I was thinking about this over the past few days…
The LA Times is running its headline today: Ron Paul thinks defaulting isn’t such a bad thing
Now as much hype as the debt ceiling crisis is getting, it is still widely presumed that the government will come up with some agreement to raise the debt ceiling, even it means waiting until the very last minute.
Obama has positioned himself accordingly to shift all of the blame away from him as time is running out. The public overwhelmingly believes that the current stalemate is because of political posturing between both parties, but eventually they’ll pass something to at least kick the can down the road.
I think you can make the case, however, that a default on August 2 can actually be used to empower various tentacles of the NWO, while simultaneously destroying the growing popularity and credibility of Ron Paul and all of his followers.
The fact is we don’t know what will happen if the US defaults on August 2, but what we do know is that the market is rigged. If the manipulators tank the markets and we slip aggressively into a state of panic (much like Lehman in 2008), the media frenzy will shift like hyenas to the blame game – and they’ll have the ammo against Paul and teapartiers with a simple statement like “defaulting isn’t such a bad thing.”
The public doesn’t know economics and doesn’t know the truth, so it’s quite possible that we see a McCarthyism grow against anyone who showed opposition to a debt ceiling increase.
At the same time, the Federal Reserve can rebrand itself as a savior, coming to the rescue of the shrivelingUSeconomy by acting as a “benevolent” lender to shore up confidence in the markets and our balance sheet.