Posted on 04/11/2011 11:16:14 AM PDT by blam
Can you imagine an entire class of people who have never had to provide for themselves being told, sorry, theres no more money?
Why will that happen? The Fed is effectively monitizing the debt now, with QE2. The Fed has bought 65% of US Treasury issues this year. If they need to buy 100%, they will. Therefore, Uncle Sam will never run out of money to give to the "welfare/union/government worker classes" and to the retired military and social security recipients, who are among the largest recipients of FedGov money every month.
The dollar's purchasing power may be destroyed in the process, but that isn't going to lead to rioting, just blame-gaming as in "all Bush's fault" "the GOPs fault for not raising taxes on the rich" "Obama's fault" "Bernanke's fault".
And Bernanke can and will be loudly and publicaly fired for failing to control inflation at some point, but that won't end the inflation.
I can't imagine your scenario coming to pass when mine is the path we are on. Our politicians have proven completely unable to say "NO" to anyone. Hell they can't even say NO to illegals coming here and getting free stuff. They will continue to use the "print more dollars" magic button until the host is dead.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.