"The U.S. #government is insolvent.

[the5thcolumnist@mstdn.ca]

@ZhiZhu

But what does this mean. I seem to remember reading an article stating this is normal for governments because of what is not included under assets.

[ghostonthehalfshell@masto.ai]

@ZhiZhu

Meep meeep false narrative, warning, meep meep

Calling all #mmt responders to immediately put out the deficit pants on fire.

[ghostonthehalfshell@masto.ai]

@alex_p_roe @ZhiZhu @politics

#mmt
You. Can’t. Bankrupt. A. Currency. Sovereign.
#mmt

But it can default by choice.

[steve_zeke@freeradical.zone]

@GhostOnTheHalfShell @ZhiZhu

Of course I agree with ghost. I’ll recycle this from couple days ago

Steven Zekowski (@steve_zeke@freeradical.zone)

@danwentzel@urbanists.social Sorry. As much as I hate Trump & like your ETTD acronym, debt fear mongering like this is bull💩. USA can’t become insolvent in its own money. Fed gov creates $$ when it spends them into existence. We don’t need to borrow/tax to acquire dollars. See #MMT, eg Stephanie Kelton’s “The Deficit Myth” or https://findingmoneyfilm.com/ Nonsense like this prevents us from housing, feeding, educating, & providing healthcare with pointless “how are we gonna pay for it?” question.

Free Radical (freeradical.zone)

[steve_zeke@freeradical.zone]

@GhostOnTheHalfShell @ZhiZhu

Or this one from a few days earlier

Steven Zekowski (@steve_zeke@freeradical.zone)

@xankarn@mastodon.online Deficits don’t matter the way you may think. The US federal budget is not like a household budget. See #MMT: Stephanie Kelton’s “The Deficit Myth” or https://findingmoneyfilm.com/ > With one brief exception, the federal government has been in debt every year since 1776. In January 1835, for the 1st & only time in US history, the public debt was retired, and a budget surplus was maintained for 2 yrs…In 1837 the economy collapsed into a deep depression https://www.nakedcapitalism.com/2010/02/wray-the-federal-budget-is-not-like-a-household-budget-%E2%80%93-here%E2%80%99s-why.html

Free Radical (freeradical.zone)

[ghostonthehalfshell@masto.ai]

@steve_zeke @ZhiZhu

It is ironic that Bill Clinton and his budget surpluses arguably set up for recessions

[steve_zeke@freeradical.zone]

@GhostOnTheHalfShell @ZhiZhu

I wouldn’t say “ironic” but rather that public surplus is private deficit… sector balances!

Here’s a classic. 13 years ago:

Dr. Kelton’s Graduate Macro Students’ Video Project

Visit the post for more.

New Economic Perspectives (neweconomicperspectives.org)

Or straight to video if you prefer

https://m.youtube.com/watch?v=pCrn4lfwQLc

[pomegranate_stew@kind.social]

@glc @ajn142

Yes, surely getting rid of social security will solve the nation’s financial woes.

Every damn time with these guys.

E:’

[freequaybuoy@mastodon.social]

@ZhiZhu He moved on it like one of his businesses

[dukeduke@mastodon.social]

@ZhiZhu Bankrupting the US is a feature, not a bug. And Trump is just the circus freak put out front to distract us.

[racingdaily@mastodon.social]

@ZhiZhu As i've neen saying for a long time, only to be told the US cant go bankrupt. BS. Of course it can go bankrupt, if it cant honor its debts, then its bankrupt. Simples.
Trouble is, if the US falls, we all fall. Everyone. Bar maybe China, who has the manufacturing base to ride out the tsunami

[racingdaily@mastodon.social]

@ZhiZhu There aren't enough assets on the whole planet to pay off the US debt, and its STILL rising daily

[bluewave_kiwi@mastodon.nz]

@ZhiZhu
When you can issue the currency, you can't become insolvent.

You can have problems, but that one is misinformation.

[deepmud@mas.to]

@ZhiZhu thanks a lot, Biff

[runrichrun@mastodon.social]

@ZhiZhu
Don't worry. The current regime is going to make everything better, and they're not relying on smoke and mirrors — they're more of the thoughts and prayers type.
https://mastodon.social/@RunRichRun/116286205189497060

[prozacchiwawa@functional.cafe]

@ZhiZhu do enough hyperinflation and we'll be able to pay off that 42 trillion with a single facebook marketplace sofa.

[rndanger@infosec.exchange]

@ZhiZhu
Good stuff but i disagree with the conclusion. I don't think they will legislate their way out of this if Trump keeps announcing fiscal policy with executive memos -- they have to impeach him