With Rep. John Boehner now officially returning as House Speaker, it’s certain that we can look forward to yet another standoff between Boehner and the White House over the nation’s debt ceiling, which the country hit on Dec. 31. The idea of minting a handful of trillion-dollar coins to get around the debt ceiling arose last year, but with the House GOP still holding that one bargaining chip and Treasury Secretary Tim Geithner headed for the exit, the push is on again to make the coin a reality.
Business Insider’s Joe Weisenthal calls the idea “really thrilling,” and Rep. Jarrold Nedler (D-N.Y.) is pushing for the coin as well, seeing as the president is faced with GOP “blackmail to destroy the country’s economy.” In an interview with website Capital, Nadler likened Republicans to the mob: “It’s like in the old gangster movies: ‘That’s a nice economy you got over there, pity if it should happen to blow up — if you don’t do what I want.’ That’s exactly what they’re saying.”
The law allows the Treasury to mint platinum coins in any denomination. The idea was to allow for production of special commemorative coins, but there’s nothing legally to stop the Treasury from minting a few trillion-dollar coins and depositing them in the Federal Reserve. It’s a great idea, right?
No we won’t. That stimulus is going to kick in any second.