Posted on 12/21/2024 11:32:48 AM PST by ChicagoConservative27
More than a few people have said that I’m the boy who cries wolf. The reason is my decades-long concern with the ever-growing U.S. government debt.
For years — in Congress and as a governor — I have sounded the alarm about our federal government’s corrosive habit of spending more than it takes in and its need to borrow ever more money to plug that gap. Today, the federal government budget deficit is $1.8 trillion, and the outstanding government bonds and other forms of borrowing — the national debt — totals $36 trillion.
And yet the republic still stands, I am constantly reminded. “John, what’s the big deal? A little debt doesn’t hurt. The government can handle it.”
Until it can’t. And when things finally turn for the worse, the debt will be the wolf that doesn’t just eat me, but all of us.
(Excerpt) Read more at thehill.com ...
No, it’s decades past time and we’ve heard this song and dance before. Shaddup.
If it didn’t even matter that you were an anti-Trumper anymore, why even opine
Who? (But he’s right... at least in the posted portion of his essay).
“ And when things finally turn for the worse, the debt will be the wolf that doesn’t just eat me, but all of us.”
——————-
The world’s total debt is somewhere in the neighborhood of $380 Trillion.The western world’s debt makes up most of that. Bodes not well for the Western world, especially the US.
Never-Trump clown speaks.
Go away.
Mathematically impossible to pay off. $157 Trillion when unfounded liabilities are factored in.
https://www.truthinaccounting.org/about/our_national_debt
Sit down and shut up, John Boy
Yup. I would be very interested in a serious study that looked at what would happen if we defaulted and just dealt with the fallout.
People say — You can’t default! It’s impossible! It would destroy the economy!
On the other hand — You can’t keep racking up higher deficits! It’s impossible! It’s going to destroy the economy!
One of these statements is incorrect. You either think debt is fine and not a problem, or you want a balance sheet that is cleansed of debt. Pick your poison.
The total debt and unfunded liabilities is $300 trillion.
393 days to $40T
FY 2025 $3.5T
And now they’re worried? Harrumph
Who woke this chow hound from his political grave?
Part of the process of Draining The Swamp is to ensure Never Trump Swamp Filth spend all their time in court paying legal fees for cases that they may or may not win.
Doesn’t matter what the case is. The process is the punishment. Legal fees destroy.
As for debt, and what happens if you default — works like this.
Of the $37T, about $6T is owed to the Fed. They refund the interest so ignore that.
Only about 10T is owed internationally, and that can’t be ignored but let’s set it aside for a moment.
The vast majority is owed to US citizens. Their 401K, their pension funds, their IRAs — all have some portion of their holdings required via bylaws to be in Triple A instruments and those are usually US govt debt.
So . . . defaulting on the debt essentially is erasing assets from Americans. Debt holdings are an asset.
You default, the citizenry is gutted.
Now, the US citizens who will not be gutted as far as assets are concerned would be those without pension plans or 401Ks and IRAs. That would be the very poor. Of course, they will stop getting influx because unless the Fed embarks on the mother of all QE, there will be no funding for the US govt since no one will lend to them anymore.
Default is a nice word. The details just don’t work.
Don’t sneer at John for eating like a pig!
He’s a participant in an eating contest.
Says the RINO.....
We have a two-party political system.
Which party is fiscally conservative?
I have proposed a value added tax payable by corporations.
In year one, it might be payable by multi-national corporations doing business in a VAT country.
In year two, it might be payable by corporations doing business in more than one state.
In year three, it might be payable by all corporations, including S corporations.
At an 8% tax rate, a federal corporation VAT might yield $1.6 trillion/year.
That would be enough to annually pay $1 trillion in interest and $600 billion for debt payoff.
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