Personally, I think it is already too late. There is no way for our political system to turn this around.
The debt will continue piling up to 200% debt to GDP.
The Fed will have to eventually do yield curve control to keep the interest expense from consuming all tax rev.
— Wall Street Silver (@WallStreetSilv) January 20, 2023
SUSTAINABILITY: Biden’s Proposal: Increase Debt By 57.8%.
If you scroll down to pages 142 and 143 of Biden’s proposal — its last two pages — you will discover Table S-10: “Federal Government Financing and Debt.”
This table tells a different story than Biden himself does.
It includes a subsection that carries the headline: “Debt Outstanding, End of Year.” It shows what the Biden administration predicts the total federal debt would be — under the terms of Biden’s budget proposal — at the end of each fiscal year through 2032.
At the end of fiscal 2021, it indicates, the total federal debt was $28.386 trillion. At the end of fiscal 2032, it predicts, the total federal debt will be $44.797 trillion.
That means that under Biden’s budget plan the federal debt would increase by $16.411 trillion — or 57.8% — in the 11 fiscal years from when he first took office in fiscal 2021 through fiscal 2032.
That is an average increase of $1.49 trillion per year.
At which point, $1.49 trillion might buy you a beetleburger.
Even if you tax every billionaire in America at 100%, it barely makes a dent in the national debt. In the end, the government will be forced to tax everyone to pay the debt.
Btw, $31T doesn’t include unfunded liabilities, which are *much* higher.
— Elon Musk (@elonmusk) January 20, 2023
OOPS! Cost of insuring against US default hast jumped. 1y CDS price now trades at 69bps. pic.twitter.com/UG668a2Nya
— Holger Zschaepitz (@Schuldensuehner) January 19, 2023
Please stop with all the #debtlimit #disaster headlines.
– Yes, we are at a debt limit…again.
– Since there is no will in D.C. to cut spending, they will raise it to accommodate the $1.7 Trillion in the new C.R.
– Dem's and Rep's are NO different – history clearly shows. pic.twitter.com/pPQWWJq63V— Lance Roberts (@LanceRoberts) January 20, 2023
BREAKING NEWS:
SOUTH AFRICAN FOREIGN MINISTER SAYS BRICS IS EXPLORING IDEAS TO CREATE A FAIRER PAYMENT SYSTEM THAT REDUCES DEPENDENCE ON DOLLARS
There it is.
Keyword:
System.— Gold Telegraph ⚡ (@GoldTelegraph_) January 19, 2023
h/t SG