This is utter nonsense. Alan Greenspan: “Central banks can issue currency, a non-interest-bearing claim on the government, effectively without limit. A government cannot become insolvent with respect to obligations in its own currency.” St. Louis Federal Reserve: “As the sole manufacturer of dollars, whose debt is denominated in dollars, the U.S. government can never become insolvent, i.e., unable to pay its bills. In this sense, the government is not dependent on credit markets to remain operational.
How can a monetary sovereign country run out of money that it creates? They don't even need paper and ink anymore. It's just digits on a computer screen. Someone's debt is another's income. 70% of US debt is internal and owed to itself, the other 30% is external because the dollar is the reserve currency and approx. 50% of global trade is done in US dollars and must be made available.
“I could end the deficit in 5 minutes. You just pass a law that says that anytime there is a deficit of more than 3% of GDP all sitting members of congress are ineligible for reelection.” Warren Buffett
would at the same time reduce wars in the world. Or can you explain to me how Clinton`s and Pelosy`s can have over 100 Million on their accounts with official revenues of 200k a year ? found 2 guys on the internet who simply bought the same stocks as Pelosy did in the past years and they got same wondrous results with over 400% growth. So first sell the Public a lie over a country that provoked another one for over 10 years straight, when Russia finally (after 14`000 of their Civilians Killed and non of the Kiev agreements kept from Ukrainian side) acted, they called it "Russian Invasion". Meanwhile the same freaks who already planed getting a war started with Russia over Ukraine if Clinton would have won 2016, make tons of Money with insider deals with the Military-Industrial complex. Boy did i wake up, this is far from the morals of the Moral USA of 1945. all i see is their CIA doing Regime Changes all over the globe to their liking. And without Wars i guess the USA would go bankrupt even faster.
This is why we can’t fund infrastructure or anything because every politician from the local level on up steals from the fund, drives it immensely over budget & over schedule, and wastes taxpayer dollars needlessly. We need a lot more regulation addressing profit-seeking ethics while in office.
They're not mismanaging the national budget, they're managing their own government salaries and fringe benefits. The budget is for them and their friends, not the country or the people.
@@randomuserame That's funny because the public has access to where that money is going. The people in government likely work harder than most just to keep their positions, and that requires appealing to the public in some way. There's a whole site dedicated to showing stuff, if only the public was smart enough to look: fiscaldata.treasury.gov/datasets/daily-treasury-statement/deposits-and-withdrawals-of-operating-cash I just wish we took advantage of lightspeed communications in the order of millions of words per second, instead of sitting here ignorant thinking we know all.
It's a bit annoying and unfortunate. When i was born, the national debt was $2,150 per person. Now it's over $100,000 per person. And I'm not even that old. It's truly alarming and best advice get out of debt, make regular investments and be debt free and financially stable.
Safest approach i feel to go about it is to diversify investments. By spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown. its important to seek the guidance of an expert
This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? I'm in dire need of proper portfolio allocation
I was registered for Economics 101 in college. I withdrew from that class after the first day when the professor started talking about the "invisible hand of the markets". Everything about the global financial system is fraud. Taxes, insurance, inflation, interest, all of it...
Like that time the IRS confiscated a legal brothel and sent it bankrupt. Seriously, how can you lose money running the only legal brothel within a county?
I think you're confusing that with a corporation, like oil. There wouldn't really be a shortage, they would just say that so they can charge more for it.
I think the saddest thing about the debt is we didn’t even get anything for it. We don’t have a national healthcare system, social security is in danger, our infrastructure is crumbling, public schools are underfunded…
@@Grimmlocked That explains why they did all that ceremony to ban all Mass Destruction weaponary globally outside of those who already had them. Can't be killed by the bullet of an angry lender if you banned guns while keeping many of your own.
You do have 11 aircraft carriers... That's almost as many as the rest of the world combined if you're only counting carriers capable of landing fixed wing aircraft.
I've said to people that the practice of borrowing money from future generations is an abhorrent practice. The effect is similar to the idea of burdening children with the sins of their fathers.
@@byurBUDdy so you rather have your children go to crumbling schools using crumbling infrastructure than to take debts to invest now so that they don’t have have to pay quadruple the money to fix all the stuff we let crumble
The continuously changing economic conditions in our society have made it necessary for people to find additional sources of income, thus I am looking at the stock market to fuel my retirement goal of $3m, my only concern is the recent market crash.
Dealing across multiple asset classes can reduce risk more effectively than putting all of your money into one. If you don't understand finances properly, see a financial consultant.
A lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850k.
'Grace Adams Cook' a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.
Unfortunately it happens and always has. It's a double-edged sword. It sucks for most, but it's also why our dollar has remained the longest lasting system.
It's always been that way, the economic engine the Founding Fathers created (which was based on a purely fiat currency known as Colonial Scrip), strengthened the American economy to such an extent they were able to fight for and declare independence. Colonial Scrip and the resulting inflation in that system was regulated via taxation. "The Remissness of our People in Paying Taxes is highly blameable, the Unwillingness to pay them is still more so. I see in some Resolutions of Town-Meetings, a Remonstrance against giving Congress a Power to take as they call it, the People’s Money out of their Pockets tho’ only to pay the Interest and Principal of Debts duly contracted. They seem to mistake the Point. Money justly due from the People is their Creditors’ Money, and no longer the Money of the People, who, if they withold it, should be compell’d to pay by some Law." "All Property indeed, except the Savage’s temporary Cabin, his Bow, his Matchcoat, and other little Acquisitions absolutely necessary for his Subsistence, seems to me to be the Creature of public Convention. Hence the Public has the Right of Regulating Descents & all other Conveyances of Property, and even of limiting the Quantity & the Uses of it. All the Property that is necessary to a Man for the Conservation of the Individual & the Propagation of the Species, is his natural Right which none can justly deprive him of: But all Property superfluous to such purposes is the Property of the Publick, who by their Laws have created it, and who may therefore by other Laws dispose of it, whenever the Welfare of the Publick shall demand such Disposition." "He that does not like civil Society on these Terms, let him retire & live among Savages.- He can have no right to the Benefits of Society who will not pay his Club towards the Support of it." -Benjamin Franklin, December 1783
@@JasonSpielberghouse elections running on government debt issues are literally circus races. Anyone with financial knowledge knows national debt is a nonissue because literally every other nation in the planet is also in debt. Really, it’s about who has less debt lmao
If you give the rich tax breaks and unlimited stock buybacks and they dont pay much tax but take all the capital out of the economy they just keep closing the small businesses that pay tax its no wonder every other nation has a smaller debt and free healthcare. We are being robbed. This is domestic. Military?
