Has the U.S. borrowed from Peter to pay Paul?

Question

Did we borrow all that money from China to pay for the war in Iraq?

How can we ever begin to repay that debt without raising taxes? How can we bail out the banks without raising taxes?

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Answer 1

No.

And the only other way to pay off the nat'l debt without raising taxes (which will happen...so get ready for it), would be to cut numerous amounts of gov't programs.  Not sure which ones at the moment, but there will be a lot gone.  And "we" aren't going to bail the banks out...they are a privately owned business, they bail themselves out.  Interest rates will have to be raised back up by the Federal Reserve, then banks will start making money again.

Answer 2

Was it borrowed from China? That's fascinating. I suppose sources are limited for that level of borrowing.

Controlling the Iraqi oil supply has slowed China's growth. Before the invasion, it was estimated that China would overtake the U.S. in industrial capacity in 5 years. Post Shock and Awe, that estimate grew to 15 years.

I heard yesterday that *half* of the U.S. mortgage sector was now in the hands of the government. The economy is so bad that my mother's stopped nagging me to move back. These are scary times and there are no good solutions -- a country can't declare bankruptcy.

Answer 3

That's why everything is imported, dear!

and why everyone is getting sick / dying!

Answer 4

We were in much deeper debt after WW2. Look at the percentage of debt to GDP and not just debt alone. Thats like looking at your bills and not taking into account how much you make.

Answer 5

Yes.  And, we're spending a fortune servicing the debt.

Answer 6

Yes we did. So other then taking Bush's, Cheney's, Rice's, Haliburtons, etc. . . bank accounts (they made enough on this Quagmire of Lies)

Legalize Marijuana and Prostitution, tax the h**l out of them. Oh ya, End this stupid fornicating war and bring our people home! Eliminate income tax and install a Federal Sales tax so everybody pays including big corporations

Answer 7

Say instead of taking money from the Federal Reserve, we borrowed from China.  Is that really all that different from taking money from our Reserve?  

The Federal Reserve is something of a hybrid of a government agency and a private bank.  It is the brain child of some very ingenius bankers from 1910...the creators of the Aldrich bill, and especially Paul Warburg.  Basically, "to maintain a system of checks and balances", the Federal Reserve was originally owned by private banks across the country.  

At the moment, the FED is owned by the Zurich bank in Switzerland, Barclay's in London, JP Morgan, Deutsche Bank AG, among others around the world.  Had we borrowed money from the FED, we would have more or less financed these private banks.

So how do we pay back these loans from the FED?  Well first, our federal income tax goes towards most of it.  The rest, we take out loans to pay it off and continue in the cycle.  The idea is that if we get enough money in our country, we can have an economic boom, but when the loans are recalled, we have massive problems.  

What we need to do is get off the fiat money system.  It is ruining our economy and has been controlling our politics.  Most countries have fiat money systems and are more controlling and corrupt.  If we went off of the fiat system and had a backed currency, our economy would skyrocket compared to others.  Which is why other countries don't want to see that and one of the most important foreign affairs today.

Answer 8

Let inflation go wild, so that when we pay back a $trillion it's only worth a $billion.

Or, become a 3rd world country and ask for debt forgiveness.

Or, bomb them and refuse to pay.

Great options ol' Bulsh got us into, huh?  No Repub. would want the rich to have to pay more for the defense of the country.

Answer 9

Easy, cut spending first to foreign nations than to some of the areas that Congress doesn't have the Constitutional power to do like be in education.

Answer 10

Cut spending