who will be buying usa debt?

[maui1]

with qe-2 ending and china not buying, who would be willing to buy american debt?.......you, me?

i really don't see a gov't option, other than some kind of covert qe-3, in order for the american gov't to continue funding the gov't, or supporting our "economic expansion" (?).

[Small Biz Owner]

Your choices. Precious metals, Stocks, bank deposits or government bonds. With government bonds remember that they can always raise taxes to cover the debt. I think this is coming in the future.

[decoy409]

Well maui1 the strings are being cut and those that have not been looking at the big mix as of anything important,looks like they soon will have no choice but to do so.
How far will the new print press take us? After all,it all stems from the same octopus.
(oh,and this is not promoting,but since few read I put it here as to that 'unraveling' and shades being drawn up.)

'June 21,2011 Stockman: Warns on U.S. “Bond Armageddon”; First Default Could Be to IMF'

The old austarity plan is shaking at the foundation.

[maui1]

With government bonds remember that they can always raise taxes to cover the debt. I think this is coming in the future.


the only way to raise taxes in america today, and not get riots larger than that of greece, is to do it thru inflation, where it is done over time and covertly.

[bimetalaupt]

Jun 22, 2011 9:51:35 GMT -5 @maui1 said:

with qe-2 ending and china not buying, who would be willing to buy american debt?.......you, me?

i really don't see a gov't option, other than some kind of covert qe-3, in order for the american gov't to continue funding the gov't, or supporting our "economic expansion" (?).

maui1,
How about the SS system.. A real improvement in the Trust fund with the removal of the upper cap on taxes and lowering of the pay out by making future retirement age older and lowering replacement income for the above average worker like they do in Israel.. We could see a Trust fund improve to about 14.5 Trillion usd in 31 years from the current 2.5 Trillion dollars. See SS Income and outgo chart.. WE are still adding to the fund every year...George W tried to make the fund larger by changes to the pay out and taxes.. Looks like it will be here soon..We have the best funded system in the world exp Israel.

Also this is a great subject.. Please keep up the Brilliant Posting you are know for.

Just a thought,
Bi metal Au Pt

Attachments:

[usaone]

Jun 22, 2011 11:07:48 GMT -5 bimetalaupt said:

Jun 22, 2011 9:51:35 GMT -5 @maui1 said:

with qe-2 ending and china not buying, who would be willing to buy american debt?.......you, me?

i really don't see a gov't option, other than some kind of covert qe-3, in order for the american gov't to continue funding the gov't, or supporting our "economic expansion" (?).

maui1,
How about the SS system.. A real improvement in the Trust fund with the removal of the upper cap on taxes and lowering of the pay out by making future retirement age older and lowering replacement income for the above average worker like they do in Israel.. We could see a Trust fund improve to about 14.5 Trillion usd in 31 years from the current 2.5 Trillion dollars. See SS Income and outgo chart.. WE are still adding to the fund every year...George W tried to make the fund larger by changes to the pay out and taxes.. Looks like it will be here soon..We have the best funded system in the world exp Israel.

Also this is a great subject.. Please keep up the Brilliant Posting you are know for.

Just a thought,
Bi metal Au Pt

The debt commision had a lot of good ideas. If we followed their plan we would be in pretty good shape.

[maui1]

yah- i don't see ss being a difficult fix, and that is what worries me about the more difficult issues, like our deficit.

i like the removal of the ss cap, if the percentage is fair across the board, then it is fair. i also think that if they increased the usage age 1 month per year (about the life expediency increase average), starting this year, everyone would be effected equally as well.

example......i am 58 now, so my 65 would be extended to 65 and 7 months, and someone that is 30 would be extended by 3 years (35 months), so their 65 would be 68 and 5 months.

[usaone]

Hardest thing will be Medicare.

[maui1]

ya......medicare is another animal.......and above my pay grade

[decoy409]

Ever thought about this so called debt and that it very well could have already been purchased through a coming default agreement?

Just a little food for thought.

[Aman A.K.A. Ahamburger]

Please keep up the Brilliant Posting you are know for.

Well you have taken to your Mod job.

Are we just going to leave this out as usual? Lets only tell half the story, it's better that way.

