Highway To Hell! Trillion Dollar Budget Deficits For As Far As The Eye Can See While The Fed Payments To Treasury For Losses Hits -125 BILLION (Unfunded Promises To The Masses Now $212 TRILLION And Growing!)

Confounded Interest ^ | 12/11/2023 | Anthony B. Sanders

[Kaiser8408a]

We are on a Highway To Hell! Massive Federal Budget deficits and staggering payments to Treasury from The Fed (losses on balance sheet) and $212 TRILLION in unfunded promises to the non-elites.

Under Modern Monetary Theory (or print money without consequences), we are seeing trillion dollars budget deficits with no end in sight. Nothing has been the same since the financial crisis of 2008 with The Fed’s massive intervention.

Then we have The Fed paying an ever growing amount to US Treasury for losses on their huge balance sheet.

I would love to get US Treasury Secretary Janet Yellen in testimony and ask her “How are we ever going to afford $212 TRILLION in unfunded promises? Her response will likely be “We will just keep running larger and larger deficits.” Sigh.

Meanwhile, Fed Chair Powell is hunting that wascally inflation.

[Yo-Yo]

The Highway to Hell is paved with the reckless spending by both the Democrats AND the Republicans.

We need a Balanced Budget Amendment NOW. (But I fear it's too late...)

[Jim W N]

The Right loves to complain but isn’t big on the answer.

Well, HERE’S the ANSWER...AGAIN...:

DISMANTLE AND DESTROY THE $3+ TRILLION 80%+ UNCONSTITUTIONAL PORTION OF THE FEDERAL GOVERNMENT AND REINSTATE THE CONSTITUTION AS THE SUPREME LAW OF THE LAND!!!

[devane617]

Just got mu auto and home insurance renewals today...The economy—I’m conceived—is about to crash. I have no clue how the middle class survives...

[Aevery_Freeman]

Unfunded mandates == your^* Social Security

^*(you paid it in)

Now Big Fed is ginning up generational hatred so that Congress will refuse to fund Social Security payments.

Division and devastation, the legacy of Socialism (even if the call it Muh Democracy).

[Leaning Right]

> How are we ever going to afford $212 TRILLION in unfunded promises? <

I’m not the Treasury Secretary (yet), but I’ll field that one. As I see it, there are four ways out:

1. Balance the budget, with a considerable amount left over to slowly pay down the debt.
2. Default on the promises, and default on the debt.
3. Institute confiscatory new taxes. Seize retirement accounts. Replace them with long-term government bonds paying 1%.
4. Start printing money without restriction. Pay off all obligations. This will of course cause wild hyperinflation.

I’m going to call my bookie, and bet on #4. But it could be #3 then #4.

[ViLaLuz]

By design.

[ProtectOurFreedom]

If we passed the BBA, who would enforce it? How?

A clue: There’s no way to enforce it. And we’ve had totally reckless Congresses the past many decades who will continue their vote buying. Every year, it costs more to buy the votes.

[xp38]

I got your trillions right here

[al baby]

What is after A Trillion. ?

[aquila48]

Theoretically this should lead to much higher interest rates and inflation and a market crash.

But the inflation and interest rates are nothing out of the ordinary. We’ve had much worse.

And the stock market is at its all time high.

How come we’re not seeing all the doom and gloom Sanders has been predicting for years?

[Yo-Yo]

If we passed the BBA, who would enforce it? How?

All spending is in the form of laws passed by the House and Senate, and signed by the President (or by overridden veto.)

Therefore, SCOTUS would be able to strike any unconstitutional spending law. If the government ignores a SCOTUS ruling and continues to issue new debt, then we have problems much bigger than deficit spending.

[central_va]

What does insurance have to do with it?

[neverevergiveup]

What we need fundamentally is a return of patriotism and US nationalism - such that we elect people who will do our will in:
- returning core industry to the US
- redefining US manufacturing to the highest quality and most modern in the world
- redefining US education to ensure solid fundamentals
- teaching about all the good the US has done in the world, instead of all the anti-US pro-Marxist drivel we teach and propagate now.
- Controlling our border, and emphasizing immigration that strengthens the US
- Disincentivizing dependence and sloth
- etc.

[babble-on]

We have simply GOT to do a better job enforcing the tax laws.

I back the blue!

[cgbg]

We will have hundreds of colonies on Uranus before the budget gets under control....

[dfwgator]

The problem is our current demographics will simply not support this.

That’s why they say, “Demographics is Destiny”, and now, it’s too late.

[Leaning Right]

> If we passed the BBA, who would enforce it? <

To which I’d add, you can be sure that such a law (or Constitutional amendment) would have “emergency” loopholes. Perhaps the BBA could be suspended in the case of a national emergency.

And then we’d have nothing but one “national emergency” after another.

Yep, those politicians are clever fellows.

[cgbg]

Understanding economics is about lag times.

It takes years for a higher cost of capital to effect business decision-making.

A good example is commercial real estate. Many properties had low interest fix rate loans for five or ten years. When those loans need to be refinanced at five percent higher rates the owners will be burnt toast.

Patience, patience.

[Jim W N]

We will have hundreds of colonies on Uranus before the budget UNCONSTITUTIONAL GOVERNMENT SIZE AND SPENDING gets under control....