“We owe it to ourselves.”
For all those who like to believe that people today are dumber than they used to be, the above statement ought offer fairly compelling counter-evidence.
Once upon a time otherwise intelligent (and educated, which isn’t the same thing) people apparently believed that statement, uttered decades ago by John Maynard Keynes, among others, in reference to the national debt.
But what does it even mean? On the face of it, isn’t it transparent nonsense? Let’s see you borrow $100 from yourself. Does that mean you suddenly have $200?
Ah, but let me explain how it really works.
I take from you $100. That shouldn’t bother you, because “we” - necessarily including you and I - owe it to “ourselves.” Yes?
Now, to pay back that debt, I take from you $100. Because you and I are still part of “we.” And we owed that $100 to ourselves, yes?
So now we’re square. The debt has been repaid. Only a greedy bastard could possibly complain. Gitmo for you, Gordon Gekko!
Isn’t that simple?
Not convinced? I give you the “bailout” - the largest single wealth transfer from the proletariat to the wealthy in known human history. In this case, the transaction above works out as $100 (plus a whole lot more) borrowed from you, and repaid to J.P. Morgan.
Which cosmic larceny, of course, is heartily supported by both presidential candidates.