According to Jason Hartman, a highly successful real estate investor and mentor, thirty percent (30%) of all the money that has ever been created in the United States was created in 2020.
National debt at 0840 hours, 13 June 2021, was $28,400,600,000,000, as reported on the National Debt Clock.
The typical healthy, educated American mind does not easily understand the magnitude of twenty-eight trillion dollars. Using an Excel workbook, I calculate the magnitude of national debt. The result helps me to visualize national debt by creating imaginary stacks of one-dollar bills.
The thickness of a new, unused one-dollar bill is .0043 inch. A stack of one million one-dollar bills is 358.33 feet, a distance 58 feet greater than the length of an American football field. A stack of one hundred million dollar bills is 35, 833 feet, the altitude where airliners fly.
The height of a stack of 28,400,600,000,000 dollar bills representing the national debt 1,927,439.71 miles high! The average distance between the surface of the earth and the moon is 230,000 miles. This stack is more than eight times the distance to the moon.
Democrats, like Joe Biden, Nancy Pelosi, and Alexandria Ocasio-Cortez subscribe to the modern monetary theory (MMT). What is it? I turn to the Mises Institute for the answer.
I quote: “A main thesis of modern monetary theory (MMT) is that fiscal deficits are not a problem. On the contrary, they create financial assets for the private sector (in a closed economy, a public sector deficit equals a private sector surplus). Moreover, if the government can always create money to cover its expenses, there is no need to fuss about government deficits. The pursuit of a balanced budget is, according to MMT supporters, completely misguided.”
How can you apply MMT to your household economics? Ignore your income. Forget about a budget. When you need something, just write a check! There! Wasn’t that easy?
What can you do? Discuss this with your circle of friends and your family. If you agree that writing hot checks is unwise. In fact, if you practice MMT, you will find yourself standing before a judge, explaining how you simply adopted the fiscal policy of the sitting Democrat president.
I suggest you tell your U.S. Representative and your two U.S. Senators to reign in federal spending. Remind them of the Balanced Budget Act of 1997 signed into law by Democrat Bill Clinton.