There is a lot you have gotten right in this piece, but also a lot you got wrong with some common misperceptions of our monetary system.
Specifically, it’s the people who control the private banks that own the Federal ReserveTM.
Our system depends largely upon dual entry spreadsheet accounting practices. That requires a well-defined separation between government and non-government sectors that looks deceptively like control of banking is the purview of private banking interests. However, make no mistake about Congress' control of our monetary system.
The head of the Federal Reserve is appointed by the Executive branch and approved by the legislative branch. All regional Fed appointments are also approved by the Executive after each regional bank makes its selection. Money is a product of law, so it is lawmakers that control it.
Picture yourself on a deserted island with ten strangers.
A murderous gangster pulls up on a hyper-yacht and throws you all ten $1 bills.
What you are leaving out of this imaginary scenario is that Congress creates the "real" money needed to net retire those debts when it deficit spends into your new economy. When it does so, it creates payments for the real resources and labor it demands from the private sector.
Or, it can claw back all such net payments in taxation with a "balanced" budget, which sets up the condition you describe. This is where people who don't understand money go wrong when they see their government as just another "user" of money and not the sole net creator of a unit of measure demanded to pay taxes and net retire private sector bank debt.
No, the murderous extraction gangster isn’t the big bad US Government — it’s the billionaire elites who own said US Government.
Specifically, it’s the people who control the private banks that own the Federal ReserveTM.
The lack of understanding surrounding our money and its creation is the real culprit. The buck, however, stops with Congress for allowing the banks to have so much control and refusing their Constitutional mandate to create and manage the money supply "for the general welfare".
The economy can't grow without adding to the money supply and only Congress can do that. Deficit spending, the boogeyman of political rhetoric, is almost always required to maintain an economy that isn't dependent upon private sector bank debt and a continually growing GDP.
