It is quite maddening to hear all the discussion about deficit reduction, grand bargains, plans to address joblessness with deficit reduction as a major component, and massive war spending, when none of these addresses the real problem. We have neither a tax problem nor a spending problem.
I wonder if the President or any of the Republicrat candidates could address the following: Money is currently created by private institutions as debt. This is called credit. We had a credit crunch during the 2008 financial meltdown showing the importance of new money needed constantly in circulation for operation of the economy. The basis for all money creation or "credit' stems from Government debt.
The Federal Reserve buys treasury bonds from the US Treasury. Banks buy these bonds from the FED. This is the basis (reserves plus deposits) on which they can lend money. This extremely important credit flow ultimately depends on the Government going into debt.
During the 1990's after Clinton balanced the budget, serious concerns were raised about paying off the debt. If there was no more need for government borrowing, credit would dry up. So how does the Federal Reserve System of money creation work? And, if you can, then explain why the government can't just print money instead of allowing the government to be in debt. Thomas Edison said, "the government can issue a bill (Money) just as easily as it can issue a bond." If our leaders DO understand money, then they are in collusion with the money masters to keep themselves elite and in power and in control.
Debt-free money should be circulated directly into the economy by way of its citizens based on value. Money should precede value (value is what we create -- food, housing, education etc.) and justifies debt-free creation of new money. Debt-free government spending for its military and government services are the answer to not only the jobs problem but national debt, war development of new energy, almost no taxes, trade issues, poverty, development of quality medical care, real free markets and a host of other major problems we face today.
A new money system is civilization's game-changer. A new money system is the beginning of real democracy and true freedom, as well as offering a means of working together to finally to solve our future's problems.