Paul I don’t agree or disagree with you. See my reply below you. From that I believe you can create your own model… I believe quicker is better in terms of the debt but believe it can be offset in 15 years with the appropriate controls and mostly retired in 25. Depends in part on how you play it. Best Wishes.
I need some clarification. A couple of questions.
Here is an a basic example: In 1913, a gallon of milk cost about 36 cents. In 2013, it cost $3.53. It’s not because it’s any more difficult to produce a gallon of milk today than it was 100 years ago. It’s because the money supply is much larger now, so people demand more dollars for the same products to keep up with the general rise in prices. (Cost of technology is also part of it.)
Your thought is that there is no collateral, right?
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So to do this, the Government now own some of the production it bought with the 37 trillion, and is competing with the private production, right? You have now increased supply. And since the government with unlimited printing power can always undercut the private sector and lower prices, how do you prevent this and keep the private sector viable?
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And since there is now an extra 37 trillion in circulation, what happens to the price of the products or services the government does not get involved in? Same supply but more money chasing it. Inflation.
Are you recommending a Command Economy?
Nah, I dont think the command economy is the solution. My plan is simply a shot in the dark for ideas worth considering. Someone has to give their ideas. We shouldnt just say nothing and let the economy get worst. I would hope we should all come up with ideas and solutions to find ways to reduce or reverse inflation. Maybe someone could come up with an origional idea thats worth trying. Personally I think a deflationary currency to offbalance the US dollar is a considerable idea if we can figure out a system that’s functional and appliable.
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Thanks, all ideas are welcome,
While it may not be any more difficult to produce a gallon of milk in 2025 than it was in 1913, since the way cows produce milk hasn’t changed. What has changed in the past 112 years is how that milk gets from the cow’s udder to our grocery shelves. In 1913 the typical farmer would milk his cow by hand, then he would sell it locally to either his neighbors or supply a local market. Today the process of getting the milk from udder to the grocery shelf has changed dramatically. The government’s involvement in its production has a large impact on the cost increase from $0.36 to $3.53. Inflationary pressures are only part of the equation.
OK - You are right - (Cost of Technology and Big G government involvement are part of it.)