If the United States can print its own dollars, why does it have a debt of $39 trillion? Correct answers only: I’ll give 10,000 sats to the best answer within the next 24 hours.

Replies (58)

It doesn’t really print. It borrows money from the fed. The fed prints it and expects to be paid back the same amount plus interest.
If they printed dollars out of thin air instead of borrowing via treasuries it would result in hyperinflation. Borrowing via treasuries spreads the cost over time and causes ongoing, perpetual inflation instead of instant hyperinflation.
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Diego Valley 3 months ago
United States doesn’t print dollars, it’s commercial banks. They ‘lend’ ‘money’ into existence
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sati 3 months ago
So there is a ledger to track who owns who, pretend it is trustfull and keep everybody in their piramid ponzi slave system
Because the us government spends far more than it collects in taxes, finances the gap by issuing treasury debt, and “printing money” to erase that debt would destroy confidence in the dollar through inflation and currency debasement and ultimately threaten the global reserve currency status that gives the us its power in the first place 🤷‍♂️ i tried my best PV 🫂
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Rex 3 months ago
I think the answer you’re looking for goes beyond the monetary expansion from private lending. The government spends more than it takes in and is bound by a statutory architecture: the Antideficiency Act, the rule that Treasury’s account at the Fed can’t go negative, and the prohibition on the Fed buying Treasuries directly. This forces every overspent dollar to be matched with a Treasury security. The Treasury can’t (yet) spend whatever it wants without issuing some sort of bond to cover the overspending dollar for dollar.​​​​​​​​​​​​​​​​
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R 3 months ago
Nation debt = interest money from the citizens to the creators of the debt. It’s the perfect scam, who would t want that.
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Timekeeper VI 3 months ago
Printing $39T to pay off the debt is like fixing “I’m broke” by printing more Monopoly money. It works great until the store stops accepting it. The debt exists because real lenders, like your 401k, foreign governments, pension funds only hand over actual resources if they trust the dollars will still buy something tomorrow. Crank the printers instead and it’s wheelbarrow economics. Congress’s favorite move is to spend now and let inflation send everyone else the bill.
By printing 6 - 7% a year, on a debt that only has less than 4% interest. Increasing the money supply and the debt by 7% in a year, debases the real value of all dollars by about the same. So in real terms the value of the debt decreases faster than the interest increases the debt in nominal terms. Counterintuitively increasing the debt and printing money actually reduces the debt burden on the federal government, without actually ever repaying it. In their unique case, the higher the debt goes the better it is for them. Unfortunately, the worse it is for everyone else.
Scam #1: Debt is selling everyone's future to justify the pressure to work (gov does not work or produce). Scam #2: Everything has a price in dollars (everything is monetised) - it is an artificial reality. Historically lots of things were not available, or not a product, or bartered, and labour not paid in currency. With all monetised and the fiar currency (based on debt) - this debt becomes an effective tool to control everyone. To live a life that leads us to their objective - for us to lose our souls. New Scam, the great reset: this recent tens of trillions in debt (125% of GDP) is allowed so that we transition from dollars and purchases to the subscription model where we own nothing, have a UBI/UHI and are happy. The control methods now are more granular and sophisticated. Time to make the panopticum into track and trace panopticum. The internet will suffer attempts to be controlled. They used to control the newspapers and news stations and record labels and Hollywood... We had a peek during this transition of models. But the gate is closing fast.
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Prodigious 3 months ago
Take in dollars. Issue IOU’s. Dollars>IOU’s
Because the fed system is designed to enrich a few people and impoverish the rest. That would not be possible by only printing money without issuing debt.
Could the US just print baby print? Technically, yes but it would be a total disaster If the Fed bought all 39T in debt and the Treasury spent it, the money supply would increase by 150% instantly Inflation would skyrocket over 60% wiping out savings, pensions and wages The dollar would start to collapse, forcing the import of goods at much higher prices This is why even Japan avoids printing to pay debt, they rely on low interest rates and hoping the people keep having confidence in the house of cards!
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Deleted Account 3 months ago
The US government isn’t liable to pay a penny of that debt—the taxpayers (slaves) living under the United States’ tyrannical rule are. Imagine holding debt that other people would pay back for you under threat of violence. Big bully energy.
Maple AI gives it a go: "The U.S. could, in theory, change the law and have the Fed directly finance government spending, but doing so would risk the stability of the dollar. The current system—where Congress spends, taxes fall short, and the Treasury borrows from global investors—keeps the currency credible and inflation (mostly) contained. The $39 trillion debt is the accumulated record of decades of choosing to borrow rather than tax or print."
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meistro19 3 months ago
Create and be the issuer of risk free global rate
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Goob 3 months ago
There must be debt to give the credit value
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Hide&Seek 3 months ago
It used to be monetary sovereign like any other government. But, private banking started to take over 200 years ago. First in England, then everywhere else. This system has its own rules: government do not print money, they borrow it to the bankers who in turn print it for them against a guarantee of paying back. In US it's the FED, which is not public nor federal. The debt is thus an artificial creation by the banking cartel to secure their dominant position. It keeps growing and growing, and never gets payed back. This is by design.
Because it delays consequences. If prices go up (printing), you get voted out. Debt pushes the consequence out generations.
Printing money devalues the currency. The new printed dollars will never equal the amount of money that was originally lent to other countries/sovereigns (via bonds). So the US settles for putting the interest on that debt onto their balance sheet of necessary expenses. But that number will keep going up. And the new (printed) money will always be worth less what was originally lent.
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Deleted Account 3 months ago
fiat is a virus designed to deplete the life’s energy of anyone that holds it. $39 trillion represents that.
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Deleted Account 3 months ago
It’s $39 trillion worth of false promises and hope given to the working class.
