“The only way [the federal] debt is going to be liquidated, which is absolutely necessary over a period of time to get the market working again … is by inflation,” Paul told Lin. “The collapse will come … The debt has to be liquidated. The preference I would have is [for the U.S. government] to quit spending. Balance the budget. Don’t accumulate any more debt. But politically, having spent a little bit of time in Washington, it’s not going to happen.
I’m talking about the inevitable collapse of the economy, because we won’t be able to afford it, and that can come quickly. The debt is there, and we’re not going to pay it off in a normal, honorable, moral fashion. We are going to continue until the market wins — There has to be a default, and the default comes from paying off the bills with printed money.Besides Schiff, Paul joins a number of investors, analysts, and economists expecting doom and gloom for the U.S. economy.
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