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Debt ceiling “default” is a myth

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We’ve all heard the news over the past week; Members of congress and the worlds largest news organizations have been hammering the claim that “if the debt ceiling isn’t raised, the federal government will go into default and our credit rating will drop, resulting in through-the-roof taxes and economic armageddon throughout the world!”. Is this true or a myth? The answer is: it’s a myth. And its obvious right on it’s face.

Let’s look at what the “debt ceiling” really is. In the early 1900’s, if the federal government needed to borrow some money to get things done, congress would have to approve these borrowings through the voting process. If the legislators approved through vote, the treasury would then borrow dollars from the federal reserve and begin the process of giving that money to the executives for their needs.

Then, in 1917, World War 1 was declared. Suddenly, the executive branch needed a lot of money very quickly. They needed guns, ammunition, equipment, food and money to fund the entire process. So, instead of approving all these debts individually, congress passed a law that would bypass this process, and in its stead created the “debt ceiling”.

The debt ceiling is nothing more than a limit on how much the federal government can borrow. That means that the government can essentially borrow money for whatever it wants, when it wants, at a limit set by legislators. Basically the purpose is to be able to spend money not accumulated by taxes.

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According to the chart above, the debt limit was $50 billion in 1940. Since then, has been raised 74 times and in 2010 debt limit was $14.29 TRILLION. The debt ceiling has never been lowered, and in fact, the increases have gotten consistently steeper over time. Thus, it can be successfully observed that the growth of government has not staggered, nor has inflation been slowed throughout the entire history of government borrowing.

Back to the original point at hand. Why is the default a myth? It’s simple. If the debt limit is simply a credit card limit, how could we possibly “default” by legislatively lowering the limit? It’s a simple equation that simply does not equal default. Think of your credit card. If you tell yourself “I am not going to spend more than $500 on this card”, does the bank call you and threaten to close your account? The answer is no.

The reason why financial advisers are now “warning” congress to keep spending more is because THE BANKS PROFIT FROM OUR DEBT. Of course they want us to spend. The federal reserve is a monopolized banking structure which prints dollars from thin air and purchases real assets with the profits. The whole myth that our credit rating would go down if we borrow less is completely absurd. This is a classic tactic by a monopoly to scare its “customers” (congress) into purchasing more product. This is the nature of private monopolies.

Moreover, there are plenty of assets owned by the treasury to sell and pay off its “obligations” and entitlements. The treasury also has the power to balance and prioritize its spending. So once again, the notion of a “debt ceiling deadline” is just an arbitrary hustling tactic manufactured by our corporate debt masters in the Federal Reserve and other International monopoly banks.

For more information on this these myths, please refer to the following references.

CNN uses 6 year old to push debt ceiling agenda

 

Click picture to watch video

Video: Remember “Little Darth Vader” from the Volkswagen commercial? His name is Max Page, he’s 6 years old and he’s in Washington voicing his opinion on the debt limit.

Lets understand one thing before I start getting all emotional and irrational; this 6 year old child does not have the capacity to understand the complexity of the crisis posed by the American debt limit situation, let alone medicare or medicaid. He can barely form sentences. I’ll go out on a limb and say that he’s just repeating something his parents told him. This is just an assumption (and it’s the truth). That being said, the following opinions will be made bluntly, quickly and clearly.

This is one of the most disgusting displays of political posturing I’ve ever seen. Using a sick 6 year old to push your agenda. That’s just absolutely twisted. Who in their right mind would do this? Well, CNN and NBC. This video actually broke yesterday live on CNN newsroom.

Take a look at the congressman’s face as Max is speaking. He’s trying to look concerned, as if to say “Don’t worry little boy, we’ll make sure to raise the debt limit. (heh heh heh.)” I guess evil laughter doesn’t work so well in text form.

And of course, the parents are sitting next to Max, laughing and smiling, as if to say “oh how cute, look at our cute little kid”. It’s not cute, you silly little brainwashed, ignorant yuppie soccer mom. And neither is your 2012 Honda Odyssey (and… there’s the emotional and irrational part). The debt limit crisis is a serious, complex, explosive issue. If the American people allow their government to consistently over-spend, over-regulate and over-fund businesses and hospitals to the point of dependency, we will literally wake up in absolute tyranny, unable to create any type of reform. It’s not cute or funny.

Whether you choose to believe it or not, the federal debt is a rapidly growing threat to the American people and the economy. We are over 14 trillion dollars in debt, and your proposed solution is MORE DEBT? Let’s face it; the military budget, coupled with all the other funny money being funneled to the executives has no end in sight. I mean, we have to fund all those expensive, secret organizations right? Not to mention the ones we know about; the FDA, USDA, TSA, NSA, Homeland Security. We have to fund the endless civil wars we’ve created in multiple middle eastern countries. Oh, and the other 4 countries we’re at war with. As well as the state, federal and international drug wars, the international aid. You get the idea.

I really have nothing more to say other than this; These sick and twisted politicians are really pulling out all the tricks to get the debt ceiling raised. Yes, lets give more money to the corrupt politicians because if we don’t, little kids and babies will die.

We’re supposed to trust these people to do the right thing with our money, immediately after they show how eager they are to emotionally terrorize us using our own children as leverage? No thanks, Washington. The people of America need to grow up. Maybe a lowered credit rating will humble us a little bit. I’d rather deal with the consequences of missing the debt agreement deadline, than carry this beast further into the abyss of oppressive debt slavery.

