US debt is too big for financial repression - Charles Goyette and Alasdair MacleodSubmitted by ronpaul_d_1 on Fri, 07/06/2012 - 23:12
Ron Paul is center in awakening the young people how the FED and central planning is hurting the future of all the youth in the US and exporting inflation all over the world. Our massive debt and paper money system is the problem. As Ron Paul said "you cannot solve the debt problem by creating more debt".
They point out that money printing is hurting savings, which form the foundation of sustainable growth. Instead the Fed has encouraged credit-based consumption which has led to the accumulation of massive debts. The question now is in what way these debts will be defaulted on, as there is no way of paying them off. Goyette advocates confronting reality sooner rather than later. In any case the value of the dollar will suffer as a consequence.
Both men agree that financial repression is simply not sufficient to get rid of the $120 trillion of US debt. Goyette says that Americans should look to the crisis in Europe as demonstrating that the problem is always bigger than the conventional wisdom acknowledges, and that the solutions favoured by governments are insufficient.