Sunday, October 2, 2022

Creating money

Fiscal year 2021 started on October 1, 2020 and ended September 30, 2021 when Trump was still president. The government spent $6.8 trillion in that year. During fiscal year 2022 which started on October 1, 2021 and ended on September 30, 2022 the government spent $5.35 trillion. President Trump was in office for 4 of these 24 months. Many can give good reasons why this money was spent. The president wants to start fiscal year 2023 by spending half billion on student loan forgiveness. If the government has decided that there is no limit to their spending then what about car loans, home loans and credit card debt. Maybe there is no limit on how much money the government can print, somewhat like there seems to be no limit on the number of illegals allowed to cross the border. The government can take care of their needs by printing more money. If the election takes power away from the democrats the months after the election and before January 20 when the new congress takes power will bring on a lot of spending and it may include some of the items mentioned above. Modern Monetary Theory is alive and well.

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