There are only two ways a government can deal with a titanically crushing debt burden:  pay it off with hyper-inflated currency (thus reducing the debt to pennies or even fractions of a penny on the dollar), or default on it.

The U.S. government should default on its debt.

The 12+ trillion dollar federal debt is unsustainable as it is, and the Democrats are adding trillions more.  It will bankrupt us, our children, and our grandchildren to try and pay it back.  So we should walk.

What the U.S. could do is a selective default that would pay off small bondholders – anyone who holds, say $10 million or less in treasuries.   Everyone else – the Goldmans and giant banks playing the ripoff game of borrowing fed funds at almost zero interest and buying treasuries paying 3% while refusing to loan money commercially, the sovereign bondholders, most especially the Chicoms – they get squat.

Even the whisper of this will give apoplexy to guys running the big financial institutions:  “No one will loan the U.S. any money!  It will be catastrophic!”

But that’s what we want.  The goal of Default is to make the U.S. government incapable of borrowing money for a decade or two, forcing it to live within its means.  Default is really the only way to radically prune the federal bramble bush back to a constitutional level.

Even the steady insistent mention of U.S. default advocated by Republican politicians could drive China and others into a panic and a frantic sell-off of Treasuries.  2009 is already “the worst year since 1978″ for the sale of U.S. securities, according to Bloomberg.  2010 could be far worse.  We should work to make it so.

If we work smart with untiring perseverance, we can slog through the mud of 2010 to reach a triumphal summit.  There will be many bright spots along the way, especially as Obama’s anti-American incompetence disgusts more and more Americans and he continues to plummet in the polls.

Getting to next November will seem like it is taking forever – but we will get there.  The future that we find there is up to us.

Originally written by Jack Wheeler for To The Point News.