As the holiday season draws nearer, it is nice to know that a present for all Americans and future generations is building as the hordes of consumers’ storm the aisles of their favorite box store so that they can go further in debt. Much like maxing out your plastic limits and paying the monthly minimum, the U.S. Treasury just keeps rolling over their debt since their credit card has no ceiling. The banksters behind the Federal Reserve have no problem with monetizing the national debt, since the Treasury provides their stamp of guarantee. As the public sector continues their spending spree, few really know the extent and amount of their share of the obligation.
Terence P. Jeffrey writes in the CNS News article, Treasury Issues $1T in New Debt in 8 Weeks–To Pay Old Debt.
“The Daily Treasury Statement that was released Wednesday afternoon as Americans were preparing to celebrate Thanksgiving revealed that the U.S. Treasury has been forced to issue $1,040,965,000,000 in new debt since fiscal 2015 started just eight weeks ago in order to raise the money to pay off Treasury securities that were maturing and to cover new deficit spending by the government.”
Like food addicts at a cornucopia dinner, the indigestion that follows will pass, or so it is hoped. However, the pain and bloating intensifies and at some point, stapling the stomach becomes a necessary option.
U.S. Government Debt Is THE Biggest Ponzi Scheme In History sums up accordingly,
“The reason this is a true Ponzi is because at every Treasury auction, held twice a month, the Government issues enough debt to repay the existing debt that is maturing and issues even more debt in order to fund Government overspending . . . In contrast, if the Chinese and Japanese decide they’d rather not keep putting an increasing amount of money into financing our Governmental spending juggernaut, the Fed can just print money under the orders of the President to keep the gerbil going on the wheel.”
So when the Treasury raises the national debt level and authorizes additional borrowing, in essence they are going to the Fed for a new loan. Think about this process and ponder at length the absurdity of going to shysters at a privately owned central bank for credit, which requires payment of interest.
This construct is not known or is dismissed by most of the public. Yet, it is the single most important element that explains the utter futility of establishing economic prosperity in the age of universal financial servitude.
Regular readers of BATR articles are well schooled in the prurient nature of debt bondage that tortures and rapes every taxpayer and consumer on the planet. The phenomenon of facilitating the enslavement of mankind has been uninterrupted since the passage of the 1913 Federal Reserve Act.
Illustrating this fact, Mr. Jeffrey continues with quoting current Treasury Secretary Jacob Lew.
“In testimony before the Senate Finance Committee in October 2013, Lew explained why he wanted the Congress to agree to increase the federal debt limit–and why the Treasury has no choice but to constantly issue new debt.”
“Every week we roll over approximately $100 billion in U.S. bills,” Lew told the committee. “If U.S. bondholders decided that they wanted to be repaid rather than continuing to roll over their investments, we could unexpectedly dissipate our entire cash balance.”
It is incomprehensible to conceive a way out of this debt trap as long as the roll over practice continues. Moreover, the confession that Lew makes is actually an admission that the political will does not exist to scrap the interminable cycle of financial repression.