Saved by Kaustubh Sule
Spiralling Government Debt Isn’t a Choice
A country with well over 100% debt-to-GDP has two main choices in this scenario. The first choice is that they can keep interest rates very low despite periods of price inflation that occurs, and debase all of the currency holders and bond holders. Japan is far enough into fiscal dominance that they’ve chosen that route. The second choice is that
... See moreLyn Alden • September 2024 Newsletter: Why Nothing Stops This Fiscal Train
... See moreCongress can manipulate baselines, set fake expiration dates, and ignore their own budget rules—but they can't repeal the laws of economics or math. Deficits will continue to rise—from $1.8 trillion today to a projected $3.6 trillion in a decade. Another $25 trillion in 10-year borrowing will push interest rates higher and bury the budget under
While many focus on our rising interest costs to service our rising debt amounts I dont much care. We pay our interest to our citizens. Our existing debt service costs are mostly just a small symptom of the theft. The big thing to worry about is our primary deficit. That has grown far faster than our interest cost. Each year our primary deficit
... See moreAndy Constan on Trump Tariffs
... See moreThe publicly held federal debt, hovering near 100 percent of GDP, has reached heights last seen at the end of World War II. Unlike fighting back against totalitarianism, today’s debt finances political convenience, short-term gratification, and avoidance of responsibility. Congress borrows because borrowing is easy, popular, and largely invisible