Metal Sludge Gossip Board

"The national debt is fast approaching $17 trillion, with the Fed monetizing most of the newly issued debt." - Ron Paul

Ron Paul caught in two lies within that short sentence:
1) overstating how much debt the Fed purchased.
2) claimed the Fed will hold this debt to maturity.

Fed purchased 23% of the newly issued debt, which is a long way from "most." Only if the Fed holds the debt to maturity, will the debt be "monetized." No way to know whether the Fed will hold the debt to maturity so no way to know whether the Fed will monetize the debt.

Fed Bond Purchases since Sept 2012: 179.442 billion
http://www.clevelandfed.org/research/da ... /index.cfm

09/05/12
Traditional Security Holdings 364148
Long Term Treasury Purchases 1274238 => total 1638386.

05/01/13
Traditional Security Holdings 339143
Long Term Treasury Purchases 1478685 => total 1817828.

National Debt
http://www.treasurydirect.gov/NP/BPDLog ... ication=np
09/05/2012 16,020,684,444,134.58
05/06/2013 16,788,427,184,539.43 = 768 billion in new debt issued by treasury

http://www.thefreedictionary.com/monetize

mon·e·tize (mn-tz, mn-)
tr.v. mon·e·tized, mon·e·tiz·ing, mon·e·tiz·es

1. To establish as legal tender.
2. To coin (money).
3. To convert (government debt) from securities into currency that can be used to purchase goods and services.




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You know, DEATH ROW BLOW JOB, you certainly deserve the award for "Sludge's SpinKing." BUT I've got another award that I will bestow you each and every time you continue to distort political realities, spew your BS and misquote/misinterpret what I or any other states, because I feel it's more accurate. It's called the "Grasping at Straws" award. And since you've perpetually FAILED to prove ANY of your points but insist on going to great lengths to make them, despite the fact they're almost always FACTUALLY incorrect, you've more than earned it!

You ready for it? Here it is...BESTOWMENT #1:



And despite that I've awarded this to you before, congrats on your first OFFICIAL bestowment! I'm sure you'll earn plenty more in the very near future...