In response to:

Insane: Liberals Contemplate $1 Trillion Platinum Coin to "Solve" Debt Limit Issue

D G Wrote: Dec 08, 2012 12:22 PM
Uncle Sam can not keep borrowing money indefinitely because he will run out of lenders as the debt climbs. Government bonds will be downgraded by rating agencies, and the cost of borrowing will become very excessive. The only viable solution is to halt the growth of spending by the government.
waynesteapartyworld Wrote: Dec 08, 2012 6:56 PM
Not exactly D G, the gov't has the option of inflating the currency by adding extra zeroes to the ledger on a Fed Reserve computer screen. No need for Congress, no need for Bond buyers, no need for anything except someone with one good eye and a finger. The only risk of previous is that bond holders and stockholders panic and start dumping dollars in favor of commodities, creating massive inflation and collapsing our economy. What's not to like?

Welcome to Zimbabwe.  This is not a parody -- it is an actual report from the Washington Post:

Some economists and legal scholars have suggested that the “platinum coin option” is one way to defuse a crisis if Congress can’t or won’t lift the debt ceiling soon. At least in theory. The U.S. government is, after all, facing a real problem. The Treasury Department will hit its $16.4 trillion borrowing limit by next February at the latest. Unless Congress reaches an agreement to raise that borrowing limit, the government will no longer be able...

Related Tags: Debt Limit Inflation