There’s one more angle that makes this scarier: if you go beyond the US, global debt is now about $315 trillion. Global GDP is about a third of that at less than $110 trillion. Of that global debt at least the public debt part has been growing faster than global GDP (by about a factor 4:3) over the past two decades
the most terrifyng fact is the US government is not even try to reduce it's debt but going the opposite direction which is keep on spending recklessly.
It's a bit annoying and unfortunate, but not that alarming, just like it's not that alarming to have a house mortage that's larger than a single year of salary.
During Clinton's administration we had a surplus. Under George W. Bush the National debt got to 10 Trillion. Under Obama it got ton18 to 20. Now I think its at 35 trillion.
@@patricklincoln5942 if the average is 60K, most houses in the west coast are valued at 1 Million USD, with interest that's like a whole lifetime worth just for some property
It's not, stop putting the whole world in the equation the US is the one who got to pay it by any means, this proves how capitalism is not sustainable, unless the US wants to free ✈️🇺🇲🦅 some oil rich third country, it won't be paid, and it will get worst.
exactly, he didn't mention how "inflating the debt away" would destroy the US treasury bonds reputation (which is the most important thing when loaning someone money) and thus interest rates went up, fewer and fewer people and entities wanted to buy them (loan the US money), if you're going to inflate my money after I give it to you so that it's worth less when its back to me then why would I give it to you in the first place? and that's why many countries started selling their US bonds, they know the US dollar is going down so they'll take a 1-2% loss on their bonds now instead of waiting until these dollars are worth 5% less or worse by the time the debt is paid.
One other point about inflating away the debt. It only works if government spending doesn’t inflate as well. The cost of government salaries, payments of social security, military expenses, all increase if the dollar becomes worth less. So you end up inflating away the value of the debt but also increasing the future costs. (Excellent video by the way, best explanation Ive heard yet)
"Inflating away the debt" just means all the money you have saved up today will be worthless in the future. The more they print the less your money is worth
This. But that doesn't hurt the ones that already own property, homes or other expensive assets. In the last 3 years the rich turned their homes 2-3x their worth just off this inflation alone. They can inflate the debt away off the working classes back and they clearly plan on doing it.
Only if you keep you money under your mattress. You can invest in cash flow generating assets that more than keep up with inflation. Besides, even if you keep your money under a mattress and lose purchasing power due to inflation, you are still richer than the guy that believes it is pointless to save money. A dollar eroding half it's value is still 50 cents, that's 50 cents more than the guy that didn't save thinking money will be worthless in the future.
@@XTheGaimzX IT lowers value of the property and makes buying resources and goods more expensive from other nations. Thus increasing production cost. Look at Venezuela if you don't believe.
Well, its not a business but a government. All debt that the government holds is money thats in the economy. If you look at Japan the debt is way larger than GDP but since countries are normally more stable than businesses everyone wants to give countries Like Japan and the US money
With every 'student loan bailout', stimulus spending and new welfare program for the 15 Million illegals comes new debt. It's not the government on the hook, it's you and me and our kids. Our government actors are all guaranteed FULL SALARY PENSIONS for the rest of their lives, also with our money.
So basically, the federal reserve can create money out of nothing, buy bonds from the government, and then is entitled to the interest yield? Must be nice to be the guys in charge of that operation.
The eu has a similiar system. The central bank prints the money, lends it at premium interest to sele ted bankd and those banks give credits to the goverments ir buy bonds. Funfact: Eu head of central banking is a a banking, tax and fraud criminal that was almost conficted but shortky before the sentencing the case was droped and she got her.position as the head of eu central bank
2 месяца назад+105
The guys in charge of that operation don't get much out of it. At least not directly. The Fed sends its profits back over to the government. In any case, the limit to money printing is the inflation target.
Yeah, but every time they "create" money the value of it decreases, which means they would have to pay more money while the collected money from taxes has less value. Which is way they don't don't do that if the economy doesn't grow. It's not that simple.
@@wlan2 well... it kinda is if you are the government. If the inflation = new money is greater than the interest on your loans and you keep getting the same nominal taxe income, wich is likely higher because of inflation, you lower your interest payments to zero. Also if you have inflation every year then the credit you pay back is worth way less = way easier to tax than the credit you took. Governments love inflation as long as its not hyper inflation... but according to the new monetary theory the increase in money is not the cause of inflation and inflation is a good thing! The only peoply who feel fucked over by this system are the tax payers...
California is already allowing that. One gotcha, in order to steal something worth $1900 you have to steal TWICE. I know, requiring criminals to actually WORK that hard is cruel, but you can count on governot Nuisance to come up with a solution for that.
Inflating away the debt is one of the oldest tricks in the book for government. It can only be a short-term solution because the government usually doesn't stop the spending.
Its a stupid idea you're in debt cuz you're spending too much, devalueing the dollar could only lead to even bigger spending which is going to dig yourself in even deeper.
Inflating away the debt is a stupid theory. Inflation is nothing more than a general price increase and a fall in money's purchasing power. To pay off debt, one needs to generate more than they owe. Just because the currency purchasing power is decreasing, the debt owed does not automatically become less. As inflation increases, so does the debt. If inflation can inflate away debt, hyperinflation would have made everyone debt-free in no time. The truth is, there is no way anyone or a government can outpace the rate of their earning than the rate of inflation.
We need kids. Look at The Death of the West. Money is just fiat. When it collapses it just collapses, nothing you can do about it and people have gone through this before (Every 250 years or so).
