Posted on 05/14/2024 7:22:10 AM PDT by RomanSoldier19
Last week we supposedly got “good news” on Social Security and Medicare, because the trust funds are in slightly better shape than a year ago.
But here’s the rest of the picture.
Interest payments on the ballooning national debt have now for the first time exceeded every other individual item in the budget except Social Security. Debt interest through the first seven months of this fiscal year has just topped $500 billion, reports the U.S. Treasury — about $4,000 for every household in the country.
Repeat: This is just the interest. Think of the national debt as an interest-only mortgage. Or, better still, as a negative amortization loan, where the bill just keeps getting bigger year after year.
That interest bill was bigger than the entire Medicare budget — a “mere” $465 billion — through the same seven months. It was even bigger than everything we spent on national defense.
(Excerpt) Read more at marketwatch.com ...
Maybe Biden will forgive more debt. That should help.
Kudos to left-wing MW for posting this. Of course, because it’s truth they have to call it “opinion”.
This is the national death-cross. If we can’t pull out of this nose dive, we’ll be WORSE than the Weimar Republic or post-white Zimbabwe.
Ain’t life grand. The younger generations have to find ways
to survive. Us old grunts have about used up our time.
At some point the US government will restructure the debt, default on part of it, or simply print money to retire it.
None of the options are really meaningful since the federal government will still run massive deficits.
I’d be planning a massive sale, to American interets, of tons of “Federal” lands, with 100% of the proceeds NOT to be spent but to go directly to paying down some of the debt.
Take yer pick (more than one answer may be correct).
A. The United States will default on its debt.
B. Congress will raise taxes to pay the debt.
C. The Fed will hyperinflate its way out of the problem. Pay the debt with worthless paper.
Notice there is no “cut spending” option. Even Trump didn’t care about the deficit. So the wild spending will continue no matter who wins in November.
My fearless prediction: B, then C.
C is the usual government solution.
c
I’ll admit to not being an expert on the money supply, etc., but I actually thought the whole system would’ve collapsed by now.
$30 trillion plus-right? There’s that much in our IRA/401k accounts. Problem solved.
That’s a good idea. But we all know how it will turn out. The federal land will get sold, and the money will be set aside in a special account to pay down the debt.
But then the money will be “borrowed” for emergencies (and you can bet there’d be an emergency clause built into the law).
These emergencies will be things like bailing out failing Democrat cities, sending money overseas to support various dictators, etc.
Paying interest to the well connected friends of the administration for money that is given away or spent foolishly is just another way of stealing from taxpayers.
How much of the borrowed money and the interst paid manages to trickle back down to end up in the pockets and bank accounts of the crooked, irresponsible politicians
who toss millions and billions of taxpayer dollars around like confetti?
> $30 trillion plus-right? There’s that much in our IRA/401k accounts. Problem solved. <
Some Democrat congressman actually floated that idea a couple of years ago. Seize the assets in those accounts, and replace them with 30-year government bonds paying 2% per year.
And that wouldn’t be theft, see? Because you are getting those swell government bonds in return.
(From the article):”Interest payments on the ballooning national debt have now for the first time exceeded every other individual item in the budget except Social Security.
Debt interest through the first seven months of this fiscal year has just topped $500 billion, reports the U.S. Treasury
— about $4,000 for every household in the country. “
“Repeat: This is just the interest. (Emphasis mine)
Think of the national debt as an interest-only mortgage.
Or, better still, as a negative amortization loan, where the bill just keeps getting bigger year after year.”
”That interest bill was bigger than the entire Medicare budget
— a “mere” $465 billion
— through the same seven months.
It was even bigger than everything we spent on national defense.”
Do not get me started on our Government’s mis management of this country. Most of them should be hanged.
Same here. But no one inside or outside the government has the stomach to deal with it. It simply can't end well, but how it will end remains a mystery, just like how we've chugged along so far.
yep.
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