Trump: U.S. can never default because it prints money

[sinkspur]

His statements read like someone tutored him over the weekend. 

If this is actually what he meant, he should have said it.  Even if it is what he meant, one has to ask why this guy is such a rotten communicator and is having to "clarify" what he supposedly meant all the time!

What he meant is even worse than what he said yesterday!!  Printing money as the way out of debt?  How much inflation does he want?

[ArneFufkin]

Smart

My dad gave me one dollar bill
'Cause I'm his smartest son,
And I swapped it for two shiny quarters
'Cause two is more than one!
And then I took the quarters
And traded them to Lou
For three dimes -- I guess he don't know
That three is more than two!
Just then, along came old blind Bates
And just 'cause he can't see
He gave me four nickels for my three dimes,
And four is more than three!
And I took the nickels to Hiram Coombs
Down at the seed-feed store,
And the fool gave me five pennies for them,
And five is more than four!
And then I went and showed my dad,
And he got red in the cheeks
And closed his eyes and shook his head--
Too proud of me to speak!

- Shel Silverstein

[don-o]

Please keep the topic of this thread on track...thanks

 

[Mechanicos]

He bought a failing business and piled it up with more debt before filing bankruptcy.  You haven't actually read the details of these matters, have you?  Best I can tell he used them as dumpsters to get around other problems.  It may have been technically legal, but I don't see it as ethical.  It is much like Clinton with his "depends on what the meaning of "is" is."  Ethically speaking, if you know you are deceiving people, it is still a lie, or scam, whatever the context.

Yes I have read up on them, turn off your democrat supporting filter and be honest. As you learned most people did not buy the spin you are trying to sell.

[Bigun]

Smart

My dad gave me one dollar bill
'Cause I'm his smartest son,
And I swapped it for two shiny quarters
'Cause two is more than one!
And then I took the quarters
And traded them to Lou
For three dimes -- I guess he don't know
That three is more than two!
Just then, along came old blind Bates
And just 'cause he can't see
He gave me four nickels for my three dimes,
And four is more than three!
And I took the nickels to Hiram Coombs
Down at the seed-feed store,
And the fool gave me five pennies for them,
And five is more than four!
And then I went and showed my dad,
And he got red in the cheeks
And closed his eyes and shook his head--
Too proud of me to speak!

- Shel Silverstein

http://www.youtube.com/watch?v=bYhTFz_SGw0

[Suppressed]

What he meant is even worse than what he said yesterday!!  Printing money as the way out of debt?  How much inflation does he want?

To be fair, he didn't directly suggest we do that.  And the article does have him giving a longer explanation.  I'm not going to copy it all here, but a couple of paragraphs of it...

"It was reported in the failing New York Times and other places that I want to default on debt," Trump said. "You know, I’m the king of debt. I understand debt probably better than anybody. I know how to deal with debt very well. I love debt but you know, debt is tricky and it’s dangerous and you have to be careful and you have to know know what you're doing. If there's a chance to buy back debt as a discount, interest rates up and the bonds down and you can buy debt. That’s what I'm talking about."

and

"So here’s the story, just to have it corrected. If we have an opportunity where interest rates go up and you can buy back debt as a discount," he explained. "I always like to do that, if you can do it. But that’s all I was talking about. They have it like I'm going to go back to creditors and I’m going to renegotiate restructured debt. It's ridiculous and they know it's ridiculous but they print it out wrong purposely."

[Luis Gonzalez]

Sorry Myst, I just have to ask one question of LG:  Have you seen the movie Judgement at Nuremberg?

Yes I have, and I understand the difference.

I don't want you, the government, or any Church making decisions about what to do at the end of my life.

I want the woman I married to do it.

That's the law, and that is the person that I want representing me.

There's no comparison between Nuremberg and what we're discussing.

Now, stop dodging the rest of Jeb's record.

[Luis Gonzalez]

He abandoned her to die. He could have EASILY locked it up in court granting her an executive clemency overturning execution on the grounds she did not stand trial and multiple courts would have been forced to litigate every individual aspect of that independently for YEARS.

Please do not tell me that a Governor and Attorney General could not do it. They can.

He pushed a law through to keep her aive and it was deemed unconstitutional. He asked the SCOTUS to intervene and they refused.

Lawlessness is not what we expect form a governor.

How about the rest of Jeb's accomplishments?

[Norm Lenhart]

He pushed a law through to keep her aive and it was deemed unconstitutional. He asked the SCOTUS to intervene and they refused.

Lawlessness is not what we expect form a governor.

How about the rest of Jeb's accomplishments?

As requested I'll stay on topic while letting Jeb's history stand on it's own.

[BigHomer]

http://www.politico.com/story/2016/05/trump-no-debt-default-222957


Trump: U.S. can never default because it prints money

What a complete stooge. If there was any doubt he was a democrat, this ends it.

[Luis Gonzalez]

So you were on the side of the re-married ex-husband all along?  That means most of the time you were in disagreement with Jeb yourself.
Hong worked out in a car
Say whatever you must and I won't reply in order to honor Myst's request.

The whole thing worked out in accordance to the prevailing laws in the State.

We are supposed to be the side of the political spectrum that wants things to come about in accordance to the rule of law.

Curiously, those laws have not been changed in the decade that's passed after Schiavo's death.

Once the cameras left, so did the activists.

[kjam22]

If I hadn’t actually heard him say it, I would have thought this was from The Onion.

Actually the king of debt was killed in a single car accident about a month ago...   I used  to work with for his company before I retired from oil and gas a few years back.   Aburey McClendon.   Trump can't hold a candle to Aubrey when it comes to debt.     And, if King Trumpy really is that bad..... then there is no doubt he will destroy America.