Our system of government is unable to solve this problem; people vote without knowledge of real issues, politicians campaign using the tools of fear and hate, and every four years, the cycle repeats, with nothing getting resolved.
“you see kids, fascism has its fault, and people get carried away! but at the end of the day, a totalian form of government works! it just works!” -Binjo the racist storytelling spirit
@jimmyday9536 we may choose the politician for a position in government, but we do not choose the candidates in most cases. So it is usually a choice between criminal number one, or criminal number 2. The people did not choose Kamala to be the democrat candidate for president of the United States. Why do candidates spend 10.million dollars to win a position that pays 400,000.00?
@svndwich977 have you lived in that type of government? Why do you think millions of people cross our border illegally.? With all its flaws, our form.of government is the best in the world, and in history.
I was discussing this with a friend from church who ran for town council. He was saying he has been playing Cities Skylines for a long time and we decided that logging x amount of hours in Cities Skylines should be a requirement for holding office. This wasn't in the context of debt, it was in the context of infrastructure, but the same principle applies
.RESULTS OF PRINTING MONEY. IS A HORRENDOUS DEPRESSION NOT UNLIKE 1929 CRASH , INFLATION WILL SKYROCKET, THE DOLLAR WILL DEVALUE JOB LOSES , UNEMPLOYMENT , HUNGER, DESPERATION AND TRUMP OR HARRIS CANT DO ANYTHING ABOUT IT ALL YOUR CHICKEN'S HAVE COME HOME TO ROOST 😅😅😅😊😊
No. Its a well understood technical term and tge us has cheated since closing the gold window and fiating bs into existence. Why do you lie about this fact?
Our economy struggling with uncertainties, housing issues, foreclosures, global fluctuations, and pandemic aftermath, causing instability. Rising inflation, sluggish growth, and trade disruptions need urgent attention from all sectors to restore stability and stimulate growth.
With the US dollar losing value to inflation and other currencies gaining traction, uncertainty looms. Yet, many still trust in the Dollar's perceived safety. Worried about my $420,000 retirement savings losing value, I seek alternative security for my money.
With my demanding job, I lack time for investment analysis. For seven years, a fiduciary has managed my portfolio, adapting to market conditions, enabling successful navigation and informed decisions. Consider a similar approach.
This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? I'm in dire need of proper portfolio allocation
NYCOLE CHRISTINA VANNATA a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.
To be fair people in jail are in jail for the lying part of the scam that was making people invest. Governments tell everyone they are in debt and investors know it's a risk and assume the risk for interest. Yes it's a ponzi scheme but they show they are probably doing efforts to make money back and not using the scheme as a whole source of income... It is possible eventually some government will actually tax the required amount to pay expenses (including debt fees and payback in part) and eventually get rid of the debt. But paying interest to citizens that i vest and other countries versus taxing its citizens able to invest (the rich).. Investor citizens are happy with the current system as you may expect so little change
Just 1 billion is such an incomprehensible number to me. 1 billion is made of 1,000 million. It literally makes me want to gag thinking a trillion is 1,000 billions. It is so beyond anything our minds can even comprehend.
She definitely got that value as housing in the area where she decided to live in. She may have not had that $1M in cash, but just owning that asset would have enabled her to use it as collateral for large loans, earn income by renting out a spare room, etc. She would have had a bundle of cash by selling, but without relocating to somewhere cheaper to live, she would be spending much more for housing (especially if she had paid off the mortgage by then).
That just shows how far the value of the money has fallen. When you could once buy that house for 15k and now you have to pay 1 million.. that means money is basically worthless now. It takes a lot more to buy the same things
I paid off my car note after 4 years and have 1 credit card and my credit score dropped out of the 700 range. The US government is 35 trillion in debt and the have a AA+ rating.
I've pondered this as well... My concern is that blowing off the other bond holding Countries will really make them upset and we would have to appease them in some way to make them whole w/o conflict.
Yea you do because of overspending, that kind of living standard is not sustainable on the long run and that is the main reason why US waging wars around the world to loot and drain other countries resources. Really like a virus, a kind of skill well learned from neocolonial European countries and UK.
@@LeetHaxingtonAs a person who studied the music industry in school, that is an amusing diversion… sadly, it seems the u.s. government has about as high a chance of paying g back this debt as that kid did. I hope he’s ok.
You make it sound like the government is a leech, and it feels like it is a leech. High prices with taxes and not seeing a lot of effort to improve the situation.
They also spend that money on American citizens though. You realize that almost all of the social security, medicare, education, and military spending stays within the US? 79% of the US federal debt is also owned by American lenders, i.e. very little money would have to leave the country for the US to pay back its debts.
The entire issue with "Inflating the debt away" is prices never come back down. Our $5 gallon of milk will look cheap in two years. The entire money system is designed to fail, the only question is how long can they keep it afloat.
Not really, the real problem is that the last time the US pulled up this shit Europe was desperate for USD so they could basically do whatever they wanted, if they did it today the dollar would lose too much credibility
Agreed. And also in the case of US the debt accumulation rate is outpacing the forced inflation rate, so inflating the debt away will never work. The only fix is a multi-generational national commitment to significant tax hikes or to significant social program cuts (social security & medicare).
@@BastiatCsure, have fun with an economy without money after senselessly paying all debt back. no idea why you would do that but it sounds like a nice retirement hobby to do that for no reason
There's literally never been a period in fiat history that there was enough money to pay off all debts. Debt is money and the way money is created. You're complaining that the sky is blue. It literally, by definition, works that way that you always have more debt than money.
Boomers essentially set up zillions of accounts, maxed out credit limits to live luxurious lifestyles, and then retired/died so that the millennials and Gen Z would be saddled with the eternal debt slavery that would follow.
Another problem with inflating away the debt is that prices become too high for people to be able to feed their children, and the money in retirement accounts becomes worthless and the elderly starve.
Inflation spurs economic growth which increases wages, so as long as that keeps up there are no issues. Also retirement accounts should be invested in the stock market which returns higher than inflation.
