I am pleased to see others writing about the disastrous private funding of government debts. Two such letters in the last few weeks have supported my ongoing criticisms, while yet another from Colin Bartlett thinks it all works fine and should not be touched.
Meanwhile, all such debts grow relentlessly, their huge interest charges not only contributing inflation — the deficits require creation of extra money against no new asset — but they result in a steady stifling of all programs in a vain attempt to balance budgets repeatedly broken by those massive interest payments. The matter will not go away, it must be directly addressed, not smothered by irresponsible quotes like recent letter writer Bartlett’s “1.5 per cent inflation over the last five years” which would hardly be noticeable; I suggest most people have a more realistic view of things.
There is nothing wrong in a government lending money to itself, as Bartlett intimates. Indeed we did exactly that for 40 years with excellent results until the Lib/Con continuum killed it. And never mind North Dakota’s 90-year successful practice, think of modern China’s for the last 60 — from being a basket-case they are now number two in the world without the crushing usury at present destroying Greece, and crippling Spain, Ireland and many other massively indebted nations, not excluding Canada.
The private banking system has its hands very tightly in our government’s purses; only a determined new, basically different ideology can get them out. So talk to your Lib/Con representatives, and your NDP and Green candidates and probe their reactions, for the mutually self-supporting debt/interest combination can only grow. It is what it is designed to do.