Flip of a $1 Trillion Coin; Ridiculous Idea Commemorates Obama's Overspending
Byline: THE WASHINGTON TIMES
The Obama administration has finally put to rest the absurd plan to mint a $1 trillion coin to evade spending limitations, but the idea remains a sad sign of the times. Congressional Republicans renewed their demand for dollar-for-dollar cuts in federal outlays in return for any increase in the debt ceiling next month. President Obama's Democratic allies imagined a special platinum coin might be used to avoid any interruption in their spending spree.
On Friday, Senate Majority Leader Harry Reid and his leadership team encouraged Mr. Obama to take any lawful steps to ensure that America does not break its promises and trigger a global economic crisis - without congressional approval, if necessary. The letter did not specify the form these executive actions might take, but some Democrats are running with the idea of minting big money.
There is specific statutory authority that says that the Federal Reserve can mint any non-gold or silver coin in any denomination, Rep. Jerrold Nadler of New York told the website Capital New York on Jan. 2. All you do is you tell the Federal Reserve to make a platinum coin for $1 trillion, and then you deposit it in the Treasury account, and you pay your bills. When the the ranking member of the Judiciary Committee's Subcommittee on the Constitution was asked if he was serious, he replied, It sounds silly but it's absolutely legal.
Rep. Greg Walden intends to introduce a bill early as Monday to block this scheme. People are looking for phony ways out of serious problems facing this country, the Oregon Republican told The Washington Times. My bill will take the coin gimmick off the table so we can seriously get to work on reducing spending and balancing our budget. …