America may mint Trillion Dollar coins to pay debts.

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posted on Jan, 10 2013 @ 02:48 AM
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But with the vote to raise the debt ceiling yet again now looming, yet a new asinine idea is now gaining traction among progressive circles. As ABC News describes it, “It goes like this: Should Congress fail to extend the U.S. debt limit — reached again on Dec. 31 — the president could ask the Treasury to begin printing trillion dollar coins (in a process explained mostly seriously by Jim Pethokoukis on his American Enterprise Institute blog), a number of which could then be put toward fulfilling debt obligations in the event new legislation stalls in Congress.

"While there are laws in place to regulate how much paper, gold, silver or copper currency can be circulated by the government, there is nothing so clearly stated when it comes to platinum. That door open, the Treasury could have the U.S. Mint melt and mold a few trillion dollars of it, then ship the goods over to the Federal Reserve for safekeeping until the time comes to pay the bills.”

We’re doing everything we possibly, legally can to hold Washington accountable for it’s out-of-control spending and desperately trying to balance our books, yet leave it up to the progressives to look for another loophole to exploit in the system so Washington can keep drowning us in red ink. Unbelievable.

www.policymic.com...

America has officially become a cartoon.


This is great news for Americans because when hyperinflation kicks in you wont need a wheelbarrow full of USD to buy a loaf of bread. Looks like you will be able to simply keep a few trillion dollar Obama coins in your pocket.

It seems that American politicians will continue to search for short term solutions and quick fixes instead of seeking genuine solutions to Americas spending, debt and credit problems.

It is a scary thought that America has four more years of Obamas leadership to look forward to.




posted on Jan, 10 2013 @ 02:53 AM
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Now that's... INFLATION for ya!

They're gonna need at least what... 80 "trillion" denomination coins to pay off current debt

Plus... INTEREST!



posted on Jan, 10 2013 @ 02:56 AM
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Insane.



posted on Jan, 10 2013 @ 02:59 AM
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Imagine trying to buy a can of pop with that..can you change a trillion mister?


Bit like this guy (Just watch the first bit )
edit on 10-1-2013 by boymonkey74 because: (no reason given)



posted on Jan, 10 2013 @ 03:14 AM
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This has got to be some kind of joke, i mean if we have that much
platinum just laying around then wouldn't the debt we have not be
an issue at all, that sounds to me like they are saying "well we are
in debt up to our eyeballs, 16 trillion." then bobby the waiter at their
local waffle house asks, "hey didn't you guys say we had a stockpile of
gold the size of the empire state building?" And they all simultaneously
went "OH YEAH, how could we have forgotten that, well guess we
aren't in trouble after all!"
edit on 10-1-2013 by bloodreviara because: (no reason given)



posted on Jan, 10 2013 @ 03:16 AM
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www.politico.com...




"There is no plan B, there is no backup plan. There is Congress's responsibility to pay the bills of the United States," White House press secretary Jay Carney said during his daily briefing.


I'm all for holding the government and our elected officials accountable in terms of getting rid of our country's national debt. I'm also of the mind that minting a trillion dollar coin is an idiotic idea. HOWEVER, telling our debt-holders, market investors, other governments, as well as -everyone- who does business with the United States that we can't be trusted to pay our bills is even more moronic. Talk about a double dip recession....




But when asked whether the administration would rule out minting a coin, Carney didn't outright deny the option. "You can speculate a lot of things, [but] nothing needs to come to these speculative notions" so long as Congress does its job, he said. And the White House expects Congress to follow through, Carney said. "The option here is for Congress to do its job and pay its bills, bills that have already been racked up." Later on in his briefing, Carney was pushed again to rule out the option of minting the coin. He referred the question to the Treasury Department and again repeated that the president does not see a back-up plan for raising the debt ceiling. Asked if anyone in the administration is trying to figure out whether using the coin is a viable option, Carney responded: "Not that I know of."


And Congress wonders why their approval rate is like 9%. Seems like every time you blink a new partisan fight is brewing in Washington, preventing the People's Business from getting done.
edit on 1/10/13 by ElijahWan because: addition



posted on Jan, 10 2013 @ 03:25 AM
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Zimbabwe here we come....





posted on Jan, 10 2013 @ 04:25 AM
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Originally posted by bloodreviara
This has got to be some kind of joke, i mean if we have that much
platinum just laying around then wouldn't the debt we have not be
an issue at all,


We Do NOT have that much platinum at value... What we do have is a machine that can stamp numbers on metal.. Platinum just happens to not fit into our current laws, so they could really just be printed like that... Think of how a piece of paper worth some 6 cents as paper can be worth $1,000.. Similarly a $200 platinum piece molded into a coin could be "worth" $1,000,000,000,000....

