My Solution

[sarettah]

Originally Posted by Toby

Perhaps I'm confused, but it seems to me that you're referring to the National Debt as the sum of all debt owed by US citizens. I thought that National Debt was the total outstanding loans the US Gov't owes to other nations and non-US banks.

How can the US pay off all that consumer debt without taking out even more loans from other nations?

I'm not following the logic.

The entire idea is based on a theory that I have held since I was about 12 years old.

"The Economy is an Illusion"

If they can create 700 billion out of thin air (as they did a couple of weeks ago) then they can create 11 trillion out of thin air.

We consistently, throughout our history, have forgiven foreign debt. With a wave of the wand we forgive billions to other countries. Doesn't even cause a blip on the Wall Street radar.

So, if we can do it for others we can do it for ourselves.

I am investigating, because it was brought up elsewhere, the relationship between the National debt and consumer debt. I assumed that Consumer debt was a piece of the National debt. If not then if we wanted to wipe it all out then it would take 22 trillion (11 trillion of the National debt + 11 trllion of the consumer debt) or we could just take on the consumer debt and then that would be 11 trillion but we would still owe the foreign countries the same amount we do now.