13. Deficits and Fiat Money - National Debt Will Equal the Children’s Savings
Total deficits minus surpluses are the national debt which is the base money supply and private savings.
Savings pass down the generations from parent to child, building up each generation as young people first accumulate savings through the surplus of their economic energy, then spend the savings down in their old age to purchase things that the rising generation of children will produce.
When they are old, the national debt will be the children’s savings and interest on the national debt will be part of the children’s income.
Both presidential candidates and both parties imply that financial calamities, related to deficits, await “the children.”[1] [6] [11]
If our children in a fit of madness “repaid the debt” their savings would be zero and the economy, starved for money to transact business, would collapse.
Look at it this way. The children will always get to consume the fruits of all their labor, irrespective of the national debt. There is no entity that will accept the fruits of the economy’s labor and reduce the national debt in return. They will not owe foreigners money. The national debt is denominated in fiat dollars that were not borrowed and that are destroyed when the national debt is reduced.
The children will always get to consume the fruits of all their labor!
Savings pass down the generations from parent to child, building up each generation as young people first accumulate savings through the surplus of their economic energy, then spend the savings down in their old age to purchase things that the rising generation of children will produce.
When they are old, the national debt will be the children’s savings and interest on the national debt will be part of the children’s income.
Both presidential candidates and both parties imply that financial calamities, related to deficits, await “the children.”[1] [6] [11]
If our children in a fit of madness “repaid the debt” their savings would be zero and the economy, starved for money to transact business, would collapse.
Look at it this way. The children will always get to consume the fruits of all their labor, irrespective of the national debt. There is no entity that will accept the fruits of the economy’s labor and reduce the national debt in return. They will not owe foreigners money. The national debt is denominated in fiat dollars that were not borrowed and that are destroyed when the national debt is reduced.
The children will always get to consume the fruits of all their labor!