Foreign, China buys of US securities strong in April
www.google.com/hostednews/afp/article/ALeqM5h6IPiWZ2yVX6MbLyO7HNP66ZyV4g?docId=CNG.c06b7baf338858d0588bb3731051b716.231

Is China dumping U.S. assets for euros?
money.cnn.com/2011/06/21/markets/china_treasuries/?section=money_latest

"Often China will buy assets through brokers in London and Hong Kong and the Treasury International Capital data (TIC) is based on where the orders were booked so it doesn't fully capture all of China's purchases, said the report.
On top of that, Standard Chartered found that the gap between China's reserves and the amount of U.S. debt it was buying reached a record $150 billion this year, or 76% of China's reserves."

[bimetalaupt]

Jun 22, 2011 11:29:06 GMT -5 @maui1 said:

ya......medicare is another animal.......and above my pay grade

Maui1,
Yes and the problem is where the cost is in health care ... law suits.. high drug cost and teaching hospitals.. our health care cost per GDP is the highest in the world..Esp the "Paper chase" that nothing to do with health care.. cost to insure system is out of control..

Just a thought,
Bi metal Au Pt
again check for 76

[Aman A.K.A. Ahamburger]

Ah so there is a solution! How about that!

[silverdollar]

"Ah so there is a solution! How about that!"

Well, yes there is. There is a solution to most things but you have to think beyond that initial "happy thought" and think about how LIKELY that solution may be to actually take place. Is our country, or your country, producing politicians with the integrity, intestinal fortitude and ability to put egos aside and work together for the best for our countries? If you believe that then I suggest you watch the news once in a while.

[decoy409]

Silver Dollar , I mean Decoy , I mean......,

I know it's you Decoy , no I mean Decoy is Sillver Dollar.....,

Sound familiar Silver Dollar?

It should. It is called the blame game. Same thing going on in Washington.

[decoy409]

Uh oh, now you have a mauollarcoy......

I think I have it figured out!

verrip1 gave me a link to the following site just a bit ago in my Decoy409 Post. Well I thought besides the article that I read that verrip1 gave to read,I would look and see if they had anything as to a answer for maui1 on his thread here.

And guess what!

They did!

Here it is,

Impeachment Time: Obama Grants Eminent Domain Rights to China to ..

Nov 5, 2010 ... gWe will hold you to accounth for failing to stop the Islam ¨ ... So President Obama gave the Chinese eminent domain rights to American land and ... American homes to China as collateral for Beijing buying U.S. debt. ...

a12iggymom.wordpress.com/2010/11/05/impeachment-time-obama-grants-eminent-domain-rights-to-china-to-secure-debt/

[Aman A.K.A. Ahamburger]

Jun 22, 2011 18:01:03 GMT -5 @silverdollar said:

"Ah so there is a solution! How about that!"

Well, yes there is. There is a solution to most things but you have to think beyond that initial "happy thought" and think about how LIKELY that solution may be to actually take place. Is our country, or your country, producing politicians with the integrity, intestinal fortitude and ability to put egos aside and work together for the best for our countries? If you believe that then I suggest you watch the news once in a while.

You mean like the news tonight that the MAYOR of Atalanta has just overhauled the SS set up. The top priority is going to be educating the work force on MONEY MANAGEMENT. I have said only about 2 dozen times that a big piece to this is going to be EDUCATING people about how to manage their money. Add that in with all the other things that I , have been talking about over the last year that keep popping up in the news later on, and you got yourself some news right there friend.

[Aman A.K.A. Ahamburger]

i really don't see a gov't option, other than some kind of covert qe-3, in order for the american gov't to continue funding the gov't, or supporting our "economic expansion" (?).

So the next question is.

If no one else is going to buy US debt isn't better for the time being, if it's like ben says?

"Having a US institution buying the debt is better than others demanding higher interest rates for the debt"

Especially one that returns its profits to the UST.

[silverguy25]

Those measures are only temporary, though. A government cannot sustain itself for the long term monetizing public debt off of its central bank. The GDP and tax returns will have to catch up and fill the void, otherwise the mechanism you mentioned will eventually hit an inflection point where sustainability will become precarious to say the least.

[maui1]

If no one else is going to buy US debt isn't better for the time being, if it's like ben says?


here is an idea that i heard this morning on cnbc..........that sounds pretty good

like we have done in the past.......sell bonds, like war bonds to ourselves. instead of throwing stimulus money at 'friends and family', maybe increase the interest payment to our own american saving public, to say to 6%, and get american money funding american debt, so the savers of america get rewarded, the gov't gets their money, and the american economy stays fluid with funds.

by doing something like this, every part of OUR country benefits. better saving rates, fluid system, less foreign debt, more direct public interaction in our gov'ts spending behavior, and more money in the economy to stimulate growth, from both the public and gov't pocket books.

the best part would be........you would be rewarding good financial behavior, and that is a big change from the last few years of rewarding 'bad financial behavior', with bailouts.