@@loganwenzel1615 lmfao you must work for the government.. in the real world wages dont increase when inflation increases. not until its already been killing your wallet for a year and it will always lag behind inflation. i make less now at 30$ an hour than i did at minimum wage 10 years ago.
Yeah, let’s print our way out of this. Inflation as our savior. No country has ever tried THAT before. Actually, it will destroy our fiat currency. It’s only a matter of time.
That's the plan, them they'll swoop in with a solution to the problem they purposefully created. The solution is CBDC with total control and full surveillance of every dollar spent.
How do you think we repaid the debt we incurred from ww2? Inflation literally ate it away. I’m not saying that’s something we should try again. But it is one of the reasons we were able to actually pay that debt down
@@brennangum6236 At that time our dollar was backed by REAL money-gold and silver-as proscribed by Article I, Section 10, Clause 1 of the United States Constitution. Impossible to inflate our money supply enough to remove the debt without completely obliterating our fiat currency.
@@YankeeStackingyour a money channel and don’t know that the US debt isn’t Real? It doesn’t have to be paid to anyone, US national debt barely if at all affects the economy
@@NuclearNuke41 Well, what's a bigger loss to the bank, $100K or $100M? In the bank's risk-reward assessment of you and your likelihood to pay back the loan plus interest, which is a greater failure when betting on you, a $100K default or a $100M default?
One huge thing he got wrong about his assessment is when he said “as inflation increases our costs and WAGES increase” we know from statistics that hat wages are not increasing at nearly the rate of costs. This is why the middle class is shrinking. As things have gotten more expensive, most people’s income has stagnated causing increasing levels of poverty.
If you had watched the rest of the video before commenting, you would know he did say afterwards that is the theory and that it has consequences and unintended effects.
He didn't get it wrong, the us targets a 2% inflation rate because this is around the rate for inflation they consider sustainable for the speed wages increase. Anything higher and it becomes a problem.
@@CG-dd9tb that's a bit of a stretch, if I sell my home I walk out with $200k cash in hand after taxes, realtor fees closing cost etc. A 2% on my home loan is making me more money living in it then if I were to sell it and get an apartment or rent a home, which in the current market would be a major downsize. I also have no reason to pay my home off early, can I afford double even triple payment, sure. But why not use that money on lowering high interest loans or even just putting that money in a high yield savings account, where I could actually gain 3% on my money over vs paying of my mortgage 15 years early.
4:58 “do you want to pay more taxes?” How about we make corporations and billionaires pay their share and stop bailing them out? We are in this debt because the government keeps bailing out banks, airlines and all other corporations. Instead of trying to screw the people (middle class and lower class).
Inflating the debt away is a ridiculous concept with such a large deficit. If our dollar inflated that much in the coming years we’d be worse off than Venezuela.
That's the plan. Crash the currency, instill CBDC. That will ostracize us from the rest of the world, as they are moving back to gold standard, trading in their own currencies. I bet states will secede, something like the Balkan states.
usa sanctions are venezuela's problem. left alone they would do fine. usa does not want the poor to get to eat, it wants that oil for its gluttonous corporations and morbid rich.
Having those tax loopholes open are one of the reasons why the US is somehow the world's largest tax heaven. Hence why if you cover the loopholes, the country will experience a brain drain from the big corporations packing up and taking their smartest personnel with them. Its an unfortunate juxtaposition that everyone needs to know
@kristahumphrey8165 hire your brother for a contractor, and get kick backs from him. It happens all the time. In Palacious Texas, there was an old wooden bridge which connected the mainland to an island in Palacious bay. A hurricane destroyed the bridge, so another state of the art concrete bridge was built with FEMA money. A local rancher grazed his cattle on this island, and there was no other need for the bridge. Why was it built in the first place? So you and I paid taxes to build this bridge so this rancher could look after his cows. This is just one of the reasons that I object to paying taxes.
I once put $7k into fixing my air conditioner and then another big part broke 3 weeks later and it was unfixable. The point is, things like this happen occasionally, it’s not the norm. Don’t make it into something it’s not, that doesn’t help anyone.
"President Reagan said deficits don't matter. " former VP Dick Cheney Well thanks, Uncle Ronbo, for that lesson in poltical economy - a man, by the way, who received low marks in all of his college economics classes ... 🤔
Its stealing money from everyone before they can even earn it. Then blaming them for not making enough money, and blaming them for not being responsible enough to earn more. Now lets punish everyone that’s in debt and cant pay.
You have it backwards -- federal deficit spending *adds* savings to the private economy. It doesn't remove money. Taxes never pay for any part of the "national debt."
we literally had far higher corp tax rates and a better tax system before that worked, breed innovation, and helped the middle class strive. But nah let's keep giving more to the top it'll work eventually right. It's like the US forgot that McDonald's apple Microsoft etc were created under a far higher taxed environment. We literally did it before i don't understand why people think oh that'll never work.
Well to be fair tho the systems the bigger issue. No company operating in the US or selling in the US should be able to pay 0 in taxes. Wild that loopholes allow that to happen. Not even loopholes, designed that way but it was so good before, we didn't have a corrupt written by corps tax system
@Willum2 As long as American companies dont have to be American to function in America, raising taxes on them is a stupid idea. Even at the lowest tax rate in all of history, all of manufactyring has still basically left the country, and even high level white collar jobs are being given to H2Bs or straight up exported to some other country for remote work. Raising the tax rates could work for the largest retail/service stores (Walmart, 7Eleven, Amazon, Dominos, etc) but the problem is.... they own the markets they are in. They can just raise the price to offset the cost to the taxpayer - and the only way to fix that, would be straight up tyranny by having the government itself legislate wages for the private industry. Rock and a hard place with another spikier rock. Monopolies suck.
I paid into Social Security for 54 years. I started pulling it at 66.5 years old and pay taxes on it still. Forget my medicare for this example. So for 54 years my money went into the budget where they collected interest while I paid into it hourly. I will die way before my account could ever be cleared. This is why the FRA (full retirement age) keeps going up. Not only do they not want to pay us back, but shorten the span of years they dole it out.