[kjam22]

What a complete stooge. If there was any doubt he was a democrat, this ends it.

You say stooge.... I say moron.    The informed reader says con man, shyster, mob guy, casino owner, crook, politician briber, 70 year old with a bad spray tan and a bad comb over, New Yawk liberal....... presumptive nominee to a political party that used to matter.

[Victoria33]

I'mnow convinced that Donald Trump never ran his own empire. He's just the face of it. Because no one with a minimal understanding of Econ 101 would say something that asinine.

I agree 100%.  He inherited money and had lawyers to do the legal work and contracted with builders to build the buildings.  I knew I would never go in Trump tower when I read it does't have one beam of steel anywhere in it.  It is completely concrete and the president of the concrete company went on trial due to mafia ties.  Trump had to testify and he said he hardly knew the man and didn't think he was mafia.  However, there was "concrete" evidence he had been a friend of this guy, been with him numerous times.  The truth is not in Trump, period.

[kjam22]

I agree 100%.  He inherited money and had lawyers to do the legal work and contracted with builders to build the buildings.  I knew I would never go in Trump tower when I read it does't have one beam of steel anywhere in it.  It is completely concrete and the president of the concrete company went on trial due to mafia ties.  Trump had to testify and he said he hardly knew the man and didn't think he was mafia.  However, there was "concrete" evidence he had been a friend of this guy, been with him numerous times.  The truth is not in Trump, period.

What's bad is we would NEVER print money for the purpose of eliminating debt or servicing our budgetary needs.   We print money to give to other people and or countries, so they will have money to loan us, so we can use the money they loan us to spend on things we don't' have the money for.

[EC]

I agree, although now I'm thinking maybe Trump is the pop culture vehicle we need, the "President Camacho" if you will, to propel us to victory, and maybe if we can convince him to hire the right conservative people in all the right places then he may end up being a good conservative president after all?

Thinking out loud here.

With respect - he could scour the world. Find the greatest geniuses in every needed field. Hire them.

Wouldn't make a blind bit of difference if he didn't listen to them. And listening, well, it's not one of the things he's very good at. Especially if someone is using the word "No." 

[Hoodat]

What's bad is we would NEVER print money for the purpose of eliminating debt or servicing our budgetary needs.

We have been doing exactly that for the last eight years.

(See:  Quantitative Easing - aka 'The Printing of the Money')

[Mechanicos]

We have been doing exactly that for the last eight years.

(See:  Quantitative Easing - aka 'The Printing of the Money')

Shhhh.. they are happy in their made up world.... If they ever realized just how bad it really is they might crack.

[kjam22]

We have been doing exactly that for the last eight years.

(See:  Quantitative Easing - aka 'The Printing of the Money')

Nope... we print money and float it into the system through various banks, foreign countries etc.  We don't print money and send it as a debt payment.  We borrow money to pay on our debt.

[Hoodat]

Quantitative Easing Explained (aka the Printing of the Money)


https://www.youtube.com/watch?v=PTUY16CkS-k

[kjam22]

Quantitative Easing Explained (aka the Printing of the Money)


https://www.youtube.com/watch?v=PTUY16CkS-k

The fact remains.... we don't print money for the purpose of paying on our debt.   We print money and float it in the system so others will have money to loan.   Money to loan to the US so we can give it to impoverished nations, or the poor, or to pay SS, or pork barrel projects and whatever else the government does with money.   And money to loan to home buyers, to people buying cars, to businesses etc.     It's all filtered through someone's hands before the US does anything with it.  That's the corruption.

[Hoodat]

Nope... we print money and float it into the system through various banks, foreign countries etc.

The Fed invents money it doesn't have and then purchases bonds from the US Treasury to finance our government spending.  They have been doing it since February 2009.  It began with the TARP bailout in 2008, but it was extended to the US Treasury beginning with the remainder of FY2008 budget that did not pass Congress until AFTER Bush left office.

Any basic macroeconomics course will teach you that interest rates will always be higher than the rate of inflation.  Except that is not the case now.  And it is not the case because the federal government does not want to compete for borrowed dollars.  So it issues new dollars through the Fed in order to keep interest rates low.  Meanwhile, the value of those dollars continues to fall.  Food is now 50% higher than it was in 2008.

Without the printing of the money, we would be seeing interest rates in excess of 20% in order for the Treasury to attract bond buyers to purchase between $1.1 and $1.6 trillion of bonds annually as it has done for the last eight years.

[kjam22]

The Fed invents money it doesn't have and then purchases bonds from the US Treasury to finance our government spending.  They have been doing it since February 2009.  It began with the TARP bailout in 2008, but it was extended to the US Treasury beginning with the remainder of FY2008 budget that did not pass Congress until AFTER Bush left office.

Any basic macroeconomics course will teach you that interest rates will always be higher than the rate of inflation.  Except that is not the case now.  And it is not the case because the federal government does not want to compete for borrowed dollars.  So it issues new dollars through the Fed in order to keep interest rates low.  Meanwhile, the value of those dollars continues to fall.  Food is now 50% higher than it was in 2008.

Without the printing of the money, we would be seeing interest rates in excess of 20% in order for the Treasury to attract bond buyers to purchase between $1.1 and $1.6 trillion of bonds annually as it has done for the last eight years.

Without the printing of money there would be no money to borrow.  Hence high interest rates.   It is printed and floated into the system to people that loan it.   

[Weird Tolkienish Figure]

Food is now 50% higher than it was in 2008.

Is that true? Might be a little higher, but not that much.

[Mechanicos]

Is that true? Might be a little higher, but not that much.

Very well could be. I know Milk and Beef are at least that. I get eggs for chicken feed so no way to compare....