[maui1]

all markets suck today. they suck because they are all based on fiat money that has been abused by all of the world gov'ts.

i don't know about anyone else, but the fear that is out there is real. it is not just greece, japan or any other 'one country'........it is all of them, including america.

all the countries of the world are juggling their finances, hoping one of them isn't the one to trigger a world fiat money collapse.

do i sound like a doom and gloomer? if i don't, then i have not been clear enough....as that is exactly how i want to sound!

[Aman A.K.A. Ahamburger]

Jun 23, 2011 7:44:41 GMT -5 silverguy25 said:

Those measures are only temporary, though. A government cannot sustain itself for the long term monetizing public debt off of its central bank. The GDP and tax returns will have to catch up and fill the void, otherwise the mechanism you mentioned will eventually hit an inflection point where sustainability will become precarious to say the least.

I agree they are temporary in the US.

[maui1]

today is the end of qe-2.........

the fed can keep the stimulus game going at 25% of what qe-2 was providing the bond market, but my question is still............who will be buying the other 75% of usa bonds at 3% for 10 years, if not for the the fed, who was the only game in town for the last 9 months?

[decoy409]

Why the trifecta,IMF and friends,coming to a stop near you! It will start with tax increases to cover the next round of trees being cut down and readied for the print press.

[maui1]

decoy- the imf and eu are borrowing our borrowed fiat money to help the euro zone.......how are they going to help us?

[decoy409]

maui1,why they infect and clamp down as they have throughout the world. They started in a tiny area (their magic show) and as it evolved infected the remainder of the world.
I asked a few weeks ago (with no reply) to somebody on the board here if they honored their Constitution of The United States of America. After all,they were going all out and stating how patriotic they were. They even had a thread honoring those that have fought for this country.

When 'some' people speak,they speak with lies backing up their story. Or half truths as I like to call them.

Not to far back the gang came to town and STOLE money from US TAXPAYERS to support another country.
Maybe the better question should be as to 'what' they are supporting and it is obvious it is not the overall common folk of the world.

Read on:

Should American Taxpayers Finance another Big Fat Greek Bailout?

biggovernment.com/dmitchell/2011/06/26/should-american-taxpayers-finance-another-big-fat-greek-bailout/

[decoy409]

maui1,did you catch that above?

[maui1]

i know we are 17% of the imf, and have given the eu the authority to directly use a 100 billion usa credit line, so i don't see how these groups can help the fed buy bonds, when all they are doing is hurting the usa, by stealing our borrowed fiat dollars.

[maui1]

Greeks apparently believe that they have Europe and the world over a barrel, that they can make the rest of the world pay their bills by threatening to default. Greece’s default would be painful for everyone, but for Europe and the United States, indeed for the world, the alternative would be even worse.


the greeks do hold the world hostage........i would advise them to call donald trump on how to best use their advantage.

[decoy409]

No good. We are putting the blame on a tiny swath of land that barely has a mark in Gdp. Problem is not the country or the common folk people. Problem is what has gone on behind the peoples backs. Now the little ones are to pay for it?
These people have been paying and taking for instance another 30% from their pay is not going to help matters any (for example).

This is happening throughout our world and the people are simply tired of being kicked around with unanswered deep concerns. Until the shenanigans are stopped,the civil unrest will only grow worse.

June 29,2011 Clashes reveal Egypt's volatility 5 months later

excerpt - "It was like January 25 again," she said. "The protesters have enough anger, either because change has not come or because the Supreme Council of the Armed Forces hasn't done enough" to meet their demands.

edmonton.ctv.ca/servlet/an/local/CTVNews/20110629/egypt-cairo-protests-police-110629/20110629/?hub=EdmontonHome

The various,'in-STALLMENT' agreements throughout the world have become just that,stalled. And the year in year out same old same old is simply not holding together well. There are plenty of words that have gone out over these years,however little if any action in the correct move for these people throughout the world.
In turn sooner or later things begin to give. So you will now be seeing corrective measures where ever they be needed made,or just a further decline or deterioration behind the scenes.