It would be entirely pointless of course.. I mean.. I wouldn't accept that as payment haha..
edit on 1/10/2013 by Dustytoad because: (no reason given)



posted on Jan, 10 2013 @ 04:48 AM
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While there are no rules for the minting of platinum, such an option can go two ways.

1/ Follow the normal rules in which case this trillion dollar coin will have its asset backed by the federal debt and further expand the current debt problem.

2/ Make new rules in which case every one will be left scratching their heads as some balance books will finally balance again. How this results in liquidity security further down the line does not look hopeful. Also demand for such a coin is somewhat limited, if you had a trillion dollars would you like a tiny piece of platinum worth a few hundred dollars or something a bit more substantial to back it? While the FED may be forced to accept such an item any actual worth outside of this agreement is unlikely, especially in such a sketchy economic environment.

Thinking outside of the square and looking to change the rules is what is needed though as the current rules are killing the government and has the economy on an unsustainable path. The government is the big loser in the creation of money as interest is paid on the bonds to produce the cash and further interest paid to the banks to get the cash, a lose - lose situation for the public purse.

Renegotiating the government debt to remove the interest component is one option. This will cause a lot of market upset as the gravy train ends for many, but the markets will still be running.

If the government does have a few trillion dollars worth of platinum stored up then it has been manipulating market prices quite significantly. To release such a quantity into the market or as a security will disrupt and reduce platinum prices quite a lot, also affecting the worth of such an asset.



posted on Jan, 10 2013 @ 05:27 AM
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isn't the mechanics of barter.. all about trade?.. what one person is willing to exchange with you for an item?

you have a $10 note, the grocer is willing to give you $10 worth of fruit in exchange.
If you have $10 worth of fruit, your willing to give it to a customer for a $10 bill.

The governments around the world never accept coins like that, because the US would never accept them back.

Saying a coin is worth X doesn't really mean anything unless the government will honor and enforce its value, and you cant FORCE the Chinese to take a platinum coin worth such a 'false' amount!

hopefully its a joke!

What I think they are trying to accomplish, is the FED loans the US government a 1 trillion dollar coin to hold in its vault, theoretically, on paper, their bank balance sky rockets, allowing them to print endless money to pay monthly bills and their debt. The trillion dollar coin is a debt between the government and the fed, that the fed will forever hold.



posted on Jan, 12 2013 @ 12:13 AM
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Why on Earth are we even borrowing trillions and paying interest to others when we can be minting these coins and paying off our debts, when all the debts are paid off we can keep minting these coins and keep depositing them at the bank and our central account can then earn us interest, with enough interest coming in each month we can keep living the lifestyle.
edit on 12-1-2013 by inthewinterdark because: (no reason given)



posted on Jan, 12 2013 @ 01:14 AM
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I mentioned it a while back, 2008. Normalizing the economy.
[www.abovetopsecret.com...]

...
If the USA normalizes its economy it puts her people at a disadvantage first. This ends up with the rest of the world at a disadvantage as well. Once they adjust, the USA and her people will be on top having been amongst the first to readjust and acclimatize. We'll once again have buying power.
....


I admit my initial assessment was incorrect, that prices were dropping, though they were at the time it was a short-lived trend.

But maybe, in shorter verbage, bankrupt the world before you become bankrupt yourself.
Or bankrupt yourself first, then bring the world down behind you....

edit on 1/12/2013 by abecedarian because: (no reason given)



posted on Jan, 12 2013 @ 01:30 AM
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Originally posted by Agit8dChop
The trillion dollar coin is a debt between the government and the fed, that the fed will forever hold.


Yep.

Thread should be "America may borrow trillions of dollars to pay debts".



posted on Jan, 12 2013 @ 02:52 AM
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Yea seen this in Germany just b4 WWII



posted on Jan, 14 2013 @ 11:04 AM
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So they are finally going to pay off the fake debt derived from fake money loans into real worth.

One coin worthy of 1 trillion dollar? I got to get myself one of those. ^_^





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