US treasury ordered to print $9 trillion to wipe out national debt

I have a question ... maybe one of you enlightened minds can help me out.

I know that bills only have an average circulation of something along the lines of 18 months. New currency is ALWAYS being printed, simply to replace older bills, correct? Now who actually regulates and does the accounting work for this? I mean say they get a shipment of 20 million in used bills to shred, who's really there to stop them from saying they got in 40 million and then printing that many new bills? The markets and the values wouldn't be the wiser if things work like this ... and I've often suspected it. Sounds like a shady and sure-fire way to slowly "erase" the debt without affecting the dollar's value. To the tune of $9 trillion? Now that would be tough ... but over time ...

However someone with a better knowledge of the mints and printing systems of american currency should be able to chime in with what checks and balances are in the government to prevent such a thing from happening. I'll do some research on it and post back if I find anything out.

Originally posted by Fiverz
I mean say they get a shipment of 20 million in used bills to shred, who's really there to stop them from saying they got in 40 million and then printing that many new bills?

Sounds like a shady and sure-fire way to slowly "erase" the debt without affecting the dollar's value. To the tune of $9 trillion? Now that would be tough ... but over time ...

20 million in .... shift change .... 20 million in ... shift change ... let's see now looks like we got a total of 40 million in ... shift change ... 40 million in, 40 million out


[edit on 30-11-2006 by In nothing we trust]

Originally posted by Sun Matrix
Strange things happen in this country.............Who is the Federal Reserve? Part of the Government? See what I mean.

Technically, the FED is not part of the government. It is privately owned and publicly run as to minimize political influence over it.

I have a question ... maybe one of you enlightened minds can help me out.

I know that bills only have an average circulation of something along the lines of 18 months. New currency is ALWAYS being printed, simply to replace older bills, correct? Now who actually regulates and does the accounting work for this? I mean say they get a shipment of 20 million in used bills to shred, who's really there to stop them from saying they got in 40 million and then printing that many new bills? The markets and the values wouldn't be the wiser if things work like this ... and I've often suspected it. Sounds like a shady and sure-fire way to slowly "erase" the debt without affecting the dollar's value. To the tune of $9 trillion? Now that would be tough ... but over time ...

However someone with a better knowledge of the mints and printing systems of american currency should be able to chime in with what checks and balances are in the government to prevent such a thing from happening. I'll do some research on it and post back if I find anything out.

It's nto going to work... even over a period of decades. Even IF it was done secretly, it is impossible for the U.S. economy NOT to get into hyperinflation... For God's sakes it is 9 trillion dollars.

[edit on 30-11-2006 by k4rupt]

Originally posted by k4rupt

It's nto going to work... even over a period of decades. Even IF it was done secretly, it is impossible for the U.S. economy NOT to get into hyperinflation... For God's sakes it is 9 trillion dollars.

Are you saying that the US government isn't capable of losing $9 trillion?

It's already been posted on this thread at least once. Take in more money than you spend, that is by far the most common sense approach I've ever heard. Forget all the complicated economics of the federal reserve for now, it's just a matter of spending less and/or taking in more.

Here's where I say we start;
1. Actually force accountability within the entire government so that we can spend less money for a better job done.

2. Remember all that corn that we pay farmers not to grow? How about instead of doing that we let them sell the surplus as ethanol or freeze it and export it to foreign markets.

3. Buckle down with the defense contractors. I understand that a lot of the stuff they sell us is very high quality, but they overcharge us on a lot of stuff.

4. Raise taxes on companies that export. That way we either make money on the corporations, or through the jobs that'll be brought back to the US.

5. Cut down on the amount of prisoner's in jail with public floggings.

6. Throw some of these rediculous law suits out of court. A woman sueing over Guacamole dip not being made from avacado's? Sounds nice on paper, protecting good business practice and all. But punitive damages? That sort of thing is a waste of the court's time and money.

7. Cut most of our funding to the UN. That money clearly isn't being put to very good use and in reality the United Nations has just become a platform to whine about us mean American imperialists.

8. Spend less on war by causing less of them. North Korea got nukes? Just put some of the money we'll be saving into a half decent missile defensive shield and that's that. If a member of relgion A is going to whine about us and our imperialism then he can go and blow his hands off while making a bomb to blow up a member of relgion B for all I care. Just keep that on the other side of the ocean and I'm happy.

9. Stop giving money to Israel and Palistine until they learn to play nice with eachother.

10. Keep the amount of protection the president's limo can have equal to that of a standard military Humvee (or it's future replacement when the time comes). That way we'll either save a few bucks on armor, or our soldiers will get some nice protection. Neither of which I would have anything against.

Originally posted by In nothing we trust

Originally posted by k4rupt

It's nto going to work... even over a period of decades. Even IF it was done secretly, it is impossible for the U.S. economy NOT to get into hyperinflation... For God's sakes it is 9 trillion dollars.

Are you saying that the US government isn't capable of losing $9 trillion?

Yes, that is EXACTLY what I'm saying.

Originally posted by St Udio

they should be fined billions for all those years that blind people, having no way to know if they were paying with a $20 bill
for that $1 cup of coffee in the morning.
as i see it......Our US Treasury only operates the printing press, but the Federal Reserve which is a independent contractor exclusive to the Treasury & the US Gov't
is the party that 'issues' the 'notes' & creates the credit expansion/money from nothing ~

I remember when I was younger a blind person came to talk to our school and he said that he has a machine that scans the bill and tells him which amount it is worth.