FAQs About the Public Debt | Hacker News Reader

FAQs About the Public Debt

treasurydirect.gov

12 pointsuticus16 comments

All debt, whether public or private that is not paid off by the same generation is a scam on the next generation and beyond, a very unfair one. For this reason, debts shouldn't be allowed to exist for more than thirty years, and should not be allowed to be paid off by a new debt. So what should happen if a debt is not paid off in this time? It should be subject to foreclosure and/or bankruptcy proceedings, irrespective of whether the borrowers want to continue with the debt.

All money is debt. Do you want an economy without money?

> All money is debt.

This is true for currently popular monies, but is not inherently true. Is a gold coin a debt instrument?

> Is a gold coin a debt instrument?

It is if you lend or borrow it or use it as collateral.

So no, not all gold coins are debt.

Or yes, some gold coins are debt.

Forbid the "yes", keep the "no".

That's nonsense; it is obsolete government propaganda. Just the type of money that you are shamelessly used to is debt based. Money rooted in precious metals, also some cryptocurrencies, is in no way debt based. And yes I can spend them.

paying off with new debt is paying off... Debt cycling and consolidation is absolutely a valid way to handle your debt.

It's legally valid, but it carries with it all the problems of long term debt, which is the point. There is a reason why one can't pay off a credit card with another credit card.

> There is a reason why one can't pay off a credit card with another credit card.

Isn't that exactly what a credit card balance transfer is?

https://en.wikipedia.org/wiki/Credit_card_balance_transfer

in the corporate space this is super common and makes a lot of sense.. you sell debt at one rate, find a better rate deal that lets you pay it off later and trade one less favorable debt for the new better terms debt.

the company I work for has always done this very successfully.. is now a multi billion dollar multi national.

Yes, debt refinancing is common for corporations. It doesn't however excuse an indefinite debt. I maintain that a debt held for more than a generation (30 years) is a forecast sign of failure to come.

So, obviously a contentious subject. But I appreciate the link for the government's official view (at this time) if for nothing else.

And it's not just a quick one-liner, there's a lot of detail here.

> How do you make a contribution to reduce the debt?

Hilarious.

I haven't contributed, but this is what first drew me to the page: the 1040 instructions [0] on pg.82 has "How Do You Make a Gift To Reduce Debt Held By the Public?" and I was intrigued enough to read the details, which contain the link in the OP.

[0] https://www.irs.gov/pub/irs-pdf/i1040gi.pdf

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