In response to:

America’s Dreadful Debt Legacy

RHSimard Wrote: Feb 15, 2013 5:55 AM
"Elected officials, who want to buy what they can’t afford, and the public, who don’t want their taxes raised, are complicit in passing on huge debt to generations that aren’t even born yet. " Which brings us to a point that Dan Mitchell makes here regularly: debt and deficits are not the real problem; they are symptoms of it. The real problem is spending. Whether by taxation, borrowing or monetizing, spending has to be covered somehow, and this article points out the damage done by one of those ways. The others have their drawbacks too.
TJS Wrote: Feb 15, 2013 10:43 AM
It's not so simple, since borrowing is how money is created in this fiat, fractional reserve debt money system and there is NO alternative.

Americans live in a consumer culture. We like to buy things. When we can’t afford to purchase something we really want, we turn to credit cards and loans, even though we end up paying more due to interest payments. Over half the population paid interest on credit cards in the past year. “Buy now – pay later”. This mindset has resulted in the plague of personal debt many families are struggling with. Unfortunately the “buy now – pay later” mentality is not limited to the individual consumer, Americans are also inclined to incur debt to fund government projects we can’t...