But Majority of Public Opposed
IF these scoundrels get their way, I know of at least one town that will consider intentionally defaulting on some Federal loans. These were 40 year notes (originally), with 10 years time left on them. Payments are being made, and will continue to be made. However, should Detroit receive a bailout for their mis-deeds, criminal activities, and malfeasance, this town will certainly consider the feasibility of not making further payments.
That said, this is just one small American town. It will most certainly have to get in the line of intentional defaults, which will certainly spread like a cancer or pandemic. No doubt thousands of cities, towns, and counties that are making their payments, as agreed, will consider doing the same. Many of those are in worse shape than the town of which I refer. There are hundreds (perhaps thousands) of such places. Many are already on the verge of their own bankruptcy.
This is one of the unintended consequences the Dems (in their lust for the insane) have not considered. One that could very well shut down the entire Federal system. I seriously doubt that TPTwB has thought this out either. For without these (massive) payments, our Federal Government could not long stand.
The Federal Reserve is printing 85 billion dollars per month now, doing its QE. They cannot add another 85 billion (per month) to that number and expect to stand for more than a couple of months. Not that they would even try to be so bold. If the Federal Government passes this bailout, and the other grant recipients decide to begin defaulting like Detroit, the system will breakdown inside of two months. And this doesn’t even consider the effects this would have on our credit ratings around the world and at home!
They (the Federals) have probably never planned for something like this in their balance sheet.
Or have they?
Benjamin Franklin, when once asked what he thought the English government would do about a particular subject, and whether we could yet hope for a resolution to the coming storm, said,
“…given the choice between doing what is right and doing what is not right , His Majesty’s government will take the latter course every time.”
The same can be said about the “System” we have today. Therefore, we can expect the Federal Government, under the auspices of the Kenyan (and in spite of the horrendous consequences), to bail out the failed City of Detroit. How the rest of the country will respond remains to be seen.