McCormick Continues Pushing the Biggest Scam in History

Advocates Raising Debt Limit Against Campaign Promises

Raising the Debt Limit is a Scam on the American People

I’ve written on this subject many times, the “raising the debt limit scam.” And it is a scam, as I will demonstrate below.

The promise of reigning in future spending in exchange for increasing spending limits today is nothing new. It’s like Wimpy promising to pay next Tuesday for a hamburger today. Next Tuesday becomes the following Tuesday and so on. Wimpy got quite fat on hamburgers running that scam.

Click to hear Wimpy’s ongoing promise

The scam runs continuously, year after year. In 2011, speaking to a crowd of angry constituents 7th District US Representative Rob Woodall defended his vote to raise the debt limit claiming he was proud of his vote because it required FUTURE spending to be cut by $2.5 trillion over 10 years. Future spending was never cut.

Representative Rob Woodall on the 2012 Budget

Two years later, Woodall went back to the same well, however this time pushing his ten-year pledge back two more years, claiming the GOP budget to be based upon increased spending today, but “at a lower rate,” thus, “the GOP budget would balance in 10 years and lower taxes.” Here again, Woodall promised to pay for today’s hamburger next Tuesday. When Tuesday rolled around, the deadline became still the next Tuesday. At this point, we’re out to twelve years and no decrease in spending.

Representative Rob Woodall on the 2014 Budget

Fast forward, in 2018, Woodall and his friends did it again, promising a balanced budget in just ten short years if congress would just go ahead and approve the new spending limits today,

Representative Rob Woodall on the 2018 Budger

Ten years plus six years equals sixteen years, Woodall making the same promises each year. And each time the fulfillment of those promises remains a full decade away. Are you seeing a pattern?

Running the boo on constituents for that long must be exhausting work, Woodall finally choosing to retire from serving the public so dutifully in 2020. And so now, apparently, freshman 6th District US Representative Rich McCormick has become Woodall’s protege’, recently announcing to his constituents that raising the debt limit today will result “reining in government spending” tomorrow and would be “a step toward restoring fiscal sanity,” posting on social media the following:

Thus, assuming the same pattern of promises made by his predecessor, Representative Rich McCormick continues to scam local constituents, claiming that raising the debt limit today will result in less government spending tomorrow.

Understand this for what it is, friends. It is a scam. There is no substance to any of these promises. And if you watch the cartoon to the end, Wimpy never pays for decades of hamburgers.

All of this is a wealth transfer operation. Rather than leveling with his constituents, Representative Rich McCormick has chosen to continue running the biggest scam in history of mankind. Anything else he might say would admit that the scam to which I refer has been running our entire lives and there is no plan for it to stop. For any politician who desires to advance in a political career, eventually graduating to become more than a congressperson, there is no choice except to continue the charade. Were McCormick to spill the beans, campaign contributions would dry up, and challengers with big money sponsors would surface to take his place, in the end making all the same promises we’re talking about today.

What Should McCormick Have Said?

If Representative McCormick were really doing the work of the 6th District, rather than becoming an instrument of the world’s biggest scam, he would have posted something like, “The US Treasury does not create money. It only creates debt, against which it borrows privately-issued currency. As long as the US Government operates in this manner, there will be no choice except to raise the debt limit. The problem is not government spending, per se. The problem is the US Government choosing to operate under the auspices of a private banking system to pay its bills. If the US Government really wants to tackle the crippling and unpayable, mounting debt, it should change the system, not raise the debt ceiling.”

Thus, after running on a 2022 platform decrying the national debt and promoting fiscal responsibility, but now agreeing that congress should raise the debt ceiling, Representative Rich McCormick has shown the 6th Congressional District that he has joined the club in Washington. He has shown us that he is not serious about tackling the one issue, which more than any other, is flushing America down the toilet. And that is the issue of where money comes from.

Money-Creation, Who Does It and Who Profits from It?

The money-creation process is actually straightforward. Before the first dollar can be conjured, the US Treasury must create a dollar’s worth of debt to serve as collateral and place the ownership of that collateral in the hands of the New York Regional Federal Reserve Bank. Once received, the “Fed,” as it’s called, will issue one dollar of currency into circulation. When that dollar is deposited into someone’s bank account in a Wall Street bank, that currency becomes what they call, “reserves.” Reserves back the creation of additional dollars, but now at the level of privately-owned Federal Reserve “member” banks, those commonly referred as, “too-big-to-fail,” on Wall Street. One dollar held as “reserves” by Wall Street banks ultimately leverages the creation of up to nine dollars which banks can either issue as loans, or importantly, invest in a bank-owned portfolio of stocks and securities. The fact that stock indices always trend upward over time is a result of this design. The more of the people’s wealth that is transferred to Wall Street, the higher the indices go.

Thus, the US Government does not issue currency. The government, via the US Treasury Department, only issues ever-mounting debt. That debt serves as collateral for a private banking system known as the Federal Reserve to create and issue currency, the payment of which is backed by the American people through the collection of income taxes. Issuing currency, at interest, using a simple double-entry bookkeeping system, is the only real product of Wall Street banks. The entire American money supply is loaned at interest from those banks. Because every dollar in circulation is loaned at interest payable to Wall Street banks, the total American debt, including the portion payable by the US Government, of necessity grows without limit.

The debt must continue to grow because the banks issuing currency do not issue dollars to pay the interest. The only way to pay the interest is for Americans and their government to continually borrow new dollars and pay the interest on the old dollars out of new dollars just borrowed. That is the scam Representative Rich McCormick has decided to help continue. Every day, 24 hours a day, 365 days a year, this system transfers wealth from the American people and their government, to the private banks of Wall Street. There you go. The cat is out of the bag. Now you know the big secret they don’t ever want you to know.

And that brings us back to Representative McCormick. Instead of advocating to increase the US debt limit, which is an artificial construct in the first place, why didn’t he just tell you the truth? Does he not know the truth? Well, recently on Fox News he told host Mike Huckabee, “The Federal Reserve is neither federal nor is it a reserve.” What does that mean? It means that Representative Rich McCormick knows what I just shared about the American money-creation process. When he says the Federal Reserve is not federal, Representative McCormick affirms that it is a private, corporate entity. Thus, rather than fix the problem, for some reason the 6th District Congressman wants to keep the “raising the debt limit scam” going. Why would that be? Good question. Why don’t you ask him?