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Stop! Stop! Stop! US Public Debt Will Reach $60 Trillion By End Of 10-year Budget Window
Confounded Interest ^ | 05/05/2024 | Anthony B. Sanders

Posted on 05/05/2024 7:47:22 AM PDT by Kaiser8408a

Stop! Stop! Stop! … all the printing!

These people have to be stopped!

We are talking about the nation’s unhinged monetary politburo domiciled in the Eccles Building (The Federal Reserve), of course. It is bad enough that their relentless inflation of financial assets has showered the 1% with untold trillions of windfall gains, but their ultimate crime is that they lured the nation’s elected politician into a veritable fiscal trance. Consequently, future generations will be lugging the service costs on insuperable public debts for years to come.

For more than two decades these foolish PhDs and monetary apparatchiks drove the entire Treasury yield curve to rock bottom, even as public debt erupted skyward. In this context, the single biggest chunk of the Treasury debt lies in the 90-day T-bill sector, but between December 2007 and June 2023 the inflation-adjusted yield on this workhorse debt security was negative 95% of the time.

That’s right. During that 187-month span, the interest rate exceeded the running (LTM) inflation rate during only nine months, as depicted by the purple area picking above the zero bound in the chart, and even then by just a tad. All the rest of the time, Uncle Sam was happily taxing the inflationary rise in nominal incomes, even as his debt service payments were dramatically lagging the 78% rise of CPI during that period.

Inflation-Adjusted Yield On 90-Day T-bills, 2007 to 2022

What is also becoming more apparent by the day is that the money-printers at the Fed have led Washington into a massive fiscal calamity. It is only a matter of time, therefore, until the excrement hits the fan like never before.

(Excerpt) Read more at confoundedinterest.net ...


TOPICS: Business/Economy; Food; Government; Politics
KEYWORDS: debt; deficit; inflation
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1 posted on 05/05/2024 7:47:22 AM PDT by Kaiser8408a
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To: Kaiser8408a
"After World War I, the German government had very little money left. To pay its bills, Germany printed more money with really big numbers on it. This new money was almost worthless, though, because the prices of things went up too. In 1923 Germans needed a wheelbarrow full of this money to buy a loaf of bread."

https://americanhistory.si.edu/collections/nmah_1972407

2 posted on 05/05/2024 7:51:33 AM PDT by Dalberg-Acton
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To: Kaiser8408a
Stop what?

Answer: STOP UNCONSTITUTIOAL GOVERNMENT SPENDING, THE SOURCE OF INFLATION AND OUR DEBT, BEYOND THE GDP.

3 posted on 05/05/2024 7:52:19 AM PDT by Jim W N (MAGA by restoring the Gospel of the Grace of Christ (Jude 3) and our Free Constitutional Republic!)
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To: Kaiser8408a

Politicians from both parties are equally guilty of the coming economic debacle, some of them are too stupid to realize what they are doing, others are perfectly aware of what they are doing and are deliberately trying to blow up the economy.


4 posted on 05/05/2024 7:52:20 AM PDT by srmanuel
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To: Kaiser8408a

Hello Germany 1932! We are catching up with their records.


5 posted on 05/05/2024 7:53:47 AM PDT by silent majority rising (When it is dark enough, men see the stars. Ralph Waldo Emerson)
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To: silent majority rising

Indeed we are catching up with a lot of things that happened in Germany in the 1930’s.


6 posted on 05/05/2024 7:57:43 AM PDT by Vaduz
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To: srmanuel
Politicians from both parties are equally guilty of the coming economic debacle, some of them are too stupid to realize what they are doing, others are perfectly aware of what they are doing and are deliberately trying to blow up the economy.

Very true. And then there are those who simply don't care. They have all the goodies of office right now: power, money, girls. Their philosophy is " apres moi, le deluge."

7 posted on 05/05/2024 8:01:43 AM PDT by Blennos ( Byaasearepeat itnbelow.)
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To: Kaiser8408a

This condition is 100% related to Biden’s massive multi-trilion$ domestic spending programs. Meanwhile the populist controlled GOP house members rail and scream against the pittance, paltry aid to places like Israel and Ukraine, instead of the U.S. border, when there are trillions that can be denied for Biden’s domestic spending and some that reduction sent to the border, but where is MTG holding everything up for that?? She’s not and neither are most of the other psuedo-conservative populists in Congress, They rail against “Ukraine, Ukraine” when they should be stomping their feet over Biden’s trillions in inflationary spending and borrowing for his domestic programs. THAT is what is hurting us the most.


8 posted on 05/05/2024 8:04:18 AM PDT by Wuli ( )
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To: Dalberg-Acton
It's ok as long as there are no mean tweets from Orange Man
cheese-burger

9 posted on 05/05/2024 8:07:24 AM PDT by The Louiswu (Pray for Peace in the world.)
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To: Jim W N
STOP UNCONSTITUTIOAL GOVERNMENT SPENDING,

To do so would cut off the money to tens of millions of recipients, citizens and illegals alike.

You know there'll be riots. Mass looting. Home invasions. A collapse of the supply chain. Leading to more savage riots.

At this point, the oligarchs are just trying to keep things stable for as long as they can, while they prepare their billionaire bunkers.

Eventually, things will fall apart, big time.

10 posted on 05/05/2024 8:07:28 AM PDT by Angelino97
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To: Kaiser8408a

Gold is starting to make some sense.


