The Debt Mirage: How Fractional Reserve Banking and Government Borrowing Perpetuate a Money-Making Scam

The U.S. financial system operates in a way that often escapes the scrutiny of most citizens, with consequences that are profound and far-reaching. The process through which Treasury bonds are purchased by primary dealers, sold to the Federal Reserve, and backed by money created out of thin air is one that many might find absurd upon closer inspection. To fully grasp the implications of this … Continue reading The Debt Mirage: How Fractional Reserve Banking and Government Borrowing Perpetuate a Money-Making Scam

Tim SweeneyFebruary 21, 2025February 22, 2025Leave a comment

Economics

The U.S. Treasury Bonds and the $36 Trillion Debt: A Financial Ponzi Scheme in the Making

When the U.S. Government needs money, it turns to Treasury Bonds—a financial instrument that represents an obligation or promise to repay. But what does this really mean? In essence, the government is creating a contract with lenders—also known as creditors—to borrow money now with a promise to repay the borrowed amount plus interest in the future. Simply put, the government is asking, “Hey, we’re broke, … Continue reading The U.S. Treasury Bonds and the $36 Trillion Debt: A Financial Ponzi Scheme in the Making

Tim SweeneyFebruary 20, 2025February 22, 2025Leave a comment