Does the United States borrow the money or just print it?

[*jr]

I doubt there is any money to fund the propesed rebate. So it begs the question: Is the US just printing money it spends?

[AbdiWahab252]

*jr,

Saxiib, any $$ given back to you by the Govt, is a blessing.

Now run & cash that baby before it bounces.

[*jr]

AW,

The proposed rebate will cost us many times more down the raod because its borrowed money. My thinking is, if you have debt, pay it down. That's what the government should do instead of giving away more borrowed money.

[Grant]

It's borrowed. But there is nothing behind it and it is inflating at a rapid rate relative to international buying power. We the people will get to pay it off with dollars that are worth even less.

Is it enough to make a Libertarian out of you?

Great politics......not.

[gurey25]

Grant you cant do much about it..

its a terminal cancer and it has already metastisised.

This will bring the US economy and the world economy, and its likely to be worse than the 1929 crash..

the good news is that the US economy is built on solid foundations and it will recover, no matter what happens,
who knows with another FDR like figure at the right time, the USA might even bounce back stronger than before.

[*jr]

Grant,

Sxb, I would say both. They print and borrow. The Treasury issues bonds to foreigners and they pay in dollars for them, and they print money. They can't print money exclusively for funding because it would make the dollar more worthless than it is now and inflation would be in double digits. Either way its a loss for taxpayers.

[AbdiWahab252]

I am pissed that I haven't benefited from the Bush Administration's policies financially. A $300 rebate is paltry compared to what the Bush tax cuts doled out.

Thank you Democrats for watering down the rebate from $600 to $300.

[gurey25]

@taxes

i forgot that people payed that stuff..

i havent payed anything to a government, since i payed of my college loans.

[AbdiWahab252]

Gurey,

I am now investing in Somalia. Prices are at all time lows. In the States, they tax you on everything. If you play the stock market, the average return is 10-15% over the year with the one exception being the Bear Sterns stock which after the collapse shot up from $5 to $13 (220% return).

I would rather toss my lot with East African investments which generally yield 20 (Bad) to 300% depending on the deal.