Skip to comments.Can a $1 Trillion Coin End Debt Ceiling Crisis?
Posted on 01/04/2013 6:27:47 PM PST by Red in Blue PA
What if the threat of a voluntary default by the United States could be erased by simply turning one tiny scrap of platinum into a coin?
That's right. No debt ceiling problem. No bickering in Congress. No market jitters. The only thing needed is for the Treasury Department to mint a platinum coin with a face value of $1 trillion.
If Congress does not act to raise the debt ceiling, the U.S. will default on its debts. Not good. But this is where the platinum coin comes in. Normally, the Federal Reserve is charged with issuing currency. But U.S. law, specifically 31 USC § 5112, also grants Treasury permission to "mint and issue platinum bullion coins and proof platinum coins."
This section of law was meant to allow for the printing of commemorative coins and the like. But the Treasury Secretary has the authority to mint these coins in any denomination he or she sees fit.
With a $1 trillion coin in hand, Treasury could deposit the money into Fed accounts, and pay its debts in that manner, instead of relying on bond issuance.
And none of this requires Congressional consent. Talk about an elegant solution.
The White House unsurprisingly hasn't commented on the idea. But Rep. Jerrold Nadler is on board. "I'm being absolutely serious," he told Capital NY. "It sounds silly but it's absolutely legal."
(Excerpt) Read more at finance.yahoo.com ...
I honestly don’t know what to make of this story. Satire? Stupidly? WTH?
The only thing that will fix the federal finances is for Congress to live within its means. Everything else is just putting off the inevitable crash.
Pull your money out of one pocket to pay the other, Yep that will work...
The Magic Negro couldn’t do it, so maybe a Magic Denarius can.
This is the end, beautiful friend
This is the end, my only friend, the end
Of our elaborate plans, the end
Of everything that stands, the end
No safety or surprise, the end
Perhaps they could give a few of these coins to the Chinese as payment of the debt. I’m sure that would work just fine. Not.
Why not just make 10,000 of those things and make everyone a millionaire!
DC.....the place where logic goes to die.
Print 1000 of them, pay off every debt and give every family in America 20 million dollars each.
End of problems.
——If Congress does not act to raise the debt ceiling, the U.S. will default on its debts-——
Fundamentally not true.... The government has a constant stream of revenue from taxes....
We just spend more than we take in...pay the debt first....then fund whatever programs are the most important...
Yea....I know it takes adults to actually make these tough decisions....
Someone commented yesterday,,, freakin’ 3 year olds are now running our economy.
It’s called treason!!!
Execute everyone at the Fed id they try it!
If such a maneuver was possible and legal, I imagine the end result would be massive inflation. It would be devastating for the older people who are on fixed incomes.
Just like making the minimum wage $1,000,000 per year will end poverty.
Liberalism is a (dangerous) mental disorder.
That is the key to the theft that is taking place, It would then cost 1/2 trillion for a loaf of bread overnight. But all that fake money that was out there before that night and all those things purchased with it then becomes the booty of those banks and insiders while avg Joe is left standing there saying what just happen. Of course avg Joe ain’t going to stand there long, hes going to want BLOOD. This will not end well.
At the very least they should put Robert Mugabe’s face on it.
I’m thinking Marx’s face for the coin.