The National Debt is a Tax on the World

[Martin Hash]

Does the National Debt ever have to be paid back? No.

The American Trade Deficit roughly equals its Budget Deficit, which is not that big of a coincidence since foreign governments buy Treasuries, which essentially pay zero interest, with their extra $. It's a wash. America gets to live beyond its means & the rest of the world get America's military sniffing their butts.

This could perhaps go on forever if the $ remains the world's de facto reserve currency - what else are foreigners going to do with $ after running up stock prices & buying expensive apartments in NYC?

The Debt is financed through tribute: to Rome go the spoils.

Even if other nations become/are aware of the situation, how would they change it?

At some point, for the same reason people resent the .1% even though their own lives are immeasurably good, the World will probably act perversely - and I wouldn't blame them.

The meme is that America does NOT need to "balance" its budget... Ever. The "tribute" we receive in the form of other countries buying no-interest Treasuries covers it. From a global perspective, America is Rome, and other countries will settle on being a prosperous outskirt - they just don't want to live in Rome. Instead they pay tribute and let us do our Roman thing. "The Debt" is our natural economic Right for other nations to pay us tribute.

I've always said that I've never met a Conservative that understands economics but after presenting this "tribute" concept, perhaps they do, just not in conformity with my ideology? I'm the one who never considered all the perks of having an "empire." The NeoCon hyper-aggression suddenly makes sense! However, why don't they articulate it? Perhaps they only subconsciously understand.