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Podcast: PRay TeLL, Dr. Hash
Episode: 291 Government Bonds
Description: Government has no money. That simple fact seems to escape most people. The only money Government has is the money it collects from taxpayers. Anticipating that revenue, governments borrow money, proposing to pay it back from tax receipts; the government can bond taxpayers to private money-lenders, which is why the concept is called a “bond.” Just thinking about this concept for a moment reveals several egregious problems: first, there is no connection between who benefits from the money and who is obligated to pay it back; second, a significant chunk of the money is siphoned off by the Investment Bank...