And the Democrats stole 60 million of it to fund their sham impeachment of trump. While at the same time our government gives hundreds of billions of dollars to countries that hate us, as our social security fund goes broke!!!
@@trevorphilips5677 sorry dude. I am owed my social security but the democrats are talking about giving it to illegals now. It will be gone when you are 75. That may be the minimum age you can start drawing by then. They keep raising the age. When I was younger people drew at 55, then 62. Now for me born in the mid 1950s my FLA was 66.5
The issue is that Social Security is a government ran ponzi scheme. The citizens did nothing wrong, but your money that you paid into Social Security went to fund those collecting social security ~54 years ago. It is not an investment scheme at all. The first social security checks were issued immediately to people that did not pay into it.
The Fed doesn't force congress to deficit spend. How ironic,... a large percent Australia's economy comes from selling coal to china who burns it with no regard for pollution,.. isn't a member of the Paris Climate Scam Accord,... to which the US tax payer is forced by demcorats to pay trillions,.... ...We won't mention all of the deficit spending tax payers are forces to pay for Australia and most of the rest of the world's defense... ....and this cluelessgenZaussiepuke has the gall to talk about US debt???
My pension fund is getting 4,2% in $ right now. For just 6 months. So, your aircraft carrier belongs to you and the vessel it selfs protects my pension fund. Yes, you are f**ked over and laffed at by the rest of the world. Still need to buy popcorn for the Trump election. Btw, it's called "walstraat". And no, you do not have to learn Dutch. We speak english when we want to sell you something. Like chip manufactering equipment. Keep designing stuff on your computers while we (the rest of the world) build it.
Bill Marriott once told me that when he moved to Washington to open his first hotel, he owed hundred thousand and was a failure. By the time I spoke with him, he said he owed a hundred million and was a huge success.
The federal reserve bank, IRS and income taxes need to be abolished. Tariffs and corporate taxes should be increased. A majority of federal and state government agencies should be abolished as well. Banning corporations from owning residential property with four or less units should be implemented. Also, banning all foreigners from owning real estate must happen. Mandatory national union membership should be a reality. To end it all ceo to lowest paid worker pay should be pegged at 5 times. If those things were to happen the U.S. would be the most prosperous country in the world
The same thing happened to the UK. We went into National Debt in 1815 due to the Napoleonic Wars and we are still paying it back at around 100% of GDP.
Dont forget China. 250% of GDP. They had a slower start, but have accelerated to the point they might legit take US' title if humanity survives long enough...
The are struggling to pay the interest on the debt but the 34 trillion is still sitting there. It’s over pack it up this isn’t going to be a happy ending.
It’s not, Kennedy said if he was elected he would invest into bitcoin and if we played the cards right the economy could go up to 40 trillion per year and we’d be able to pay off the debt and a lot of other shit. It’s just sad people can be so blinded
@@Lil_Sammy1 That’s…not how economics works. How would bitcoin save the U.S. government? The government would still have to buy all that bitcoin and hope it doesn’t collapse in value. That’s not a good way to plan an economy
@@-Swamp_Donkey-Okay man, so you’ve done a bit or research and discovered that a number of villainous bankers in history have been Jewish. Okay yes that’s true… and? You know who else is Jewish? That nice deli owner down the street with a wife and three kids who don’t even get into politics or have anything to do with finances. I could provide tones of examples of normal upright Jewish people living their lives. It’s like blaming all Christians for the crusades and instances of church corruption, or all white people for the Atlantic slave trade. You want to make an argument that sometimes bad actors try to deflect from their misdeeds by using the antisemitism card fine, but you saying something like this legitimizes their shield.
Well, interest for you and me. The banks, at times, have straight up negative interest rates. The government pays them made up money to make made up money, y'know, instead of just giving it to struggling working class people. And no, it is not the "Jews," it's the owner class seeking to subjugate the working class. Eat the rich, and maybe you'll get your government back, too.
Also, ain't just us... As of February 2024, government debt was equivalent to 97.1% of GDP (Source: House of Commons Library, “Public Finances: Key Economic Indicators”, published March 21, 2024). The United Kingdom’s national debt, also known as public debt or government debt, has been steadily increasing over the years. As of recent estimates, the total stock of government debt stood at around £2.7 trillion (approximately 99.4% of the country’s GDP) in July 2024.
@@SportZFan4L1feyeah and if you don’t have enough of a made up currency that determines your place in society you’re shunned and you aren’t allowed to have a home.
@@SportZFan4L1fe we are the only ones with houses, it would b free for you if you just got up and lived in the forests with the animals. the yukatan is nice this time of year give it a shot
Old timers in politics really destroyed this country leaving this mess for younger generations to figure out. This is so unfair towards out kids and grandkids to pay for this incompetence.
As a millennial, I agree. However, I think the bigger problem is that for the most part, the next generation of leaders hasn’t shown to be any smarter, or more ethical. The people that make it to the highest echelons of power are still playing the same games that politicians have always played.
Not "Old timers". Politicians. AOC was the one pushing that "Green New Deal" garbage, so it's not just "old" politicians who are fiscally irresponsible. How many voters picked the candidate whom they felt would be best for the country, compared to how many picked the candidate whom was best for them personally? Politicians get where they are by playing on the greed of their voter base, and it is everyone's fault for letting them get away with it.
@TXP9 The difference I see is that previous generations were more subtle about it, while the new generation of politicians are unapologetic and transparent about it.
@@TXP9I think it's actually getting worse. And everyone wants younger leaders that would just be even worse they have zero concept of saving for the future.
66% of the fed budget in 2021 was entitlements. That number is down to 55% today. We are giving away so much crap to shall I say single mothers, their children and the wannabe disabled that it is crippling our country.
