Free Republic

Bridgewater founder Ray Dalio said Moody’s downgrade of the U.S. credit rating does not take into account the risk of the federal government printing money to pay its debt. Bond holders would suffer losses due to the depreciating value of the money they are getting paid, Dalio said. ... Bridgewater Associates founder and billionaire Ray Dalio warned Monday that Moody’s downgrade of the U.S. sovereign credit rating understates the threat to U.S. Treasurys, saying the credit agency isn’t taking into account the risk of the federal government simply printing money to pay its debt. “You should know that credit ratings...

Billionaire investor Ray Dalio is warning about a 34 trillion dollar debt fueled tsunami that is about to strike the US economy. With each passing second, this storm is getting larger and larger, making it even more painful when it finally does hit. The fallout of which will likely be felt for generations. With each passing second, the US national debt grows. Adding fuel to the potential debt crisis Dalio mentioned in that clip. However, until relatively recently, this hasn’t mattered much. But according to Ray Dalio, things are now finally starting to change. Here’s why.