They won’t default, but they may devalue the bonds by destroying the currency. Which is looking to be more and more likely. As debt to gdp continues to grow the odds of a hyper-inflationary event grow. This is part of a part of the larger currency cycle. So, the ultimate question is whether or not bond rates will beat inflation, and at what point is it not worth the risk. Foreign nations are getting away from US bonds for a reason.
He's infinitely smarter than I so I don't doubt he's right. But I don't understand that if it's as simple as that why not borrow even more and distribute it to the US citizens.... 😁
I don't understand Buffett. he writes articles telling the government to get the debt down then talks nonsense on this call. who is going to buy usa bonds if people believe they don't get there purchasing power back.
what he means is the government can just straight up print money or take another debt to pay the debt interests the debt ceiling is no morethan nuisance as without debt the american government would crumble and the only way to solve it is to take more
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They won’t default, but they may devalue the bonds by destroying the currency. Which is looking to be more and more likely. As debt to gdp continues to grow the odds of a hyper-inflationary event grow. This is part of a part of the larger currency cycle. So, the ultimate question is whether or not bond rates will beat inflation, and at what point is it not worth the risk. Foreign nations are getting away from US bonds for a reason.
He's infinitely smarter than I so I don't doubt he's right. But I don't understand that if it's as simple as that why not borrow even more and distribute it to the US citizens.... 😁
I don't understand Buffett. he writes articles telling the government to get the debt down then talks nonsense on this call. who is going to buy usa bonds if people believe they don't get there purchasing power back.
what he means is the government can just straight up print money or take another debt to pay the debt interests
the debt ceiling is no morethan nuisance as without debt the american government would crumble and the only way to solve it is to take more
at 93 years old why would warren Buffett care about making money? makes no sense.@@Wasnt-1