A third of the country is in it through thick and thin for Trump. They aren’t dissuaded by his moronic screw ups, race baiting or even the impressive rap sheet he has built up. Let’s say about half of those puppets are Trump supporters because of his campaign promises to get rid of Hispanics. Then, let’s imagine the other half of that third of the country that supports Trump, does so because they figured he had an impressive business mind. After all, look at his ginormous real estate empire. So he became president as a result of his business background. When Trump finally gets in the White House, according to Bob Woodward’s new book Fear, his brilliant plan to save the economy? Drum roll please…..just print more money.
Doesn’t that make you feel safe? To have such a creative problem solver as a president. Who’d of thunk of that? Print money to pay off the national debt.
Print money to pay off the national debt may work in Neverland, but in reality the fact that the President of the United States suggests such an improbable and astoundingly ludicrous solution should stir every American with “fear”.
“Just run the presses — print money,” Trump said, according to Woodward, during a discussion on the national debt with Gary Cohn, former director of the White House National Economic Council.
“You don’t get to do it that way,” Cohn said. “We have huge deficits and they matter. The government doesn’t keep a balance sheet like that.”
Cohn was “astounded at Trump’s lack of basic understanding,” Woodward writes.
First of all, the federal government doesn’t create money; that’s one of the jobs of the Federal Reserve, the nation’s central bank.
The Fed tries to influence the supply of money in the economy to promote noninflationary growth. Unless there is an increase in economic activity commensurate with the amount of money that is created, printing money to pay off the debt would make inflation worse. This would be, as the saying goes, “too much money chasing too few goods.”
– Federal Reserve Bank of New York
Let’s say Trump had his way, and the Muppet Baby economic wizard actually printed $18 trillion dollars and paid off our debt. Our debt is clean, which would be great. However, larger problems would erupt. Imagine the global landscape when China suddenly had $15 trillion and America had nothing. In fact, every major global player would have a sizable chunk of chain and America would have nothing. The purchasing power of the dollar would sink to levels never before. American buyers would have to pay much more for items. Layoffs would spiral out of control, once companies realized China was much cheaper.
Also, the exchange rate between the dollar and other currencies would be next to nothing, if we printed money to pay off our debt. Hence, no country would loan us money.
That brilliant business minded Trump is good at making money for his family and his wealthy buddies. Trump doesn’t seem to care about helping out anyone else.