tailieunhanh - age of inflation continued exposes criminal monetary policies of us federal reserve phần 3

tận hưởng những đánh giá tín dụng cao nhất. Bây giờ họ sở hữu gần như một nửa các khoản nợ liên bang. Ngân hàng Nhật Bản là chủ nợ lớn nhất của chúng tôi, với một số $ 700 tỷ trong tuyên bố, sau đó do Ngân hàng Trung ương Trung Quốc, với $ 165 tỷ. | Age of Inflation Continued enjoy the highest credit rating. They now own almost one-half of the Federal debt. The Bank of Japan is our biggest creditor with some 700 billion in claims followed by the Central Bank of China with 165 billion. You need to be concerned because our rising international indebtedness endangers not only the position and value of the . dollar but also casts a dark shadow on world trade and commerce. Student The Congressional debt ceiling immediately raises a question. What can we expect when Treasury spending reaches the limit Professor Indeed Federal spending is likely to reach the Congressional ceiling by late September or early October 2005. This year s budget deficit may hit a record 445 billion which is 70 billion more than last year. If we add the amount borrowed from the Social Security Fund the budget deficit actually amounts to 639 billion or some 6 percent of gross national product. A tax increase of the magnitude required to balance spending with revenue would depress the economy immediately a sudden cut in spending which would launch a needed readjustment would make much political noise. I doubt that the Republicans in both Houses want to pass legislation that cuts spending it would affect their reelection hopes. They may rely on . Treasury Secretary Snow to find ways that avoid embarrassment. In the footsteps of former secretaries Rubin and O Neill he may have to redefine the debt subject to limit or find new ways to circumvent the Congressional limitation. Student According to some economists Federal deficits consume productive capital and lead to economic stagnation. What is your position Professor I agree. A deficit is a shortage of funds not covered by tax revenues. I can think of four sources that may cover the shortfall people s savings foreign lending Federal Reserve money creation and credit expansion by financial institutions. Regarding people s savings investors may buy 18 Deep in Debt Deep in Danger Treasury .