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"Intragovernmental debt holdings represent balances of Treasury securities held by over 230 individual federal government accounts with either the authority or the requirement to invest excess receipts in special US Treasury securities that are guaranteed for principal and interest by the full faith and credit of the US Government". It continues.. "The majority of intragovernmental debt holdings are Government Account Series (GAS) securities. GAS securities consist of par value securities and market-based securities, with terms ranging from on demand to 30 years."
So the $4 trillion difference between the real national debt and the disgusting national debt is the amount of money that we had but we spent on the wrong things. Let me explain why the $4 trillion has no real significance.
The $4 trillion consists primarily of valueless trust funds. There is no pot of gold. There is no stack of bills—just worthless scraps of paper. If I were elected president, my first act would be to direct my Treasury Secretary to pile up the IOUs in the trust funds on the White House lawn, and blow them up like a modern-day Disco Demolition Night.
To look at it from a different angle, Congress could double the social security withholding rate. The trust fund would continue to grow for the rest of our history, and not a penny would ever be paid off. Conversely, they could eliminate payroll taxes, and the trust fund would be gone in a matter of years. Either way, it would have nothing to do with whether the government could afford to pay social security benefits, which is why I say it is an irrlevant accounting fiction.
That’s why the social security trust fund is lcassified as “intragovernmental debt,” because the government borrowed from itself.
so what is their solution?