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DSK
 
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Default John Kerry & the Bitch

Thanks for the links.

Here is a brief comment-

Michael wrote:
What I did notice was the rate of debt increase slowed in the 90's. I would
attribute this to the increased sale of US Gov't financial instruments use
to finance the annual shortfalls


Sigh... another basic fact of economics wrong. When the Federal Reserve
sells financial instruments, (T-bills and T-bonds), the US debt does not
change. Those instruments have already been issued, the debt has already
been incurred. What changes is the money supply, often referred to as
M1, M2, or M3.

http://www.econlib.org/library/Enc/MoneySupply.html

Don't thank me, it's what I'm here for!

If you want to see some interesting economic facts that are not in any
public discussion I'm aware of, see

http://www.ny.frb.org/aboutthefed/fedpoint/fed49.html




Be interesting to see what happens when those come due.


US debt has been coming due now for the past 200+ years. So far only
very little doubt about Uncle Sam honoring his debt obligations... but
it is certainly possible that we will see double digit inflation again.
That will be quite a shock to Gen-X and the younger crowd!

Regards
Doug King

 
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