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and welcome back to take action is everybody so glad to have you on board
you know there's this big issue involving the debt ceiling which is
hanging over the obama administration until you have to know congress always
just authorized the government to essentially raise the debt so that it
would not default on the obligations on the obligations that it has run up over
the years and conversely a big issue out of that you're a half ago
and congress is threatening to make another big issue out of it but the end
when we run out of money which will be in two months
need government of course
units the full credit rating in the united states that is that you shooting
here so a lot of folks even a lot of republicans announced what we shouldn't
be holding the debt ceiling hostage but you just heard her last night segment
that a lot republicans who want to do just that with is a novel right
yet that has been introduced
but how the president since i can sidestep any sort of negotiations are
having to do
you with congress on this and here to explain it you explain it as joe
wiesenthal you can follow on twitter at the stalwart his deputy editor of
business in saturday's also named
business journalist of the year twenty twelve is not some back
joe wiesenthal welcome to the program thanks for being part of the action is
thank you very much
the door explain how this would work a platinum coin worth one trillion dollars
at the treasury would create
why would they do that but what they do with it how it got some help them get
the president out of this jam
right so the idea is that you were running into the debt ceiling which
added cable should know in a completely manufacturer dip
artificial constraint on our spending it doesn't have anything to do with burning
out of money doesn't have anything to do with how big the debt is
all it is in greenpoint in our own law that have been can't borrow any more so
there is a technicality or the paddling pool that will discovered in the law
where
and one can
uh... ninja coronel now the treasury's procurement weakening point out platinum
and of any denomination at peak octopus secretaries um... discretion
and the idea is that the integrity recon then take that to the fed up
where the trigger data bank accounts expiry
department that quien and then spend against that basically away a lot of
spending in lieu of borrowing so that we would not a default on our debt so again
it's based on this issue of arcane
mean but by a law that is in effect that says point basically for coin collectors
that the treasury cannot affect me into this particular point may escriba value
to it they give it to the fed defensively has a sinner count and voila
we got an extra trillion dollars
right they'll basically the idea of number which primary objection when
people hear about that idea
he didn't say well are we getting blood on the rogers and bob way or warmer
germany
where we're just printing money like really recoverable and that concerned is
unfounded
you don't cases
those cars regroup literally creating money for the purpose of this payment so
that the individual um... univ of power
provisionally to your courage was glad to go direct creating so much money
this is not about are getting run amok caricature or not running out of money
worker bridge country
uh... and that's when the people should know they were not bankrupting anyway
were not close to being bankrupt
but did this in a way of trying to being a legal constrained and by putting it at
the fed
uh... debt enabled the spending but the but they couldn't even to the extent
that and creates inflation because in the morning
or or wait for the had been they're alive that their work best for the fed
to pick up some of that money back in
also incumbent on bond
so this clearly people have a word in late you know have
preethi hyperinflation is i did not pounded the appeared different kind of i
what about the fear that there's not enough bouillon or not enough platinum
that we mine to be able to make a solid wanting to die for the delay completely
understanding of what to look at the whole idea of not the renewed a trillion
dollars worth of work upon iraq
opponent would have
and or triple platinum and then they wanted we could write the word huto
wrote the number one trillion on the quality of in some instances like you
know i don't have time for the plateau u
director
my business i would suspect that we don't even that we don't mind it'll
splatter that we have to go out to you know you prosecuted if you have a
hundred dollars with a plan in the united states reserves
i don't
i don't believe that the only to find them out there being traded in an
expense of commodity
but they're certainly not planned to create a cool