Why a $1 trillion platinum coin?

Yet again life imitates The Simpsons.  Supposedly serious minded people have suggested Obama could circumvent congress and negotiating the debt ceiling by commissioning the Treasury Department to mint platinum coins in one trillion dollar denominations and depositing them to the Federal Reserve.  Presto!  Crisis averted.

Setting aside questions of legality or wisdom, why a $1 trillion coin?  Why not a $100 trillion coin?  With that kind of scratch Obama could send a $250,000 check to every man, woman, and child in America and still enough left over to pay down our National Debt in full.  All of America’s financial woes would be solved.

If we’re going to go stupid, let’s go stupid in a big way.  Mint a $100 trillion platinum coin.  For the children.

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Posted by on January 19, 2013.
Filed under Politics.
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Baron Von Ottomatic was voted "Most Likely To Spend Time in a Methadone Clinic" by his high school classmates.

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  • jim_m

    Been done before. I think Zimbabwe’s inflation hit something like 89,700,000,000,000,000,000,000% before they abandoned their currency. I’m sure that Paul Krugman would have a perfectly idiotic explanation as to why having a $100 Trillion platinum coin is better than a $100 Trillion paper bill.

    I’m figuring that obama would be perfectly content with that rate of inflation too.

    • GarandFan

      I’m surprised Barry hasn’t hired the Finance Minister from Zimbabwe. Simple solutions for simple minds.

      • jim_m

        Given the way his Cabinet appointments are going he probably didn’t nominate him because he’s not a white male.

    • retired.military

      You cant burn the coin to try to keep warm silly boy.

  • yetanotherjohn

    Piker. Make 312 million trillion dollar coins. Then we can each have one. Won’t it be great that we can all be trillionaires. But no, the meany democrats only want to make one so they can get what they want. We could each be living the lifestyle of the rich and famous if only the democrats weren’t so stingy.

    Now if you see a slight problem with making 312 million trillion dollar coins and the subsequent life of Riley we would all live, then perhaps you can see a glimmer of why the first trillion dollar coin doesn’t make sense.

  • 914

    The Obama promisorry expiration notes work even better.. To wipe ones ass with that is.

  • herddog505

    Why have taxes at all? If we can borrow 20 or 30 or 40% of what we spend, then why not 100%?

    For The Children(TM).

    • Brian_R_Allen

      …. If we can borrow 20 or 30 or 40% of what we spend, then why not 100% …?

      “We” (The People) aren’t borrowing a Brass Razu.

      The five hundred and thirty-six lying, looting, casually-mass-murdering bastards that’ve taken over our feral gummint are borrowing it. From the lying, looting bastards who’ve taken over the Fed.

  • Brian_R_Allen

    The Big Man-wannabe, Barry Samuel Doe Charles Taylor Idi Amin Robert Mugabe Soetoro has another wild hair up his arse: http://simplepimple.com/2012/05/this-is-real-one-hundred-trillion-dollars-bill

  • ackwired

    The idea was to mint one coin to be deposited as a US Treasury asset with the Fed. In fairness, it was not the administration’s idea and it was not embraced by the administration. It was recommended as a fallback in the event that the congress fails to raise the debt level. So the idea was not to put coins into circulation.

    The current debt ceiling system is equally ridiculous. It is part of the dysfunctional, non-systematic budgeting process. Chile and Sweden rescued their economies and achieved fiscal responsibility largely through changing their budgeting procedure. A realistic debt ceiling would be 60% of GNP. A realistic budgeting process would tie deficits and surpluses to current economic performance.

    While silly, the Trillion Dollar Coin is no more silly than the way we are currently handling our money.

    • Vagabond661

      It just reminds me of the movie “Dumb and Dumber”. At the end when they returned the suitcase which originally was full of money, they filled it with IOUs for all the purchases they made with that money and a promise to pay it all back.

      • ackwired

        I’m afraid that I skipped that movie.

    • jim_m

      You ask for realistic from a President who hasn’t passed a budget in 4 years. I think you are being more than a little optimistic.

      • ackwired

        Well, in all fairness the President has presented his budget. The Senate is the body that has failed to act on it, and that is shameful.

        • jim_m

          And it has been controlled by the dems the whole time. Actually, they did vote on his budget in 2010. It went down 97-0.

          • ackwired

            Yes, and I don’t believe they passed one to replace it. The Senate Democrats and Obama are not one. The Senate not passing a budget is not the same as “Obama not passing a budget”.

          • jim_m

            Actually, yes it is. They are the party in power. obama fails to deliver a budget that is in any way realistic. The Senate could offer a n amended budget, but they don’t .

            The whole point is to govern without any fiscal oversight. Doing so enables far more corruption than if we had a budget.

          • ackwired

            I think that you stereotype to the extreme. But I know that you think that is a good thing. So we can just disagree as to whether the President and the Senate members of his party are the same thing.

          • jim_m

            Actually, yes it is. They are the party in power. obama fails to deliver a budget that is in any way realistic. The Senate could offer a n amended budget, but they don’t .

            The whole point is to govern without any fiscal oversight. Doing so enables far more corruption than if we had a budget.

    • jim_m

      While silly, the Trillion Dollar Coin is no more silly than the way we are currently handling our money.

      I would disagree on 3 points

      First, is that the basis that the current system requires the assent of Congress and thus gains the credibility of having the entire government behind it. The platinum coin idea would place one man: the President, behind that decision and he would be doing so with the express opposition of the rest of the government. It would be a symbol of the government not necessarily being behind this decision and not being behind the debt associated with it.

      Second, this is not the same as issuing bonds to borrow funds. Bonds are based in existing money supply. The platinum coin would expand existing money supply even if it doesn’t directly increase circulation. It undermines the value of the dollar and would lead much more quickly to a dramatic increase in inflation.

      Third, it creates the impression globally, that the US is willing and actively considering the possibility of monetizing the entire debt, making all current debt worthless. That alone could lead to the dollar plummeting and creating a crippling inflation that bankrupts all Americans. It would destroy the value of the dollar and the value of our economy in exchange for momentary solvency of the federal government.

      The real shame is that the left sees these issues as either features of the plan or simply not worth worrying about.

  • cirby

    Remember – minting a trillion-dollar coin “is a good idea” while truthfully pointing out that Jeep is moving a lot of production to China is “Lie of the Year.”

    • jim_m

      Facts have nothing to do with truth.