say "spending is independent of taxing". Curious Reply: February 14th, 2010 at 11:23 pm Zanon, if there is extra money in the Treasury's account at the Fed, I see 2 alternative scenarios: 1. Treasury can use it to repay some of its debt to the Fed, thus making the money truly to disappear. 2. Politicians come up with new programs and spend it. Which one is more likely scenario? zanon Reply: February 14th, 2010 at 11:38 pm I don't know about "likely". I do know that what politicians can and do spend has no connection to what is in Treasury's account. Just like what politicians can and do spend has no connection to what is in your personal checking account. That is what "independent" means. I cannot help you further on this topic. Curious Reply: February 15th, 2010 at 3:00 pm Does anybody know, if the Treasury has ever repaid any of its debt to the Fed (excluding refinancing)? Re national debt not being a burden on future generations (Fraud #2), I basically agree with Warren, but I prefer putting the arguments a different way. If anyone is interested in a different take on the "future generation" question, see my analysis here: interesting that i've been working on that over the weekend some on plane rides as well, adding the part about all our children will have to do is shift funds from one account to another at the fed, just like we do and our fathers did. to your