11 posted on 05/05/2024 8:10:22 AM PDT by Vermont Lt (Don’t vote for anyone over 70 years old. Get rid of the geriatric politicians.)
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To: Wuli

“ This condition is 100% related to Biden’s massive multi-trilion$ domestic spending programs.”

This is delusional thinking. Most of the inflation from the Biden ear is from spending that was approved from the Trump administration. The current bout is from the “bipartisan Infrastructure” bill.

Spending has been out of control since the Eisenhower administration. Suggesting this is a partisan issue suggests one side or the other can fix it. For the past 70 years that has not been true.

Too many people believe politics is akin to following your favorite sports team. They choose their team and then think the refs are out to get them when they screw up.

Trumps policies were better—but he is a huge fan of leveraging debt.


12 posted on 05/05/2024 8:15:45 AM PDT by Vermont Lt (Don’t vote for anyone over 70 years old. Get rid of the geriatric politicians.)
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To: Jim W N

Congress has completely abdicated its responsibility for managing the people’s money. If you go back to the Congressional records in the early 1800’s you will see Congress scrutinized expenses such as buying a new canon for a fort.

Today, they simply turn over the budget to staff members who collude with lobbyists, the federal bureaucracy, social justice groups, corporations, and other interested parties to create huge pork fill omnibus spending bills to which Congressmen and Senators attach their own earmarks. At the very last minute the bill is trotted out, with the media doing its role in creating hysteria the government is going to be shut down if this bill isn’t passed. The bill passes, and your GOP Congresscritter says he opposed it and did his/her best but couldn’t allow the government to shutdown. Your Congressperson then goes out with lobbyist friends to enjoy a private obscene dinner and party to celebrate once again pulling the wool over the eyes of the sheep.

Rinse and repeat. Until the country implodes.


13 posted on 05/05/2024 8:16:08 AM PDT by Soul of the South (The past is gone and cannot be changed. Tomorrow can be a better day if we work on it n)
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To: Soul of the South

And remember that the way the media is , government shutdowns are always blamed on the Republicans.

Facts don’t matter in such a case. It doesn’t matter if the Democrat is President, Or Democrats in Congress are doing different things, the blame for the shutdown will always fall on Republicans. And perhaps that fact intimidates Republicans for their reactions to such situations.


14 posted on 05/05/2024 8:22:12 AM PDT by Dilbert San Diego
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To: Kaiser8408a; All

Completely useless statistic. What kind of debt is it? Politicians are such shady people.


15 posted on 05/05/2024 8:26:30 AM PDT by wiseprince (Me)
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To: Jim W N
Answer: STOP UNCONSTITUTIOAL GOVERNMENT SPENDING

The spending is a symptom. The underlying and Unconstitutional part is that we are using fake currency, faux money, debt-based, principal ALWAYS accumulating, interest always being paid (think IRS 1040). Federal Income Taxes do NOT pay a plug nickel for any federal program (see Grace Commission report).

Constitutional money has been tried, to no avail. Have had it for short periods (Lincoln, Kennedy). There is an effort today to re-institute Constitutional Money (see 2025 Treasury dollars, usdebtclock.org).

Fairy Goldmother

THE NEW US DOLLAR

16 posted on 05/05/2024 8:26:58 AM PDT by C210N (Mundus vult decipi, ergo decipiatur.)
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To: C210N

Constitutional Money:

Art 1, Sect 8:

To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;

To provide for the Punishment of counterfeiting the Securities and current Coin of the United States;

Art 1, Section. 10.

No State shall enter into any Treaty, Alliance, or Confederation; grant Letters of Marque and Reprisal; coin Money; emit Bills of Credit; make any Thing but gold and silver Coin a Tender in Payment of Debts; pass any Bill of Attainder, ex post facto Law, or Law impairing the Obligation of Contracts, or grant any Title of Nobility.


17 posted on 05/05/2024 8:29:13 AM PDT by C210N (Mundus vult decipi, ergo decipiatur.)
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To: Vermont Lt

“This is delusional thinking. Most of the inflation from the Biden ear is from spending that was approved from the Trump administration. “

No. 2020 was and should have been a one-off year due to the initial things done for the “pandemic”. But Biden came along and has kept the spending at that level and higher, unnecessarily in the absence of any “emergency”. He’s spending like WWII with no WWII - just his massive “green” agenda in EVERYTHING.

The delusional thinking is that any “foreign aid” is at the core of the real spending problem.


18 posted on 05/05/2024 8:30:30 AM PDT by Wuli ( )
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To: Kaiser8408a
We're adding a trillion dollars every 100 days thanks to Mike Johnson.

Absolutely nothing will be done about the debt unless we have a majority in both the House and Senate like MTG and Rand Paul.

19 posted on 05/05/2024 8:30:36 AM PDT by Kazan
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To: Wuli
But, wasting $200 billion on Ukraine isn't contributing to problem? You're a moron. THERE IS NO NATIONAL INTEREST IN UKRAINE. The only interest politicians have there is to enrich themselves and the defense industry that is paying them off.

And, MTG HAS SPOKEN OUT ON THE DEBT.

How dare you attack one of the few Republicans that does give a damn about it and the country.

You Zeepers are pathetic scum.

20 posted on 05/05/2024 8:32:58 AM PDT by Kazan
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