Those, who do not understand the differences between Monetary Sovereignty and monetary non-sovereignty, do not understand economics.
Just when you thought Standard & Poor’s couldn’t get more disfunctional, they outdo themselves. You remember S&P, don’t you? They are the people who became famous for giving AAA ratings to absolute junk, helping to cost investors hundreds of millions of dollars.
Now, showing neither shame nor remorse, they have downgraded United States debt from AAA to AA. In S&P’s opinion, this puts the federal government’s credit at a lower level than that of such companies as:
State Street Corp.
Bank of America
JP Morgan Chase
Johnson & Johnson
Long after these companies — and S&P — have disappeared, the U.S. government still will be here, paying its bills, with no difficulty whatsoever. The Monetary Sovereignty of the United States will overcome the economic ignorance of Congress and the President.
But, if you feel safer buying the bonds of these firms than buying United States T-bonds, T- notes and T-bills, I have a bridge in Brooklyn I would like to sell you. And if you believe anything S&P says in the future, I have two bridges to sell you.
S&P didn’t downgrade the U.S. It downgraded itself. But don’t worry. This will have zero effect on our economy. It’s a publicity ploy by S&P.
Rodger Malcolm Mitchell
No nation can tax itself into prosperity, nor grow without money growth. Monetary Sovereignty: Cutting federal deficits to grow the economy is like applying leeches to cure anemia. The key equation in economics: Federal Deficits – Net Imports = Net Private Savings