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  3. the national debt is just peoples savings
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  4. why? If anything shouldn't that prove the fear mongerring about the debt is misplaced?
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  5.  @eddarby469  But that's the thing, the US has all of it's debt in it's own currency. This is important because it gives them full control over their interest rates. Thus they can always put interest rates below the growth rate of the economy, or to 0 like they've done for most of the past decade. They could even stop selling bonds and adding to the debt altogether since they don't actually finance government spending. Selling bonds is just something the government did historically to control the overnight interest rate, but since 2008 they've paid interest directly on reserves. They now set interest rates simply by declaring a new rate, which makes selling bonds (borrowing) redundant It's the fact that US debt is in dollars that gives us a unique power, not the reserve currency. This is evidenced by Japan. As a nation with by far the largest debt to gdp ratio in the world (250%), they should have defaulted or suffered hyper inflaiton a long time ago. Instead, they've managed to keep their interest rates at 0 for most of the last decade as well while experiencing persistently low inflation. All without the reserve currency
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  6. wrong
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  7.  @letsgoooo9200  the government doesn't borrow, it creates new money
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  8.  @eddarby469  our education has failed us because people don't understand that the "national debt" is just peoples savings. Fearmongering about the debt is a good clue that someone is ignorant
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  9.  @steveg1961  Why wasn't trump as bad as biden? He was worse. At least Biden spent money on things that help regular people, Trump spent trillions giving his fellow elites corporate tax cuts. None of which had a noticeable affect on the economy
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  10. that's only a probelm if you don't control your interest rates, which the government does
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  11. You're mostly right, but you got a few things wrong. You're right, The national debt represent all the money we've ever printed minus all the money that has ever been taxes away, and it currently exists in the form of US treasuries. And yes, tax dollars don't go into a fund, but they aren't printed either. They're simply deleted. Debited out of existence. The government only makes us pay federal taxes to create demand for the dollar. And also adding to the national debt isn't necessarily inflationary, it depends on whether your deficit spending occurred while already at full capacity
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  12.  @Rundark-  You're wrong about the federal reserve not being federal. They were created by the gov, get their authority from the gov, have their board of governors appointed by the gov, and must had over all their profits to the treasury. It's very much federal. And while Clinton never had us in the black in terms of the national debt, he had the budget in the black for the first time in ages. But that wasn't actually a good thing. Clinton, and most people, don't understand that a government deficit translates directly into a private sector surplus. In other words the governments red ink is our black ink. By bringing the government into surplus, you are simply forcing the private sector into deficit. This is why we got a recession shortly after his black ink moment, and we've had a recession/depression every other time we've tried to balance the budget
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  13.  @Rundark-  the fed is audited extensively, by the GAO and by outside auditors of the OIG
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  14.  @WhydoIsuddenlyhaveahandle  They paid more like 66% as of 2019 but you're ignoring inequality. Of course the people who make the lions share of income pay the most in income taxes. The top 1% alone make 20% of the national income. The more inequality you have the more progressive that tax code looks. But the whole point is moot since the government doesn't collect taxes in order to fund things. It collects taxes in order to create demand for the currency. How much taxes it collects has no bearing on the things it can afford to pay for. When you pay federal taxes, that money is debited out of existence at the IRS. And if you pay by cash, they'll literally throw your tax money in a shredder. I've seen it in person. The government had to spend that money into the economy before you could use it to pay taxes, so when you pay the tax, you're not giving them new money. You're just cancelling out what they already spent
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  15. without a big government we'd be a third world country
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  16. they don't care about it and nor should they. The national debt is just a part of the broader money supply and is made up of peoples savings
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  17. only the govenrment controls its money supply
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  18. you shouldn't, the debt is perfectly sustainable
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  19.  @cato451  no worries
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  20. have you read the deficit myth by stephanie kelton? It's a must read
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  21. Republicans are literally planning that right now. It's ridiculous, it's like they have no other move. I believe what you spend the money on is far more important than whether or not you increase the debt. Did you spend on infrastructure, education, healthcare and other stuff that makes us more productive and prosperous, or did you spend on tax cuts for the elites?
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  22. ​ @TroyJScott  It's a false claim a lot of people believe. They think the government will have to pay the interest on their bonds through taxes, but they don't understand how monetary operations work. Firstly, federal taxes don't pay for anything the government does, they are debited out of existence at the IRS. The government pays for maturing bonds with new bonds, they simply roll over the debt. Just for prospective, they rolled over 120 trillion dollars worth of maturing bonds in 2021 alone. That's trillion with a T and inflation has only fallen since then. This idea that future generations will pay for the debt is nonsense
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  23. taxes dont fund government spending, so no, they wont increase taxes to pay for maturing b bonds
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