Support The National Debt Relief Act!
Support The National Debt Relief Act!
Why this petition matters
If we balanced the budget, and paid back the National Debt with $50 billion Dollars a year, it would take 460 years to eliminate according to Sen. James Lankford (R-Okla.)
In contrast to the status quo,
The National Debt Relief Act could pay off the National Debt in 30 years, with a change in government policy, rather than higher taxes.
Here is the explanation :
In The Affordability of Basic Income, a paper written by Geoff Crocker, it states that:
" Government can create additional money without increasing inflation as long as the money supply does not exceed the productive capacity of the economy: ( aka Non-Tax Dollars ) (money spent by a government that has not been raised through taxation) and recent "quantitative easing" (another term for Non-Tax Dollars) in both the US and Europe has given empirical backing to that claim. However, increasing the money supply beyond that point will inevitably create additional inflation. "
From 2000 to 2007 inflation rates averaged 2.8%. From 2008 to 2017 inflation rates averaged 1.7% according to The US Inflation Calculator. The US Central Bank's policy of "Quantitative Easing" (using Non-Tax Dollars) injected $3.9 trillion dollars during the period from 2008 to 2017, according to CNN Money.
That means The Federal Reserve added an average of $433 billion Non-Tax Dollars each year to the economy over the last 9 years,
This proves some additional money can be created without causing inflation, as long as it doesn't exceed productive capability!!!
The Federal Reserve plans on spending $600 Billion in 2018 on "Quantitative Easing", as reported by The Christian Monitor (aka Non-Tax Dollars)
This is existing policy!
Congress added $671 Billion dollars in fiscal 2017 to The National Debt
Let's use "Quantitative Easing" to Balance the Budget instead!!!
When the last 30 year bond matures, The National Debt and it's interest payments are eliminated!
That is how
The National Debt Relief Act could pay off the National Debt in 30 years,
with a change in government policy, rather than higher taxes!!
This additional money would be created the same way banks create money for loans. Governments empowered banks to legally create money. Remember, banks are only required to have 10% of their total worth in reserve. The rest is simply created on their books when someone takes out a loan. Your car loan, home mortgage, or loans that finance The National Debt, are all legally up to 90% created additional money!
The reason this additional money doesn't cause inflation is because it is allowing demand to keep up with supply. When you buy a home or car, they already exist, so additional money is needed to match supply. The products and services that created The National Debt already exist as well.
People mistakenly think if the government gets a loan to Balance the Budget that no one is creating additional money, but whether the banks do it, or the government does it, someone is going to create additional money to Balance the Budget when there is a deficit.
Why our government doesn't do some of this for themselves is a matter of policy, not necessity.
As long as Supply can keep up with Demand Inflation will be minimal.
This key point explains why some additional money can be added to the economy by government, without causing inflation. How much additional money is determined by productive capacity, and actual GDP (Gross Domestic Product) output. Capacity utilization in the United States averaged 80.32 percent from 1967 until 2017, according to Trading Economics
The GDP of the US in 2016 was $18.5 trillion dollars according to Trading Economics.
20% of that is $3.7 trillion dollars. This is the amount of additional money that could be added to the economy in the US each year, without causing inflation, in theory. Adding too much too quickly could cause inflation though, because the logistics of using 100% capacity takes time to implement.
Since the additional National Debt amount in 2017 of $671 billion, was less than 6% of GDP in 2016, Non-Tax Dollars could have easily been used to Balance the Budget, without causing inflation.
Therefore, in contrast to the status quo,
The National Debt Relief Act would end the policy of borrowing money to Balance the Budget, and replace it with a policy of issuing currency to Balance the Budget.
That change would pay off the National Debt in 30 years, because once the last 30 year Bond is paid off, The National Debt is eliminated.
All with a change in government policy, rather than higher taxes.
Here is another major advantage:
The savings to the American Public would amount to trillions of dollars, not billions. In 2016 we paid $434 billion dollars in interest. According to The Congressional Budget Office, by 2027 18% of our budget, $1.3 trillion dollars. That would be eliminated as well!
Our government would have more funds, we would have more money, and the economy would be better off. Everybody wins, and nobody is harmed. There is no real downside, as long as it is implemented properly. Government would still need to collect taxes, because The Non-Tax Dollars would be a supplement to taxes, not a replacement, and would make possible many programs that presently are unaffordable.
Imagine being able to add a trillion dollars worth of spending to the budget instead of decreasing it by a trillion dollars!
This legislation could do more for the country than any other bill in 100 years, and could lead to unparalleled economic strength. It would revitalize Social Security, Infra-Structure Repair, Education, and many other worthy programs, and would positively affect every single citizen in America!
Visit nontaxdollar.com for more details, and don't forget to sign the petition!