And you'll still vote for them when they cut social spending while increasing taxes drastically? It's kinda the voters fault for voting reps that were happy to take debts
😅 every land, infrastructure and natural resources gonna be bought by corporate entities and these entities gonna own everything, American gonna be their slaves. after USD collapse after WW3, to make excuses. new monetary systems will automatically convert assets into token. nobody will be free.😅
We live under the rule of malignant narcissists. They are never at fault. Someone else is to blame and they get power by gaslighting us into believing lies and lowering public confidence. Millions die under capitalist greed.😊
The public shares the blame, because they keep allowing this to happen. Everyone votes for "the guy who brought more jobs to our district" or "the guy who made sure I could get an abortion" or "the guy with a cross on the wall of his office". Nobody votes for the economics nerd who tells them they can't afford things. If we had mostly voted for the economics nerds for the past half-century, we wouldn't be in this mess.
The US national debt is more than $35 trillion, with 22% of it held by foreign entities. The US also has $40 trillion in unfunded Medicare liabilities and $26 trillion in unfunded Social Security liabilities. The US dollar is the dominant reserve currency, backed by its perceived strength, allowing the US to print unlimited dollars as long as the world maintains trust in it. The US dollar is the backbone of US power, and any actions that undermine confidence in the currency threaten to destabilize its position of dominance. Each unilateral sanction imposed by the US risk damaging the stability and credibility of the US dollar, leading to dire consequences for the nation's power and influence. The US is the only country actively undermining the strength of the US dollar. The freezing of Russia's $300 billion currency reserve by Western governments may lead countries to reconsider investing their funds in US Treasury bonds and finding ways to reduce their use of the US dollar. A significant portion of US dollars is held outside the US, estimated at 60-70% of all US dollars in circulation, due to its status as the dominant reserve currency and wide use in international trade and finance. The one trillion dollar trade deficit of the US is a consequence of being the reserve currency, as a strong dollar makes it difficult for US businesses to export goods and services while simultaneously making it easier for other countries to sell to the US. Countries are expending resources and labor making goods and shipping them to the US in exchange for green pieces of paper. The US is sending back mostly empty containers. The US budget deficit is $1.7 trillion in 2023 which must be paid for by selling more Treasury bonds. The interest on this debt is twice our military budget. The government sells more Treasury bonds to pay the interest on its debt, leading to a cycle of increasing debt. The US printing of dollars has been exporting inflation in other countries for decades, but will eventually increase US inflation. Raising interest rates to fight inflation decreases consumer and business spending, increases the trade deficit, and higher interest payments on government debt. Other countries will respond to the US raising of interest rate by raising their interest rate, risking global recession. The Plaza Accord addressed this issue in the past, but it will be challenging to implement such measures now. A well-run country collects taxes to fund essential services and infrastructure. In the US political system, wealthy corporations and individuals can lobby for tax breaks. The shortfall in funding for the US government has reached $34 trillion. Instead of collecting taxes from wealthy corporations and individuals, the government pays interest to them. The top 10% of earners (36%) and corporations (9%) together contribute 45% of total federal revenue. Banks hold Treasury bonds for their safety, liquidity, regulatory compliance, and potential profitability. When interest rates on Treasury bonds rise sharply, the decrease in existing bond values reduces liquidity and makes it harder for banks to raise cash quickly. This causes depositors to lose confidence, triggering a bank run. In response to the current bank run, the government is issuing Treasury bonds to raise funds to compensate depositors for any lost funds. There are $19 trillion in deposits in US banks. The estimated unrealized loss on US banks' financial assets is $1.94 trillion, while the total size of their equity is $2.1 trillion. SVB had a $15 billion loss, while their capital is $16 billion. Around 2,315 of the 4,800 banks are currently on assets worth less than their liabilities. It's a systemic issue. A similar issue is being played out with risker Mortgage-Backed Securities (MBS) valued at $12 trillion. The new Bank Term Funding Program (BTFP) helps prevent discounted bondholders from taking losses when they must urgently sell them. The BTFP accepts discounted bonds at face value to be used as pledges for loans to inject more money into the economy. Risking more inflation. It's a Ponzi scheme. Ponzi scheme cannot taper. We reached the can and there is no more road.
That's quite a detailed explanation of the situation. Many thanks for sharing. I can think of many scenarios as to how this will play out, however, I have no idea which is how it will go?
Can’t the US just cancel all the debt it owes itself with an act of Congress? Couldn’t the US also shift to a 0% interest Treasury Bond? Over time with no-interest borrowing the uncanceled debt can be repaid. The question is would Treasury Bond demand evaporate at 0% interest? As you mentioned there are a lot of dollars floating around out there and if Treasury Bonds basically act as a savings account for dollar holders, then doesn’t the address the demand problem? Also, if we switched to a digital dollar that allowed for a progressive consumption tax, do you think this consumption taxes could be imposed on all users of dollars? If so, do you think that would undermine demand for dollars?
@@timgwallis Yes, consumption tax would be the only valid way out. So far in history, the rich and powerful, who benefit the most from the debt, have never given up their own wealth or power in order to safe the others. Unfortunately, when I see how many billionaires support Project2025/MAGA and else, I do not see that happen. But yeah, one solution would be to take the massive wealth away. People like Peter Thiel rather want feudalism. (quote: freedom and democracy are in my view incompatible) An additional problem is that this debt funds medicare, the military and other government institutions, which the entire economy is dependent upon. That would cause mass unemployment, which reduces revenue, and additionally cause mass unrest. EDIT: I just saw that they suggested to inflate the debt away. This is absolutely not working today anymore. You can inflate the debt away if everybody stays similarly rich, however, the inflate the money of the masses away, while the rich keep getting richer. Inflating the debt away does not work when you simultaneously do not tackle inequality, CEOs getting inflated away at nearly zero, but the wages of building workers gets inflated to unlivable wages. There is still hope for you guys, but you need to defeat a few demagogues! You always wanted to be special, now you can prove it! :)
"Inflating the debt away" is basically a silent tax on the working class. The investor class will hedge against inflation through buying assets and bonds while everyone else's buying power decreases. This is why there could be social unrest--when more and more people cannot afford basic necessities.
