GoIrish41
Paterfamilius
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So where does that $2T come from?
I understand exactly what you are saying, but there is no way to do this without causing issues.
1 - Borrow $2T more? The current debt is at $18T. That would be a LARGE increase.
2 - Print it. For comparison, QE2 (which includes reinvested proceeds from QE1) was at about $900B.
3 - Tax your way out. But, any faith that surpluses would be treated differently than before?
There is no good answer.
Sure it will definitely cause issues. The Gulf War caused issues, too, but we came up with the $2 trillion to pay for that -- and that has caused us nothing but grief ever since and for the foreseeable future (and probably $billions more). That kinda money does not just fall out of the sky, so I understand that it would cause pain in the short and medium term, but it would provide security for the elderly (which we all become) in the long term. And with any luck we will have learned the lessons of our fiscal history and never do this again. Of your list, I'd choose #3 because I don't see any other feasible option. It sucks because of all of the solutions eventually punish the same people who got robbed in the first place. Both sides of the isle have plans to trim this, cut that, shrink this, stop paying for that, to get to their favored political goals. What if the political goal was to actually fix the problem? What if there was the political will to provide people security as they get old, just like we used to, instead of continuing to ensure that most of us are impoverished when we can no longer contribute as productive employees? I get that it would create other problems, but this is something that needs fixed now before there is catostophic consequences. None of us are getting any younger.
On a side note: I wish I had the time to research what exactly the money was spent for that was looted from the trust fund. I'd be willing to bet that there are some spectacularly wasteful things on that list.
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