from The Daily Bell:
Why the world needs more U.S. government debt … Are government-imposed restrictions holding back the U.S. economy? In a way, yes: The federal government is causing great harm by failing to issue enough debt. The U.S. generates more income than any other country, and will keep doing so for many years to come. The federal government can generate a lot of revenue by taxing this income — a power that puts it in a unique position to issue the kind of extremely safe bonds that are in great demand among the world’s investors. How is the U.S. government wielding its power? Not well. -Bloomberg
Hard on the heels of the Federal Reserve’s latest decision to leave rates alone, we discover this Bloomberg opinion article explaining why the US government ought to issue more debt.
Of course, this echoes Alexander Hamilton’s statement that “a national debt, if it is not excessive, will be to us a national blessing.”
However, it certainly runs counter to free-market economics. The Austrian model is one that emphasizes the individual’s “human action” – his or her ability to live without the manifold supports of modern government.
This is one reason Austrian economics is not popular with the public bureaucracy, the Western monetary and industrial elite – and their representatives in academia.
Bloomberg is run by Michael Bloomberg who probably qualifies as a double elite threat: He is a businessman but given his eponymous news network, he is a kind of associate Federal Reserve member. Bloomberg, the network, produces a steady stream of pro-central bank propaganda.
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