If the Treasury would simply write self-redeeming bonds (bonds that automatically redeem themselves) IOW, the bond turns into cash when it matures, it doesn't need to be sent into the Treasury to be redeemed. Just sell that type of bond at auction, the Treasury can simply offer bonds for sale that do that, the bonds are nothing more than legal contracts and they perform according to their offering, so write up bonds that auto-redeem. This is so terribly easy to do, and it can be done any old day the Treasury decides to do it. Once we start selling auto redemption bonds to the FED, our bonds will no longer require redemption from the tax base. This has to be done, because our tax base isn't redeeming our bonds anyway, in fact, we run a deficit every year, meaning the tax base is not even paying for government, let alone redeeming our bonds. But once we no longer need to use new bond sales to redeem mature bonds, then that new bond sales can augment tax revenues and balance the budget. The goal is to eliminate wage taxes. Taxation of wages is the purest form of austerity. It flows your wages directly back to the FED, the worse possible route for money, it does nothing for the economy. Wage taxes are not only unconstitutional, they are stupid, they are killing our economy, and killing the middle class. But how would we balance the budget without wage taxes... the #1 source of revenue for the federal budget? I've done this before, as a sensible guide, how taxation could be restructured and budgeted together with the bond auctions. What needs to be defined is "wages"... and the way to define wages is a logical yearly income that relates to the current value of money. At what point, does a yearly income stop reflecting a wage and start reflecting part of a top tier compensation program? At what tax rate should corporate level income be taxed? So here's my best feel for the way to structure that in today's market: YEARLY INCOME: `````````` ```````` TAX RATE: ZERO TO $250,000 `````````````````````ZERO % $250,000 TO $500,000 ````````````````` 5% $500,000 TO $1,000,000 ``````````````` 10% OVER $1,000,000 ``````````````````````15% Combine whatever that revenue produces with the amount of bond sales needed to balance the budget. The loss of revenue from wage taxes would be offset by the bond auctions no longer requiring redemption from the tax base. The national debt is still active but it is retired aside from the budget. Banks still are able to buy our bonds, the bond market continues unhindered, but wage earners are no longer taxed and the top 1% are no longer over taxed. The big money crowd can afford to pay the tax on their income, so that money will no longer leave our shores... and the wage earners will get to keep their wages, put together, those two should provide a huge amount of capital - going into main street - that isn't happening and hasn't happened for the past 30 years; so it solves the capital investment problem which we need to solve, to rebuild our economic infrastructure. The resultant growth will raise interest rates; IOW, the economic engine gets restarted and we get back in the game. This is how you make America great again... Fix the currency, eliminate wage taxes, bring back capital investment, as Lukey always was saying, this isn't rocket science.