16 signs you are living in tyranny

Took this from listverse. You can click on the source link to the original post.

1. Control of public information and opinion: It begins with withholding information, and leads to putting out false or misleading information. A government can develop ministries of propaganda under many guises. They typically call it “public information” or “marketing”.

2. Vote fraud used to prevent the election of reformers: It doesn’t matter which of the two major party candidates are elected if no real reformer can get nominated, and when news services start knowing the outcomes of elections before it is possible for them to know, then the votes are not being honestly counted.

3. Undue official influence on trials and juries: Nonrandom selection of jury panels, exclusion of those opposed to the law, exclusion of the jury from hearing argument on the law, exclusion of private prosecutors from access to the grand jury, and prevention of parties and their counsels from making effective arguments or challenging the government.

 4. Usurpation of undelegated powers: This is usually done with popular support for solving some problem, or to redistribute wealth to the advantage of the supporters of the dominant faction, but it soon leads to the deprivation of rights of minorities and individuals.

5. Seeking a government monopoly on the capability and use of armed force: The first signs are efforts to register or restrict the possession and use of firearms, initially under the guise of “protecting” the public, which, when it actually results in increased crime, provides a basis for further disarmament efforts affecting more people and more weapons.

6. Militarization of law enforcement: Declaring a “war on crime” that becomes a war on civil liberties. Preparation of military forces for internal policing duties.

7. Infiltration and subversion of citizen groups that could be forces for reform: Internal spying and surveillance is the beginning. A sign is false prosecutions of their leaders.

8. Suppression of investigators and whistleblowers: When people who try to uncover high level wrongdoing are threatened, that is a sign the system is not only riddled with corruption, but that the corruption has passed the threshold into active tyranny.

9. Use of the law for competition suppression: It begins with the dominant faction winning support by paying off their supporters and suppressing their supporters’ competitors, but leads to public officials themselves engaging in illegal activities and using the law to suppress independent competitors. A good example of this is narcotics trafficking.

10. Subversion of internal checks and balances: This involves the appointment to key positions of persons who can be controlled by their sponsors, and who are then induced to do illegal things. The worst way in which this occurs is in the appointment of judges that will go along with unconstitutional acts by the other branches.

11. Creation of a class of officials who are above the law: This is indicated by dismissal of charges for wrongdoing against persons who are “following orders”.

12. Increasing dependency of the people on government: The classic approach to domination of the people is to first take everything they have away from them, then make them compliant with the demands of the rulers to get anything back again.

13. Increasing public ignorance of their civic duties and reluctance to perform them: When the people avoid doing things like voting and serving in militias and juries, tyranny is not far behind.

14. Use of staged events to produce popular support: Acts of terrorism, blamed on political opponents, followed immediately with well-prepared proposals for increased powers and budgets for suppressive agencies. Sometimes called a Reichstag plot.

15. Conversion of rights into privileges: Requiring licenses and permits for doing things that the government does not have the delegated power to restrict, except by due process in which the burden of proof is on the petitioner.

16. Political correctness: Many if not most people are susceptible to being recruited to engage in repressive actions against disfavored views or behaviors, and led to pave the way for the dominance of tyrannical government.

http://listverse.com/2009/03/07/16-signs-that-you-live-in-a-tyranny/

If a Libertarian was on the Titanic…

Libertarian: Ok everyone, be calm. Our ship has hit an iceburg and we are sinking! We must get to the life boats!
General Public: Shut up, conspiracy theorist. The ship is not sinking. Also, we aren’t on a ship. We’re on a large floating object designed to carry desirables across the sea. Now, don’t disturb me while I’m sleeping.
Libertarian: No, really, the ship is sinking. Please, follow me to the lifeboats. You will drown if we don’t move quickly!
Republican: I agree! proceeds to shovel more water into the boat
Libertarian:
Democrat: We must give the captain all of our money!
Libertarian: The boat is now splitting in half. I’m running to the life boats now. Goodbye.
Democrat: WE MUST FILL THE HOLES WITH MONEY
Republican: Uhhh… yeah… fill the holes with money… Shovels the money into his own pocket
General public: Did somebody say money? I’d like some, please.
Captain: Money for everyone!

“If we don’t have the right to question a police officer, then we are living in a police state!”

 

“If we don’t have the right to question a police officer, then we are living in a police state!”

Absolutely. Our municipal, state and federal governments exist by the express consent of the governed. The people have the civil authority to question and record the actions of officers while on duty, regardless of what the police unions claim. They exist for the benefit of the people and to uphold the liberties and their state constitutions. It’s the law. Police who violate the law are subject to arrest and removal from their positions.

This video is evidence of a criminal action by the officers at hand. So why were the charges dropped? Because the prosecutor knew the police were in the wrong, so they’ll just drop the case to protect the police. This is how justice is served in America.

This country has become a nation of revolving doors, corruption, bribery and thuggery. Our constitutions specifically point out the illegality of these elements. It also gives the right of the civil authority to dismantle their governments and re-establish new governments as they see fit. When we no longer have that right, we are under absolute tyranny.

Read your state constitution on July 4th.

Link: Read your state constitution on July 4th.

We all know what the 4th of July is about. Lets spread knowledge and attempt to minimize ignorance.

Ron Paul and Barney Frank introduce legislation to end federal ban on marijuana

 

Rep. Barney Frank (D-Mass.) and Rep. Ron Paul (R-Texas) introduced legislation today to end the federal ban on marijuana and let the states decide whether to legalize it.

 

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