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View Diary: Obama admits he's already conceded more than warranted (360 comments)

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  •  I'm looking for answers equal to the seriousness (2+ / 0-)
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    TomP, divineorder

    of the problem.

    #1, a spine, is gutter name calling.
    #2  that's a theory few understand which should be explored and mapped from start to finish.  What happens after the coin is minted and delivered to the Fed?  In other words, where is the accounting?  Credits vs debits.  I know how the Fed works.  When it buys bonds there's a built in exit strategy.  If they aren't sold they automatically redeem upon maturity.  That's how the position flattens out to zero in a closing transaction that offsets the opening buy.  With a coin it's not clear to me how that would happen.  On top of that it doesn't guarantee how the market would react to the existing $16.4 trillion in debt knowing that the US had to resort to this extraordinary measure.  
    #3  14th Amendment language used references the validity of the debt.  That's one part of the crisis.  The other part is issuing new debt.  It's nice language but it doesn't spell out who does what to skirt around the crisis.

    Don't get me wrong.  My character and temperament is to throw myself into solutions.   I am annoyed as anyone and I posted a petition on the WH website  to protect Soc Sec, not that anyone cares about such uselessness.

    "Democracy is a life; and involves continual struggle." ---'Fighting Bob' LaFollette

    by leftreborn on Wed Dec 19, 2012 at 11:04:44 AM PST

    [ Parent ]

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