US National Debt Will Default

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TimesAwasting's picture
TimesAwasting
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US National Debt Will Default

Somebody please check my math here... Chris's report today got me to doin' some thinkin'...

According to my research at the Census Bureau, there are approximately 110 million households in the USA today.

Assuming we as Americans wanted to payoff say, One Trillion of our debt, it would take $10,000 from each and every household... that's above and beyond all the taxes we currently pay and does not include our "other" obligations; namely our own personal debts.

Now what if we wanted to whack the entire National Debt? The same $10,000 per household, per year for the next 60 to 80 years?

I find it hard to believe that we'd be able to pay off even one trillion dollars, let alone whatever our total US unfunded obligations happen to be ($60 T?). Now what's our national savings rate again? Zero??? Of course, that doesn't even consider the Vic we must pay the Bankster Cartel for the privlege of borrowing our own money.

I just sit here in wonderment and chuckle to myself on a daily basis. It seems each day that passes a new stimulus scheme or bailout is proposed by our wizards in DC.

It used to get me angry, but now I just laugh. Sure, go ahead congress... give everyone a bailout. It really doesn't matter how many dollars the Federal Reserve prints... none of it, and I mean NONE OF IT will EVER be repaid! Seems to me that it is a mathematical impossibility, nicht var?

The Truth has set me free!

Anyone want to venture a guess on how long Rome can burn... years? Decades?

I wonder how long before the rest of the world gets Hooked On Math?

The only plausible solution I can foresee at this point is... I think Matrix is gonna get his reboot!

 

POTUS's picture
POTUS
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Re: US National Debt Will Default

http://www.usatoday.com/news/washington/2008-05-18-Redink_N.htm

 $650,644 per household as of May, 2008

 Back of the envelope here, but that would put it at around $666K now. 

 

 

tonguefu's picture
tonguefu
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Re: US National Debt Will Default

hi there, I live in canada. I have been waiting for this period in the US and CAN economics to play out for a VERY long time. Now its so close I can taste it...

But the question still loom, how close in weeks/months is a REAL collapse?

 

Cheers

Alex Szczech's picture
Alex Szczech
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Posts: 105
Re: US National Debt Will Default
tonguefu wrote:

But the question still loom, how close in weeks/months is a REAL collapse?

It seems to me there's still some time/room for the government to play games with money by devaluing the currency. Where the rubber meets the road though will be when all of this starts resulting in energy shortages -- then things will get ugly really fast.

 

BTW, does anyone know if the government is restocking the Strategic Petroleum Reserves with the price of oil  temporarily cheaper? 

 

 

 

RubberRims's picture
RubberRims
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Re: US National Debt Will Default
TimesAwasting wrote:

The Truth has set me free!

I wonder how long before the rest of the world gets Hooked On Math?

I thought it looked familiar, a US Alice in Wonderland Monetary Policy!

“Nothing would be what it is. Because everything would be what it isn’t. And contrary-wise — what it is, it wouldn’t be. And what it wouldn’t be, it would. You see?” — Alice in Wonderland.

 

 

 

 

 

 

 

 

 

It should be clear to all that the Fed sees inflation as the only politically acceptable “solution” to the problems it created.

They are simply damned if they do, and damned if they don't. Or is it the other way round...?

 

 

cannotaffordit's picture
cannotaffordit
Status: Gold Member (Offline)
Joined: Jun 12 2008
Posts: 273
Re: US National Debt Will Default

If the Fed Res is just a greedy private business, that is raping our country anyway, why don' we just default on everything we owe them?  What are they going to do, sue us?  Ha Ha Ha.

Or. is it true that they also control the military?  How else are they going to "get blood out of a turnip?"  My household sure as heck ain't gonna pay off our share of the debt.   In fact, we didn't even want to borrow the money from them in the first place. 

I say "default, default" and let's start our own "public" system, with money based on something that has value. 

gtazman's picture
gtazman
Status: Martenson Brigade Member (Offline)
Joined: Oct 6 2008
Posts: 48
Re: US National Debt Will Default

Ben,

Your comments segue nicely to comments made by constitution scholar Dr. Edwin Vieira at NewsWithViews.com, A "Missouri Plan" to Contract the Debt Bubble  Link http://www.newswithviews.com/Vieira/edwin190.htm

Dr. Vieira says.

