The "Debt Ceiling Scam" - how it is operated.

The National Debt had increased $940B since last year. That is, it increased till March 15,2015 and it has been at 18.152 Trillion Dollars since then. Like so much of the "facts" reported by the Media, it is a fraud, a scam.

Congress passes laws, among them the budget for the various government programs. Most of the programs run a deficit which is financed by borrowing money. The money borrowed is added to the National Debt.

Some of the programs have trust funds, money set aside in computer programs. When the Debt Ceiling is reached, the deficit is financed from draining these trust fund entries. Then it comes budget approval time. In order to have a new budget, Congress raises the Debt Ceiling, which "replenishes" the money spent from the trust funds that were used to maintain the fiction that the Debt Ceiling was frozen.

Are the trust funds real? NO! There is no box where currency is deposited to keep the Social Security Trust Fund.  Numbers are computer entries.

Does the deficit matter? College students are taught that the deficit does not matter because we owe it to ourselves. But, the National Debt is real and we must pay interest on it. Keeping the interest low causes deflation and low growth. That is what we have now. The FED is trying desperately  to raise interest rates to get out of the deflationary cycle without printing more money.