About Our National Debt

If you want to truly understand the ins and outs of our national debt, this article by Murray Rothbard will go a long way towards that goal.  Here are two quotes I lifted from the article to provide a taste of what you will find.  It is an obvious reprint from several years ago but the examples and explanations are just as relevant today as when written, maybe even more so given current fiscal conditions

"If I borrow money from a mortgage bank, I have made a contract to transfer my money to a creditor at a future date; in a deep sense, he is the true owner
of the money at that point, and if I don’t pay I am robbing him of his just property.  But when government borrows money, it does not pledge its own money; its own resources are not liable. Government commits not its own life, fortune, and sacred honor to repay the debt, but ours. This is a horse, and a transaction, of a very different color."

And,

"Deficits and a mounting debt, therefore, are a growing and intolerable burden on the society and economy, both because they raise the tax burden and increasingly drain resources from the productive to the parasitic, counterproductive, 'public' sector.  Moreover, whenever deficits are financed by expanding bank credit
– in other words, by creating new money – matters become still worse, since credit inflation creates permanent and rising price inflation as well as waves of boom-bust 'business cycles.'”

http://www.lewrockwell.com/2013/10/murray-n-rothbard/repudiate-the-national-debt-3/     

George Burns