"As
complicated and confusing as are America’s present financial woes,
her fundamental problem is simply stated: This country is staggering
towards economic perdition under a gargantuan load of debt that is unpayable
in terms of real wealth. (It may be “payable” in
the merely nominal sense that the required number of “dollars”
will somehow change hands, even though those “dollars” will
be substantially depreciated in purchasing power from the “dollars”
in circulation when the debts were initially contracted.) And either
a sizeable part of that load of debt will be lifted from her shoulders,
or America will collapse economically, politically, and socially in
the not too distant future." 

 "The
accelerating expansion of this burden of debt over the last two decades
has exhibited the classic characteristics of a “bubble”—or,
perhaps more descriptively put, a veritable “feeding frenzy”
among the insatiably avaricious loan-sharks and speculators of high
finance. To be sure, had not all too many common Americans become all
too extensive borrowers all too quickly, this problem might not have
occurred—or at least not have emerged as early and as devastatingly
as it has. Yet, no matter how unprincipled, imprudent, and just plain
greedy the borrowers may have been, such financial lemmings—both
amateur and professional—could never have been assembled in such
masses had not a sufficiency of willing lenders been available to accommodate
them. And sufficient lenders willing to lend to such an exorbitant degree
could not have emerged unless they had been able to lend—and the
lenders could not have been able to lend with such reckless disregard
for the consequences without access to a never-emptying reservoir of
so-called “liquidity” to float their loans. In short, this
bubble could never have been inflated to such monstrous proportions
without the constant pumping of that mammoth hot-air machine of debt-currency
and bank-credit, the Federal Reserve System
. So this problem is
not one that arose only during the Bush years, or the Clinton years,
or in any other sorry Administration of recent memory, but instead is
one that traces its true origin back to the “Christmas present”
that Congress foisted on this country in December of 1913."

We will see as Chris Martenson has said so well that the next 20 years will not look like the past 20 years and see the total and complete collapse of the US as we know it.

Gary

Damnthematrix's picture
Damnthematrix
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Posts: 3998
Re: US National Debt Will Default
Alex Szczech wrote:

BTW, does anyone know if the government is restocking the Strategic Petroleum Reserves with the price of oil temporarily cheaper? 

Whilst production is collapsing?  And oil companies are hitting the wall, firing people and closing down unviable oil projects due to the price collapse?

I doubt it....

Welcome to Peak Oil.

Mike 

Damnthematrix's picture
Damnthematrix
Status: Diamond Member (Offline)
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Posts: 3998
Re: US National Debt Will Default

It sure is heart warming to see more and more people seeing things my way.....

Bring on the revolution.  The bastards in charge know not what they are doing.

Mike

csstudent's picture
csstudent
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Posts: 48
Re: US National Debt Will Default
tonguefu wrote:

BTW, does anyone know if the government is restocking the Strategic Petroleum Reserves with the price of oil  temporarily cheaper? 

Yes, they are refilling the reserve - http://www.bloomberg.com/apps/news?pid=20601103&sid=aZk9t6royN_c&refer=news

Damnthematrix's picture
Damnthematrix
Status: Diamond Member (Offline)
Joined: Aug 10 2008
Posts: 3998
Re: US National Debt Will Default

As I thought..... 

"“Thank God they’re doing it at reasonable prices,” said
Peter Beutel, president of Cameron Hanover, an energy consulting
company based in New Canaan, Connecticut. “But 12 million
barrels is a drop in the bucket. It’s not going to have a big
impact on prices.”"

As the artticle states, the capacity of the reserve is 727 million barrels.

12 million barrels is barely half the US' daily consumption.

Mike 

Hanover_Fist's picture
Hanover_Fist
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Posts: 10
Re: US National Debt Will Default
Alex Szczech wrote:

BTW, does anyone know if the government is restocking the Strategic Petroleum Reserves with the price of oil  temporarily cheaper? 

 

That's a damn good question.

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