Sorry for my ignorance but when we borrow what is our collateral?

[ItsTime]

When the US borrows 3 billion from China/any other country what do we put up as collateral?

[ronpaulyourmom]

The de-facto right to claim the property and future labors of the United States citizenry. In other words the right to raise taxes.

[specsaregood]

Well seeing as I recall that China and the Saudis now own about 15% of those mortgage instruments that have been issued, I would say our houses and our land. They are buying us out with the modern day equivalent of beads.

[clintontj72]

You and I are the collateral...yes...let that nasty bit sink in...a portion of your life...yours hours...pledged with minimal say about it...and your kids and grandkids lives...even before they are born...

Isn't Slavery wonderful! :D I thought that they had abolished it...but they just renamed it to Fractional Reserve Slavery...they only take a fraction of your life...about 30% of your adult working hours...so no big deal :D

[extrmmxer]

When the US borrows 3 billion from China/any other country what do we put up as collateral?

The United States Economy......

[Broadlighter]

The IRS confiscates our hard earned money to pay the national debt service. That means that whoever is on the receiving end of our government's treasury notes is entitled to whatever the government collects from us.

If we can't pay, then the government takes away our assests, like home, car, jewelry, other items of value. The ultimate beneficiary is China.

At some point there may not be any wealth for the government to tap.

[Green Mountain Boy]

When Congress borrows money on the credit of the United States, bonds are thus legislated into existence and deposited as credit entries in Federal Reserve banks. United States bonds, bills and notes constitute money as affirmed by the Supreme Court (Legal Tender Cases, 110 U.S. 421), and this money when deposited with the Fed becomes collateral from whence the Treasury may write checks against the credit thus created in its account (12 USC 391). For example, suppose Congress appropriates an expenditure of $1 billion.

To finance the appropriation Congress creates the $1 billion worth of bonds out of thin air and deposits it with the privately owned Federal Reserve System. Upon receiving the bonds, the Fed credits $1 billion to the Treasury's checking account, holding the deposited bonds as collateral. When the United States deposits its bonds with the Federal Reserve System, private credit is extended to the Treasury by the Fed. Under its power to borrow money, Congress is authorized by the Constitution to contract debt, and whenever something is borrowed it must be returned. When Congress spends the contracted private credit, each use of credit is debt which must be returned to the lender or Fed. Since Congress authorizes the expenditure of this private credit, the United States incurs the primary obligation to return the borrowed credit, creating a National Debt which results when credit is not returned.

However, if anyone else accepts this private credit and uses it to purchase goods and services, the user voluntarily incurs the obligation requiring him to make a return of income whereby a portion of the income is collected by the IRS and delivered to the Federal Reserve banksters.

Actually the federal income tax imparts two separate obligations: the obligation to file a return and the obligation to abide by the Internal Revenue Code. The obligation to make a return of income for using private credit is recognized in law as an irrecusable obligation, which according to 'Bouvier's Law Dictionary' (1914 ed.), is "a term used to indicate a certain class of contractual obligations recognized by the law which are imposed upon a person without his consent and without regard to any act of his own."

This is distinguished from a recusable obligation which, according to Bouvier, arises from a voluntary act by which one incurs the obligation imposed by the operation of law. The voluntary use of private credit is the condition precedent which imposes the irrecusable obligation to file a tax return. If private credit is not used or rejected, then the operation of law which imposes the irrecusable obligation lies dormant and cannot apply.

In 'Brushaber v. Union Pacific RR Co.' 240 U.S. 1 (1916) the Supreme Court affirmed that the federal income tax is in the class of indirect taxes, which include duties and excises. The personal income tax arises from a duty -- i.e., charge or fee -- which is voluntarily incurred and subject to the rule of uniformity. A charge is a duty or obligation, binding upon him who enters into it, which may be removed or taken away by a discharge (performance): 'Bouvier', p. 459.

Our federal personal income tax is not really a tax in the ordinary sense of the word but rather a burden or obligation which the taxpayer voluntarily assumes, and the burden of the tax falls upon those who voluntarily use private credit. Simply stated the tax imposed is a charge or fee upon the use of private credit where the amount of private credit used measures the pecuniary obligation.

.........Continued after the link

http://goldismoney.info/forums/t18505-the-american-people-can-close-the-fed-demand-us-treasury-notes.html

[Zydeco]

The ability to tax the labor of the citizens of the United States.

And the military threats (e.g. to countries that don't want to conduct oil purchases/sales in dollars) against countries that don't do what we tell them to do. For this they use the money and bodies of U.S. citizens.

It's a mafia.

[Swmorgan77]

Our own and our posterity's freedom and prosperity.

[Edu]

Human Resources (yes you)

[evadmurd]

you.

[Ball]

You, your children, and everything you own.

