Latest News:  


Obama gov't kills notion of minting platinum coins to avoid debt crisis


09:03, January 14, 2013

WASHINGTON, Jan. 12 (Xinhua) -- The Obama administration on Saturday killed the idea of minting platinum coins in the denomination of 1 trillion U.S. dollars to generate revenue and avoid the looming battle with Republicans on raising the federal government's debt ceiling.

"Neither the Treasury Department nor the Federal Reserve believes that the law can or should be used to facilitate the production of platinum coins for the purpose of avoiding an increase in the debt limit," Treasury Department spokesman Anthony Coley said in a short statement.

Some Democrats and economists, including Nobel Prize-winning economist Paul Krugman, contended that the Treasury could mint a platinum coin with a face value of 1 trillion dollars and deposit it at the Federal Reserve, which would credit the sum to the government's account and continue the government's normal operations.

The U.S. federal government reached its debt limit of 16.4 trillion dollars on December 31, 2012 and the Treasury was taking extraordinary measures to temporarily postpone the date that the United States would otherwise default on its legal obligations.

Democrats and Republicans struck a deal on Jan. 1 to avoid the so-called "fiscal cliff," a combination of tax hikes and automatic government spending cuts. Raising the federal government's debt ceiling would be the next flash point between Democrats and Republicans, as Republicans were urging for steep government cuts in line with a debt ceiling increase.

We recommend:

BJ-GZ HS to add 30b yuan to GDP annually

Great changes in Zhengzhou railway station

Wanda Group ventures onto the global stage

Sports car makers look to mainland market

Top Ten Economic Events in 2012

'Gold road' laid with gold bars


Related Reading

Leave your comment0 comments

  1. Name


Selections for you

  1. Weekly review of military photos

  2. Defense minister vows to boost cooperation with Macedonia

  3. Parade of 1,000 Polleras held

  4. Life is an education

  5. Smoggy weather engulfs large areas

  6. Some 3,000 job vacancies provided

  7. 1st individual user of grid-connected PV power

  8. Jay Chou promotes new album

  9. Lang Lang performs New Year Concert

  10. TCL puts name on Hollywood

Most Popular


  1. Drinking water safety is not a simple problem
  2. Japan's envisaged 'warning shots' dangerous
  3. When Chinese wives meet American mothers-in-law
  4. Will you leave a city because of cold?
  5. Labor system reform renders salute to Constitution
  6. China's yuan unlikely to appreciate sharply in 2013
  7. Good times gone?
  8. Salaries stifled amid sluggish exports
  9. China to surpass U.S. by 2049: report
  10. Proposed Beijing law seeks data on charities

What’s happening in China

China issues yellow fog alert

  1. China's social trust index declines further
  2. Beijing air pollution reaches dangerous levels
  3. 5 dead, 19 injured in SW China coach accident
  4. Survey finds that many Chinese mistrust others
  5. Earthquakes blamed for fatal SW China landslide