by Tom Dennen
“Tell them that you're going to rob them, then rob them; then tell them how you robbed them - and then rob them again!
The interest paid on the US debt in 2010 was $413bn (about half the amount of the overnight TARP robbery, one which they delight in telling us about how they robbed us, over and over again, having gotten away with it!.) Four hundred billion is more than the government spent on all social services in the same year from Health and Human Services to Veteran's Affairs, Department of Energy and of Transport, Housing and Urban Development, Justice and Homeland Security, Agriculture and Commerce, Treasury and Labor plus Small Business Development. Combined. Which is what taxes are supposed to pay for. They don't. Taxes go to pay off “The Debt”.
“The Debt” is the interest we have to pay on Treasuries that we sell to anyone (but mostly China and Japan) to raise money to pay earlier debts (mostly to The FED for the original purchase of Treasuries by the US government, which then sells them, mostly to China and Japan, at interest and so forth, in circles with interest growing by the compounded second). Borrowing to pay interest on interest is not a finite zero sum game (ZSG). An ZSG is a situation in which one participant's gains result only from another participant's equivalent losses. The net change in total wealth among participants is zero; the wealth is just shifted from one to another.
The worst-case scenario in the current usury game is a run on US Treasuries that may be triggered by the Japanese catastrophes – where will they get the money for reconstruction? Sell their Treasuries! But If everyone suddenly wants to sell their US holdings because of a Japanese run, there is just not enough in the US Treasury to cover them, and the bank – the United States government – folds.
That's only if there's a sudden run, but in the long term the run is inevitable: Since 1988, eight trillion dollars has been paid off on debt interest and by 2021 we'll be paying $US1.1 trillion a year. Eventually, of course, every dollar taken in by the US government will be used up paying off interest on debt with all the money you pay in taxes and nothing left for anything else! End of game.”