@@marcuskissinger3842 there's no incentive for employers to raise wages at the same rate as inflation, aside from workers unionizing, working together, and fighting for each other. The only problem is that the US has degraded worker's abilities to do so *massively* over the past 40 years
It can work, wages also increase. When you have a society where more than 80% of the population own their home, inflation isn’t that bad. For many countries this system worked perfectly, the population didn’t trust the currency that much either. When Italy changed to the euro 1000 Lira (their previous currency) was one dollar. Today the euro prevents that system and they going bankrupt like Greece.
One reform id like to see is people going to jail for wasting govt money (federal and state levels). For ex: the fed govt spent $7.5bn on ev charging stations recently- and only produced 8 ev chargers in 2.5 years. There are dozens of stories like this each year and no one goes to jail. We are taxed enough already - some of us pay 50% in fed state and local taxes- that cannot be the answer.
Study the public-private partnership structure that's common in the US. Both Federal and State level. You end up paying at least 2-3x for worse outcomes. The DoD is especially bad about it. It's nuts.
So let’s say we’ve given away 5 trillion dollars in foreign aid the last 29 years… is that not an important conversation because it’s not the entirety of our debt?
That's leftist economics. If they got rid of tons of useless government programs there would be less to spend on, and if the taxation rate for business was lowered, people would be more productive like in the 80s
@@darkzeroprojects4245 Military funding gor us the internet as well as many things lmao. Now the US does spend an insane amount of money on their military, though giving billions away over the past 4 years to Ukraine didn't help either, especially with people struggling in the US.
Until now I kept thinking that things just keep getting more expensive but actually things have the same value as always, it's just that the money is worth less and less over time. Learned something new today!
Because of politicians cannot pay off debt, they can make inflation goes up easily. So your debt of 100 dollar will be much easier to pay off in 10 years time.
The US government does 2 neato things. 1 it prints or creates on a screen any dollar amount they need to fund whatever it is they want at the expense of devaluing the dollar. 2 they collect taxes and only partially use it for the benefit of the taxpayers. The other part is sent to other places in the world. So in essence big guv double fks the people on taxes.
Isn't it odd we have a national debt that can't be payed back but we have and have had so many extremely wealthy politicians that didn't get rich until after becoming politicians or came out of a political family that got richer during the persons time in politics?
Right, the become millioners by giving lectures and selling books. While in office, everything is free, House,Food,Medicine,Booze,Transport, and with their salary they come out with billions. Numbers don't add up
The national debt-Treasury bonds-are constantly paid back as the bonds mature. It happens while you sleep. The so-called national debt is not a burden on anybody-now or in the future.
@@randyallred2382 34.7 trillion dollars in debt amd borrowing more and more every day at higher interest rates. If you don't think it is nothing to worry about you are a complete fool.
@@GoodCitizen-g6fnot necessarily. Depends on their elasticity of demand. Industries centered around petroleum, for example, can push the costs to the customers because there are little to no alternatives. Everyone has to use gas no matter the price. Clothing industries, on the other hand, have tons of alternatives and people can go years without getting new clothes if prices go up. Ergo, they can’t shift costs downwards as effectively.
@@DookyButter A corporation is like the government. They have no money until something is sold. In the price of that item is the tax the corporation must pay, plus all dividends on stock, and wages and salaries for employees, not to mention the cost for resources.
A data point that was missing is rate of growth of tax income vs rate of inflation. This is a critical point that is neglected when talking about using inflation to soften the burden. This negates spending and focuses on policy impact to purchasing power.
@javvieh The military budget is only like 12% of federal spending. Sure it could use some trimming but the vast majority of the budget is welfare spending at ~65.
Those "backwood" countries are our national interests and trade routes. Who do you think will start dictating international maritime routes if the U.S military starts shrinking? Think before you type anything
I remember in high school when my history teacher told me that the country was 8 trillion dollars in debt, I was in awe. I thought, the government might have the dept half way paid in 5 to 10 years, certainly gone within 20 years. I never would have thought that the debt would have more than quadrupled over the next couple decades.
@@Nidvard actually it is. the inflation is targeted, credit expansion is the tool used to stimulate growth and the government plans all of this and continues to stack up debt because... it can. not saying it's desirable but it is deliberate and it's obvious that the debt will really never be paid just renewed indefinitely for as long as the U.S. economy is still going strong.
The US dollar will lose reserve currency status at some point because of this type of behavior. The fiat debt based currency system has shown itself a proven failure, and it's causing a ton of suffering worldwide for the common people.
Several nations most of Brics now trade using local or Chinese Yuan as it is not going to be used as a weapon through sanctioning that the US seems eager to use.
Since hystory FIAT currencies exist is not new.. And it always end very badly: wars, revolution, social unrest, Dictatorships etc.. FIAT CURRENCIES IS THE BIGGEST CRIME AGAINST HUMANITY EVER MADE
There has been no crime, and you should be so lucky to live in a very nice part of the world. Apparently you haven't travelled much. And yes, all the other nice places have debts too!
And why would they. They will be dead a long time before this empire collapses. Usa has a century left if there is no civil war in next 50 years. There is nothing special about Usa that other empires didn't go thru. You may elect leaders but you are pushing away allies faster then you are going in debt. And non of the allies are equals. 10 years ago we voted a prime minister in Croatia but Usa and EU didn't like our vote soo they said no. And they gave us a Canadian born Croatian who couldn't speak Croatian until we "changed" our minds about our vote. They understand that at one point the debt will be erased as there will be no Usa to pay it. All this Rep/Dem fighting is about votes not the future.
Because it’s a nonissue. Both parties just make it into an issue to win elections. Literally every country is in debt to each other, there isn’t a single country that is in the green in terms of debt. It’s about who has the least amount of debt. And America has one of the lowest debts per capita. No country will ever call to country to repay their debts because it will carpet pull everyone. In other words, it’s a debtors circle jerk.
This argument is so foolish. When the federal govt runs a deficit that money is in circulation. When the US has had a balanced budget recession has happened. Reducing the deficit just removes currency from the market. Which obviously is sometimes necessary.
