^ this is completely wrong. Banks borrowing from the Fed has nothing to with national debt or funding the government. Only to the extent that banks can buy treasure notes are they involved. I don’t see how corporations are involved at all, except to the extent that the government contracts with them to provide services.
It’s really simply - we don’t collect enough taxes to support our massive military spending and relatively modest welfare state. We’re on the low end for industrialized nations:
https://www.taxpolicycenter.org/briefing-book/how-do-us-taxes-compare-internationally
Did you read what you responded to? I said the problem is allocation, not that banks and corporations increase the debt by simply existing. But they do get access to those funds first, and they use it to multiply their own power over the economy as a whole, and everyone else. Because they control the money right out of the gates.
The problem is that the money doesn't get used to do actual useful things first, which would result in people getting paid and using that money to...pay corporations and banks money. For example, the bailouts that happened in 2009-2010. The banks were essentially handed money. It allowed the banks to fix their books, and allowed them to keep the mortgages/properties. If the money had just been used to pay off houses, it would have accomplished the same thing, and the people wouldn't still owe the banks money. In essence, banks always get paid off, while everyone else is left to rot.
And by the way, the debt actually isn't a problem. Paying it down isn't a necessity. It's just an accounting column that Republicans use to prevent Democrats from spending money on things that Democrats like to spend money on. Republicans get into power, cut taxes, and increase the debt, and voila, nothing happens. Unless there is hyperinflation (and look at interest rates...not even a chance) the current debt is more than manageable.
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