brady's power-point on public debt

Main thesis: • Most of what the government does that is immoral would be impossible without fiat

currency.Sub-thesis:• It is impossible to sustain the IMC (industrial military complex) at the size and power it is

now without fiat currency. • Growth of the IMC is much more difficult without fiat currency.

Hello this is the overview page for this presentation.

In this presentation I want to showcase the evidence that I’ve come across that supports the main thesis and which has influenced the modified sub-thesis.

Parts: OverviewA - Without public debt what happens? B - Who’s holding all the public debt?C - Why government growth would be much more difficult without debt.

Overview

A. Without public debt, what happens?

• What happens is that all current aspects of the government must shrink by an average of 1/3. Take 2011 for example:

• This is the distribution of all the actual money spent in 2011 by the US government.

http://www.usgovernmentspending.com/federal_budget_actual



• Here is the total: 3.6 trillion dollars with the most being spent on defence at nearly 900 billion dollars.

3.6 trillion




• The amount of this 3.6 trillion total which was paid for through debt was over a third at 1.3 trillion.

1.3 trillion




So without that 1.3 trillion dollars of debt, what happens?

• Well at least a third of the government must be cut. You can guestimate where you think it would be cut, but I think it’s fair to guess, given the lack of information on the subject, that it would be cut pretty evenly across the board.

• Rough estimation: If the Military Industrial complex were cut by a third, it could be said to save maybe 1/3 of the lives it takes each year.

B. Who’s holding all the public debt that makes this happen?


As you can see each year, the government accumulates more and more debt that’s summed up in 2011 at just under 15 trillion. Currently, as of September 15th, it’s just over16trillion (http://www.brillig.com/debt_clock/) (http://www.usdebtclock.org/).

http://www.brillig.com/debt_clock/

http://www.usdebtclock.org/


This is useful to look at because by using this total, we can get an idea of where the accumulated 16 trillion dollars of debt has come from.


Biggest Holders of US Government DebtBy Paul Toscano | CNBC – Fri, Feb 3, 2012 8:48 AM ESThttp://finance.yahoo.com/news/biggest-holders-of-us-gov-t-debt.html

1. Federal Reserve and Intergovernmental HoldingsU.S. debt holdings: $6.328 trillion

2. ChinaU.S. debt holdings: $1.132 trillion

3. Other Investors/Savings BondsU.S. debt holdings $1.107 trillion

4. JapanU.S. debt holdings: $1.038 trillion

5. Pension FundsU.S. debt holdings: $842.2 billion

http://finance.yahoo.com/news/biggest-holders-of-us-gov-t-debt.html


Biggest Holders of US Government DebtBy Paul Toscano | CNBC – Fri, Feb 3, 2012 8:48 AM EST






How many wars can this fund?Iraq @ 0.807(T): 7.8 wars

Afghanistan @ 0.566(T): 11.2 wars


Biggest Holders of US Government DebtBy Paul Toscano | CNBC – Fri, Feb 3, 2012 8:48 AM EST






How many wars can this fund?Iraq @ 0.807(T): 7.8 wars

Afghanistan @ 0.566(T): 11.2 wars

Central Banks: 8.498 trillion(more than ½)

Part C – Why government growth would be much more difficult without debt.

• The main reason for this is that people don’t have much to any incentive to stop the growth of the government when the increase in spending is done through debt. People’s price of living goes up because the central banks are debasing the currency to buy most of the debt and their children are being born into an impossible amount of debt. But this does not make the majority of the population riot. However in 2011, if the spending was paid for directly through taxation , their taxes would have to be raised by 56.5% of what they are now to accommodate the increase from 2.3 trillion in tax revenue the 3.6 trillion spent. I can see the riots happening now.

• The government knows this because we can observe that, in the last 6 years, almost no new tax based spending has been done even though total fiscal spending has risen nearly 1 trillion per year.

Part C – Why government growth would be much more difficult without debt.

• The main reason for this is that people don’t have much to any incentive to stop the growth of the government when the increase in spending is done through debt. People’s price of living goes up because the central banks are debasing the currency to buy most of the debt and their children are being born into an impossible amount of debt. But this does not make the majority of the population riot. However in 2011, if the spending was paid for directly through taxation , their taxes would have to be raised by 56.5% of what they are now to accommodate the increase from 2.3 trillion in tax revenue the 3.6 trillion spent. I can see the riots happening now.

• The government knows this because we can observe that, in the last 6 years, almost no new tax based spending has been done even though total fiscal spending has risen nearly 1 trillion per year. Here’s why:


If we can look at this we can see that from 2006 to 2011, total spending has increased by almost 1 trillion. Lets take away what we don’t need to see.



Now you can see that just as the rate of spending has increased by just under a trillion,so exactly has the rate of deficit! So what this means is that in the past 6 years, all theIncrease in spending has been accounted for by increasing the rate of deficit.

It’s like going into a store with the same amount of cash as before but now spending 30%more by making up the difference with your visa.

Deficit financing, through debt bought largely from the printing of fiat currency by criminalInstitutions such as the federal reserve, has made it possible for government to growand sustain itself at the size that it is now as well as make it possible to continual growth inthe future.



What does an increase in a trillion dollars look like?(not very important but I found it cool)


We'll start with a $100 dollar bill. Currently the largest U.S. denomination in general circulation. Most everyone has seen them, slightly fewer have owned them. Guaranteed to make friends wherever they go.

http://www.pagetutor.com/trillion/index.html


A packet of one hundred $100 bills is less than 1/2" thick and contains $10,000. Fits in your pocket easily and is more than enough for week or two of shamefully decadent fun.




Believe it or not, this next little pile is $1 million dollars (100 packets of $10,000). You could stuff that into a grocery bag and walk around with it.



While a measly $1 million looked a little unimpressive, $100 million is a little more respectable. It fits neatly on a standard pallet...



And $1 BILLION dollars... now we're really getting somewhere...



Next we'll look at ONE TRILLION dollars. This is that number we've been hearing so much about. What is a trillion dollars? Well, it's a million million. It's a thousand billion. It's a one followed by 12 zeros.You ready for this?It's pretty surprising.



Next we'll look at ONE TRILLION dollars. This is that number we've been hearing so much about. What is a trillion dollars? Well, it's a million million. It's a thousand billion. It's a one followed by 12 zeros.You ready for this?It's pretty surprising. That’s on top of the original 2.6 trillion back in 2006.



Next we'll look at ONE TRILLION dollars. This is that number we've been hearing so much about. What is a trillion dollars? Well, it's a million million. It's a thousand billion. It's a one followed by 12 zeros.You ready for this?It's pretty surprising. That’s on top of the original 2.6 trillion back in 2006.

How much better are you enjoying your government services now 6 years later in 2012 when THIS^ has been added?...uh not much?...really?


brady's power-point on public debt

Economy & Finance

debt holdings

dollars of debt

public debt thatmakes

intergovernmental holdings

government growth

b whos

main thesis

fiat currency