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lowkey lowkey 3 months ago
Because the currency is minted at the Fed, whereas the debt is issued by the Treasury. The Treasury cannot print dollars, and the Fed cannot give dollars directly to the Treasury. Therefore the Treasury’s only recourse when faced with a deficit is to issue debt, some of which the Fed might choose to purchase with freshly printed dollars.
It is a system designed to enslave through debt and layers of seigniorage, while the US receives natural resources, food and the production of the enslaved countries. This is the same reason there are taxes when the US could just print, blow off top for inflation created and subjegation and enforcement of the slave system.
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Farside 3 months ago
Because the US does not own its own currency. The Federal Reserve does. It is a private banking cartel, and no more federal than federal express. They create it out of nothing but a computer key stroke, and lend it to the US government at interest. Woodrow Wilson, the president who allowed this to happen, figured out the scam only after the damage had been done. and he deeply regreted it for the rest of his days.
To burden future generations with debt so that the 1% can continue their tax free lifestyles
Because being the reserve currency of the world <necessarily> means having constant current account deficits. The ever increasing pressure to export dollars implies the need to print them.
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Adrian 3 months ago
The rich rules over the poor, And the borrower is servant to the lender. It's the new way to own slaves. A debt is a shackle, a borrower is a slave, and the lender is the slave owner.
The U.S. has debt because borrowing is safer for the dollar than endlessly printing money. It can create dollars, but creating too many would weaken trust, increase inflation, and potentially damage the entire economy.... image
Many correct answers. Many levels. I think: The system needs and is capable of maintaining power without the collective egregore of “guilt / being guilty.” No one would obey or surrender their energy through time and effort to a figment of the imagination. Both the state and the central banking system are actually superfluous and can only sustain themselves through belief. It is a spectacle, just like “inevitable wars” and everything else.
The U.S. has $39 trillion of debt because fiat money is created through debt, and because printing dollars does not erase the real cost of government spending. It only transfers that cost from explicit default to hidden debasement. I'll give more details: when the U.S. government spends more than it collects in taxes (i.e. deficit), it issues Treasury debt. Those Treasuries are bought by banks, funds, foreign governments, and sometimes indirectly by the Federal Reserve through the secondary market. The $39 trillion debt is not a contradiction of money printing, because the U.S. does not just “print and spend”; it usually borrows by issuing Treasuries first, then the monetary system can monetize that debt later. That is why the debt exists: in the fiat system, money and debt are structurally linked. Dollars are created through liabilities: government deficits, Treasury issuance, bank credit, and central-bank balance-sheet expansion. The fraudulent part is that the government borrows in dollars while also controlling the value of those dollars. It promises to repay, but it can repay in money that has been debased. So the debt is never honestly settled through real savings or production. It is rolled over, monetized, and diluted through inflation.
Because it needs at the same time retain the confidence of the masses that it’s paper currency has a value.
What's crazy to me is this only accounts to maybe 4-8% of the entire money supply. The vast majority is just plebs burrowing for ANY reason. Every dollar that is burrowed, is dollar created out of thin air, and is owed with interest! Every bank has the power to create money out of thin air. The main difference between the central bank and regular banks, is that the central bank (federal reserve) sets the interest rate. How much demand should the dollar have. Since the US is the global reserve currency, every currency falls under it, so the story gets bigger and bigger.
BEST ANSWERS: From those who really know what's going on 1) @Don Dahir The answer is simple, it doesn't print its own dollars. It borrows the federal reserve notes, AKA "US dollars", from the central bank (the federal reserve). The government promises to pay it back through tax dollars. That promise is called treasuries and the US government issues them for purchase. Because the federal reserve notes borrowed does not include the interest, you have a mathematical fraud that can only be paid back by burrowing more. Add that to the fact that it spends more than it receives, you end up with that huge $39 trillion in debt and counting. 2) @Hide&Seek It used to be a monetary sovereign like any other government. But, private banking started to take over 200 years ago. First in England, then everywhere else. This system has its own rules: governments do not print money, they borrow it from the bankers who in turn print it for them against a guarantee of paying back. In the US it's the FED, which is not public nor federal. The debt is thus an artificial creation by the banking cartel to secure their dominant position. It keeps growing and growing, and never gets paid back. This is by design. 3) @Farside Because the US does not own its own currency. The Federal Reserve does. It is a private banking cartel, and no more federal than federal express. They create it out of nothing but a computer key stroke, and lend it to the US government at interest. Woodrow Wilson, the president who allowed this to happen, figured out the scam only after the damage had been done. and he deeply regretted it for the rest of his days. View quoted note →
Is'nt the longer term interest rate set by the demand? Fed sets short term, but if they cant sell long term bonds (10yr) at that rate, they force "people" to buy it or buy it themselves.
Yes, but the fed ultimately controls monetary policy. It can tighten or ease burrowing costs via policy rate which will affect commercial loans, which is ~95% of the entire money.
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Debatable_rumor 3 months ago
This is the argument to keep the system in place. Well done representing the owners of the money creation system. If there is shit behind the wallpaper and you show it by ripping it of then you are somehow the guy who put the shit there in the first place? I don't think so. What do you prefer? - spend 39trillion and have no debt or - spend 39trillion and owe 39 trillion to your master. So the real question is who are the slave masters and who are the slaves? I'll answer myself: The slave master : the private owners of the fed The slaves: the taxpayers What is the government then? Just the collection mechanism for the slave masters. So even the strongest country in the world is not sovereign (USA). There is a higher power. If the united States would print its own money it would become sovereign again. Still fiat money though (=its bad even if you print it yourself as a sovereign nation). better if it would introduce sound money (gold, bitcoin) it would be sovereign and moral and honest. Being an example and light for the whole world and humankind.