National Debt
- Thread starter TigerGrowls
- Start date
So we are in aggreement that Donnie didn't help the national debt. Thank you.
In fact, it's worse than that. He managed to increase the deficit after inheriting a strong economy from his predecessor.
Go ahead and tell us why also in totality then since you appear to have it down.
To make an attempt at a practical answer, when the interest payments get too high. What qualifies as "too high?" No idea.
We'll probably default, but I don't believe it'd be catastrophic. Too much economic potential in the US
We need to take Warren Buffets advice, and We The People should demand, a law which states that if a balanced budget is not passed all current members of congress are ineligible for re-election.
I think we may as well have term limits anyway.
I don't believe that the government should be trying to turn a profit, so to speak, but we can't have the deficit spiral out of control either.
The U.S. national debt is rising by $1 trillion about every 100 days
The debt load of the U.S. is growing at a quicker clip in recent months, increasing about $1 trillion nearly every 100 days.
The nation’s debt permanently crossed over to $34 trillion on Jan. 4, after briefly crossing the mark on Dec. 29, according to data from the U.S. Department of the Treasury. It reached $33 trillion on Sept. 15, 2023, and $32 trillion on June 15, 2023, hitting this accelerated pace. Before that, the $1 trillion move higher from $31 trillion took about eight months.
U.S. debt, which is the amount of money the federal government borrows to cover operating expenses, now stands at nearly $34.4 trillion, as of Wednesday. Bank of America investment strategist Michael Hartnett believes the 100-day pattern will remain intact with the move from $34 trillion to $35 trillion.
“Little wonder ‘debt debasement’ trades closing in on all-time highs, i.e. gold $2077/oz, bitcoin $67734,” he wrote in a note Thursday.
Spot gold is currently hovering around $2,084 an ounce, while bitcoin was recently around $61,443. The cryptocurrency in February closed out its best month since 2020, briefly trading above $64,000 on Wednesday before pulling back. Inflows into crypto funds are on course for a “blowout year,” with an annualized inflow of $44.7 billion so far this year, Hartnett noted.
Moody’s Investors Service lowered its ratings outlook on the U.S. government to negative from stable in November due to the rising risks of the country’s fiscal strength.
“In the context of higher interest rates, without effective fiscal policy measures to reduce government spending or increase revenues,” the agency said. “Moody’s expects that the US’ fiscal deficits will remain very large, significantly weakening debt affordability.”
The interest on the US national debt is already at $1 trillion per year.
As more older debt matures and needs to be refinanced at the new higher rates, the projected interest payments increase to between $1.2 trillion to $1.6 trillion, depending on if the Fed cuts rates and by how much.
Interest on the national debt is likely to become the biggest item in the budget within a few years. Only social security and Medicare currently cost more.
Remember how Biden's signature [failed] legislation was Build Back Better, which included trillions of dollars of entitlement expansion? Imagine the additional impact on our debt and inflation.
Thank God for Joe Manchin.
This current path is unsustainable imo. Something big getting ready to occur that's probably not good.
Everyone is posting that the annualized number is about $1.059 trillion.
However the interest on the debt for just May 2024 was $103 billion. Debt will grow another $2 trillion or more in the next 12 months.
We are already on pace for over $1.2 trillion in annualized payments on the debt. Within the next few years, interest on the debt will exceed Social Security payments and become the largest item in the budget.
Your boy better do some serious budget tightening if he gets in. He didn't last time.
Interesting.
Donald Trump Is Talking About Plans The Eliminate The Income Tax
El Salvador's President Nayib Bukele Says The IRS & Excessive American Tax System Are COMPLETELY UNNECESSARY
“You pay high taxes only to uphold the illusion that you are funding the government, which you are not”
“The financial situation of the United States. When I talk to my conservative friends right here, they always tell me that the problem is high taxes, but they're wrong. Of course, high taxes are extremely high here in the United States. I give you that. You're right in that. But that's not the real problem.
The real problem is not the high taxes themselves, but the fact that they are not even really funding the government. But even those high taxes, higher than a lot of places in the world, not even those taxes are really funding the government. So who's financing the government? Government is financed by Treasury bonds, paper.
And who buys the Treasury bonds? Mostly the Fed. And how does the Fed buy them? By printing money. But what backing does the Fed have for that money being printed?
The Treasury bonds themselves. So, basically, you finance the government by printing money out of thin air. Someone could ask someone could ask, well, so if the government can print the limited amounts of money out of their error, why did they collect taxes? I mean, in theory, it would make sense. Right?
If they can put unlimited amounts of money, why would they need taxes for? The answer is simple, but it's very shocking.
The real problem is that you pay high taxes only to uphold the illusion that you are funding the government, which you are not. It's shocking, but it's true.
The government is funded by money printing, paper backed with paper, a bubble that will inevitably inevitably burst.
The situation is even worse than it seems because if most Americans and the rest of the world were to become aware of these bars, confidence in your currency would be lost. The dollar will fall and the western civilization with it.
If the next president of the United States doesn't make the necessary policies and the structural changes, sooner or later that bubble will burst.
There's still time. You don't have to make the same mistakes we did in the sixties seventies. You can still jump before the water boils.”
Donald Trump Is Talking About Plans The Eliminate The Income Tax
El Salvador's President Nayib Bukele Says The IRS & Excessive American Tax System Are COMPLETELY UNNECESSARY
“You pay high taxes only to uphold the illusion that you are funding the government, which you are not”
“The financial situation of the United States. When I talk to my conservative friends right here, they always tell me that the problem is high taxes, but they're wrong. Of course, high taxes are extremely high here in the United States. I give you that. You're right in that. But that's not the real problem.
The real problem is not the high taxes themselves, but the fact that they are not even really funding the government. But even those high taxes, higher than a lot of places in the world, not even those taxes are really funding the government. So who's financing the government? Government is financed by Treasury bonds, paper.
And who buys the Treasury bonds? Mostly the Fed. And how does the Fed buy them? By printing money. But what backing does the Fed have for that money being printed?
The Treasury bonds themselves. So, basically, you finance the government by printing money out of thin air. Someone could ask someone could ask, well, so if the government can print the limited amounts of money out of their error, why did they collect taxes? I mean, in theory, it would make sense. Right?
If they can put unlimited amounts of money, why would they need taxes for? The answer is simple, but it's very shocking.
The real problem is that you pay high taxes only to uphold the illusion that you are funding the government, which you are not. It's shocking, but it's true.
The government is funded by money printing, paper backed with paper, a bubble that will inevitably inevitably burst.
The situation is even worse than it seems because if most Americans and the rest of the world were to become aware of these bars, confidence in your currency would be lost. The dollar will fall and the western civilization with it.
If the next president of the United States doesn't make the necessary policies and the structural changes, sooner or later that bubble will burst.
There's still time. You don't have to make the same mistakes we did in the sixties seventies. You can still jump before the water boils.”
I'm not sure if everyone realizes how bad this situation is. We are in for some rough times no matter who wins.