Government assets are also used as collateral, such as the gold which was moved from Ft. Knox to Manhattan.

[BillyFromPhilly]

When the US borrows 3 billion from China/any other country what do we put up as collateral?

the taxing power of the United States government

[Goldwater Conservative]

The US Constitution.

[N13]

The collateral is the people. We are owned by the system that taxes the fruits of our labor. Its almost Feudal in nature.

Our governmemnt can borrow because the debt is backed by the ability of the government to repay the debt. This is guaranteed by the IRS and the system is supported by the Rederal Reserve.

Your ID tag is your social security number.

[RPinUptownChi]

the political stability of the United States of America is what makes Treasuries the safest investment in the world...that and the fact OPEC still uses the dollar as its reserve currency...

[evadmurd]

Can you spell indentured servant?

[BillyFromPhilly]

Can you spell indentured servant?

I agree completely. You may be interested in this movie....

http://www.ronpaulforums.com/showthread.php?t=97027

[nc4rp]

Your Soul Bwahahahahaha

[maeqFREEDOMfree]

I agree completely. You may be interested in this movie....

http://www.ronpaulforums.com/showthread.php?t=97027

awesome movie i'm sending it to everyone i work with

[ItsTime]

You posted a link the other day that shows how you can get public money. Thank you for great posts.

Anyone have links to .gov sites that spells out the contracts between the US and China?




When Congress borrows money on the credit of the United States, bonds are thus legislated into existence and deposited as credit entries in Federal Reserve banks. United States bonds, bills and notes constitute money as affirmed by the Supreme Court (Legal Tender Cases, 110 U.S. 421), and this money when deposited with the Fed becomes collateral from whence the Treasury may write checks against the credit thus created in its account (12 USC 391). For example, suppose Congress appropriates an expenditure of $1 billion.

To finance the appropriation Congress creates the $1 billion worth of bonds out of thin air and deposits it with the privately owned Federal Reserve System. Upon receiving the bonds, the Fed credits $1 billion to the Treasury's checking account, holding the deposited bonds as collateral. When the United States deposits its bonds with the Federal Reserve System, private credit is extended to the Treasury by the Fed. Under its power to borrow money, Congress is authorized by the Constitution to contract debt, and whenever something is borrowed it must be returned. When Congress spends the contracted private credit, each use of credit is debt which must be returned to the lender or Fed. Since Congress authorizes the expenditure of this private credit, the United States incurs the primary obligation to return the borrowed credit, creating a National Debt which results when credit is not returned.

However, if anyone else accepts this private credit and uses it to purchase goods and services, the user voluntarily incurs the obligation requiring him to make a return of income whereby a portion of the income is collected by the IRS and delivered to the Federal Reserve banksters.

Actually the federal income tax imparts two separate obligations: the obligation to file a return and the obligation to abide by the Internal Revenue Code. The obligation to make a return of income for using private credit is recognized in law as an irrecusable obligation, which according to 'Bouvier's Law Dictionary' (1914 ed.), is "a term used to indicate a certain class of contractual obligations recognized by the law which are imposed upon a person without his consent and without regard to any act of his own."

This is distinguished from a recusable obligation which, according to Bouvier, arises from a voluntary act by which one incurs the obligation imposed by the operation of law. The voluntary use of private credit is the condition precedent which imposes the irrecusable obligation to file a tax return. If private credit is not used or rejected, then the operation of law which imposes the irrecusable obligation lies dormant and cannot apply.

In 'Brushaber v. Union Pacific RR Co.' 240 U.S. 1 (1916) the Supreme Court affirmed that the federal income tax is in the class of indirect taxes, which include duties and excises. The personal income tax arises from a duty -- i.e., charge or fee -- which is voluntarily incurred and subject to the rule of uniformity. A charge is a duty or obligation, binding upon him who enters into it, which may be removed or taken away by a discharge (performance): 'Bouvier', p. 459.

Our federal personal income tax is not really a tax in the ordinary sense of the word but rather a burden or obligation which the taxpayer voluntarily assumes, and the burden of the tax falls upon those who voluntarily use private credit. Simply stated the tax imposed is a charge or fee upon the use of private credit where the amount of private credit used measures the pecuniary obligation.

.........Continued after the link

http://goldismoney.info/forums/t18505-the-american-people-can-close-the-fed-demand-us-treasury-notes.html

[Revolutn]

Your labor.

[ValidusCustodiae]

Human Resources (yes you)

Correct.

Get Ron Paul elected, as well as Ron Paul Republicans. Cuz slavery isn't very fun. The money the United States has borrowed it has borrowed against the very flesh and blood of its people. Go look in the mirror.

Say hello to collateral.

[jp5065]

you have a birth certificate for a reason! ;)