Last update08:03:22 PM

Font Size


Menu Style

Back You are here: Home Columns Weekly Columns For Your Consideration For Your Consideration: Desperation

For Your Consideration: Desperation

Contributing Writer

It would appear that the current administration is going to some farfetched concepts to dissuade the electorates’ concerns over the debt that the government has been accumulating over the past two decades.
The President is unwilling to consider any real meaningful reductions in spending, and goes as far as suggesting the Nation does not have a spending problem, that the problem is related to insufficient revenues, this is a clear indication that the President has no intention of changing the course that the administration is on.
It is not clear how much of the electorate is sufficiently aware of a fiscal and economic danger the country is likely to experience if we continue on the current course, but evidently the administration appears concerned enough to float ideas that may help to eliminate some of the concerns being expressed by the electorate.
One concept deals with the use of the Fourteenth Amendment, Section 4 to the Constitution; it reads as follows: “The validity of the public debt of the United States, authorized by law, including debts incurred for payment of pensions and bounties for services in suppressing insurrection or rebellion, shall not be questioned. But neither the United States nor any State shall assume or pay any debt or obligation incurred in aid of insurrection or rebellion against the United States, or any claim for the loss or emancipation of any slave; but all such debts, obligations and claims shall be held illegal and void.” 
If the electorate were to rely on the media, the information that is underlined is what most people would be presented with which suggests that if the government runs up debt that all of the debt must be paid by the taxpayer.
When words are taken out of context they can be used to suggest something other than their original meaning or intent, this is what proponents of this tactic are attempting to do.
The next Section states that Congress shall have the power through legislation to enforce the provisions of this Amendment, which was passed by Congress on January 31, 1865, and ratified on December 6, 1865.
The other gimmick that has been proposed is the minting of a trillion dollar platinum coin by the Treasury (31 USC § 5112 - DENOMINATIONS, SPECIFICATIONS, AND DESIGN OF COINAGE) that would be deposited in the treasury to allow the government to barrow on that coin to meet its obligations.
The Treasury has the authority to mint platinum coins, but these coins are only supposed to be minted as commemorative coins, the Treasury
can set any value on these commemorative coins that it deems suitable for resale.
The problem with this scheme is that it is highly improbable that there would be anyone willing to buy the coin at that price.
The coin should have a value that allows it to be marketable; this is the major flaw in the concept behind this proposal.    
Both of these tactics have been rejected by the President, but they are still being put forth by many pundits.
The misinformation that is being presented to the public is only distracting the Congress from addressing the real problem, and
too many politicians seem unwilling to take actions that will rectify our fiscal problems.
It would appear that the administration is depending on another tactic to distract the public’s attention from our monetary problems; it has turned the Nation’s attention to gun legislation and the immigration problems.
One may conclude that the administration would like to have a number of seemingly insoluble problems on the board at one time to
prevent any real constructive action from occurring. Welcome to our new state of affairs.