What Trump and Republicans are about to do to the debt isn't even being discussed

FAH1223

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wanna cancel the debt?? Cancel the fed....the Debt is bullshyt.

The Fed's balance sheet before the 2008 crisis was $800 billion. Fed Interest Rate was over 5% in August 2007.

Now? Interest rates have been near 0 since 2008. The Fed's balance sheet has gone up past $4 trillion.

In the next crisis, the Fed won't be able to bail out the system again and Central Banks around the world are similarly stretched thin.

There are academics who say... well just print another $4 trillion to $8 trillion and raise the balance sheet again. But after a certain point, confidence in the dollar will go away. No doubt the Fed would lose its independence.

The only international institution that can bail out the Central Banks in the next crisis is the IMF with its basket of world currencies - Dollar, Euro, Japanese Yen, Chinese Renminbi and Pound Sterling.

IF the IMF has to bail out the Fed and other Central Banks... it'll be the end of dollar hegemony.
 

Saiyajin

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Drop science. Why is it important to keep the fed?
it regulates the major banks and prevents them from doing stupid shyt for profit or citizens losing all their money overnight because their bank defaulted

obviously not a perfect or even great system but thats mainly because of the retarded philosophy of privatization that plagues everything else

but much better than nothing
 

Maschine_Man

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The Fed's balance sheet before the 2008 crisis was $800 billion. Fed Interest Rate was over 5% in August 2007.

Now? Interest rates have been near 0 since 2008. The Fed's balance sheet has gone up past $4 trillion.

In the next crisis, the Fed won't be able to bail out the system again and Central Banks around the world are similarly stretched thin.

There are academics who say... well just print another $4 trillion to $8 trillion and raise the balance sheet again. But after a certain point, confidence in the dollar will go away. No doubt the Fed would lose its independence.

The only international institution that can bail out the Central Banks in the next crisis is the IMF with its basket of world currencies - Dollar, Euro, Japanese Yen, Chinese Renminbi and Pound Sterling.

IF the IMF has to bail out the Fed and other Central Banks... it'll be the end of dollar hegemony.
Imf and the fed owned by the same ppl
 
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