The potential of a trillion dollar coin saving the US from bankruptcy...

[Bring_Back_Shantz]

Originally Posted by Swarly

so... print 17 of these and poof, no more US debt? spread out over 10 years of course, all at once would just be a crazy plan

/crazy plan to begin with

I'm going to go out on a limb and say you didn't bother to read the article.

[TSXCman]

myvote is for dr evil's face and finger

[Northendzone]

i somewhat got the point of the original article i was just being obtuse.

although the thought of a dozen or so of these coins in the supply cabinet is amusing. I could picture someone going in there, looking for some small post-it notes and having to move around all of these pesky coins.

anyways, why do they just not raise the limit to some ridiclous so the issue does nto have to be revisited for several years.......

[The Yen Man]

So in reality, this coin isn't really worth anything. It's just for legal purposes so they can raise the debt ceiling.

[You Need a Thneed]

Originally Posted by The Yen Man

So in reality, this coin isn't really worth anything. It's just for legal purposes so they can raise the debt ceiling.

The coin would be worth a trillion dollars.

[Tinordi]

Yes, it's a way to circumvent a political process while having no monetary impact.

[Tinordi]

Originally Posted by You Need a Thneed

The coin would be worth a trillion dollars.

In the strictest definition yes, it would be. Of course it's only worth that to one depositor (the US Treasury) and one creditor (the US Federal Reserve).

Essentially it allows the Treasure to keep paying the bills its obligated to pay. There would be no change to the money supply.

[You Need a Thneed]

Originally Posted by Tinordi

In the strictest definition yes, it would be. Of course it's only worth that to one depositor (the US Treasury) and one creditor (the US Federal Reserve).

Essentially it allows the Treasure to keep paying the bills its obligated to pay. There would be no change to the money supply.

I was thinking that they would actually make a coin made out of trillion dollars worth of platinum. However, that doesn't make any sense.

(The coin would have to be 1 metre thick, with a diameter of about 33.5 metres - and weigh about 19,100 metric tonnes)

[Tinordi]

Originally Posted by You Need a Thneed

I was thinking that they would actually make a coin made out of trillion dollars worth of platinum. However, that doesn't make any sense.

(The coin would have to be 1 metre thick, with a diameter of about 33.5 metres - and weigh about 19,100 metric tonnes)

Conversely, if you made a 20 dollar bill out of twenty dollars of paper you'd have a bill the size and weight of two cubic feet of paper.

[CaptainCrunch]

Could you crush it on a rail road track, cause if I was a president in my last term of office, I'd have one of those bad boys minted just so I could watch a train run over it.

Then I'd high five the joint chiefs and make simulated hip thrusting motions at Hillary

[FlameOn]

Originally Posted by MarchHare

No, there isn't a huge political hubbub every time. Raising the debt ceiling was formerly one of the most routine things Congress would pass regardless of which side was in power. That all changed in 2011 when a bunch of Tea Party morons decided to hold the US economy hostage because they hate Obama more than they love their country.

Something else that many people don't realize: raising the debt ceiling isn't the same as authorizing new spending; it's only allowing the federal government to pay the bills that have already been approved by Congress.

Exactly. Under Bush the Republicans raised the debt ceiling 17 fricking times without raising a fuss about it because they were in power. It's just obstructionist GOP politics at this point.

[Daradon]

Originally Posted by Hack&Lube

This thread is proof that people don't actually read the articles posted in original posts. Almost all the people in this thread are just giving knee-jerk reactions without actually understanding or even bothering to read the article.

This is not Weimar Republic or Zimbabwe printing money to inject into the economy and causing rampant inflation. This is not even about paying off debt.

I don't think that it's that no one read the article (though certainly a few didn't), I think it's more just the complexity of the US financial system. How the federal reserve is separate, and all the other differences, it's hard for the average person to figure out, especially at first glance. It'd be fine if we got a class on it, but most of us haven't.