For some reason people have forgotten the Truman Committee. You can recover quite a lot of that deficit by auditing the books and granularly cutting stupid and wasteful purchases. It's like pruning a rose bush - leave the flowers alive and trim out all of the bits with nothing but thorns.
The irony, a nation where the bottom half of its citizens constantly struggle with out pacing debt and rising prices, is now itself, facing that exact issue.
Because that's the American way. We let bankers brainwash us into thinking we need credit and credit scores. You don't. Get out of debt and have cash. Own everything. When the house of cards collapse, you'll have tangible goods.
It is not. If you have a milion dollar debt that's your problem. If you have a trillion dollar debt that's their problem. It's not a debt to some made up thing. It's the money other countries invest in the US.
The US debt to GDP ratio is about 120%, so it's more like that family being $120k in debt, which is less than the average mortgage, but the rate they're paying is 4.2%.
@@gorkyd7912 Said all the pig billionares who inherited infinite money from their rotten families, to keep ruling the world with people as modern slaves
We could CONFISCATE (communist style) their $$$ and still not pay off the debt. Then NO MORE TAXES from them ( they would be bankrupt.) Then all the people they employ would lose their jobs. Class envy is stupidity. Bill Gates has helped the WORLD more than you?
@gorkyd7912 what's destructive is manipulating the government and economics to suck wealth from the lower class to further enrich the upper class until there's nothing left but wage slaves drowning in debt.
the video does a 15 minute explanation saying the government is the problem, you then ignore it and say it's "the rich". socialists like you have no brains.
But our kids are too lazy to care. It's all about doing whatever you want and avoiding consequences. To heck with these grown up in body but not responsibility graduates. The non graduates are even worse!
@@annsaunders5768hey, how about instead of badmouthing a generation that didn’t cause any of this, you look at your own generation and ask why you aren’t solving the thing you did Instead of pushing it onto people who didn’t.
@@owenmeier I mean given this generation doesn't seem very interested in making sure these problems don't persist onto the NEXT generation that'll inevitably start yelling at us "why didn't you fix everything now we're in ruins!" he's right to some degree
*When someone becomes rich, a lot of things change. Lifestyle upgrades, new social circles, and different financial responsibilities are just the beginning.*
A home was just over 2x annual income in the 1950s, 3-4x annual income in the 1970s, and today it is 10x median income. (For reference, median home price today is 420k, median income is 38k/yr). I prefer to not use average, because the wealthy 10% of America really skew the numbers into realms that the lower 90% of Americans will never experience. So America inflated away it's previous debt, and saddled Americans with unaffordable shelter, energy, and food... the three basic items needed for survival. It isn't our wants, it is our needs that are being inflated. That is a march towards 3rd World living standards. When food and shelter are 90% of your budget, just like in Nigeria, you're a 3rd World nation.
The issue with housing is the expectations now. Everyone expects to have a bathroom for every bedroom, live in the best of areas and have all the best of materials used. you will not see a formica countertop used in modern new builds. They build absolute mcMansions and people become some "house poor" that they are so far in debt that they dont understand how to get out of it. as well, between Social Security, Medicaid, and Healthcare. you are pushing 50% of total expenses nationally for the budget. Make people responsible for their own provision and stop sponging off the government and get to work will solve alot of these issues.
Name a country that is not deficit! I looked at yearbooks for 1965 to 1968… the US was running deficits and had a small profit in 1969… then not again until 1991… then 1998. The US nation Debt in 1981 was $780 Billion.. then Reagan did a massive tax cut from 61% to 31% and the deficit jumped from $80 billion a year to $700+ billion year after year! When Bush 2 took over in 2001, the small $140 billion surplus caused the new Republican “to pay back over taxes Americans” then 911 attack happened so then Trillion dollar deficits! Trumps Tax cuts exploded the deficits from $450 billion to $2 to trillion a year in 2017….
Come follow me over on Instagram! I've been putting up a lot more content there. :)
instagram.com/new.money.official/
Also, big thank you to everyone that has already followed. I see you guys!
Sweet, simplified, breakdown brother!
Who does it owe the money too?
This is utter nonsense.
Alan Greenspan: “Central banks can issue currency, a non-interest-bearing claim on the government, effectively without limit. A government cannot become insolvent with respect to obligations in its own currency.”
St. Louis Federal Reserve: “As the sole manufacturer of dollars, whose debt is denominated in dollars, the U.S. government can never become insolvent, i.e., unable to pay its bills. In this sense, the government is not dependent on credit markets to remain operational.
How can a monetary sovereign country run out of money that it creates? They don't even need paper and ink anymore. It's just digits on a computer screen. Someone's debt is another's income. 70% of US debt is internal and owed to itself, the other 30% is external because the dollar is the reserve currency and approx. 50% of global trade is done in US dollars and must be made available.
“I could end the deficit in 5 minutes. You just pass a law that says that anytime there is a deficit of more than 3% of GDP all sitting members of congress are ineligible for reelection.” Warren Buffett
I mean they could apply this principle to so many problems. Housing, agriculture, infrastructure. And it works at both regional and federal levels.
while you're at it, can you make it so that politicians can't be paid if the governments shut down?
He said that an awfully long time ago...
@@generalalduin9548 problems would be solved rather quickly then...
would at the same time reduce wars in the world. Or can you explain to me how Clinton`s and Pelosy`s can have over 100 Million on their accounts with official revenues of 200k a year ? found 2 guys on the internet who simply bought the same stocks as Pelosy did in the past years and they got same wondrous results with over 400% growth. So first sell the Public a lie over a country that provoked another one for over 10 years straight, when Russia finally (after 14`000 of their Civilians Killed and non of the Kiev agreements kept from Ukrainian side) acted, they called it "Russian Invasion". Meanwhile the same freaks who already planed getting a war started with Russia over Ukraine if Clinton would have won 2016, make tons of Money with insider deals with the Military-Industrial complex. Boy did i wake up, this is far from the morals of the Moral USA of 1945. all i see is their CIA doing Regime Changes all over the globe to their liking. And without Wars i guess the USA would go bankrupt even faster.
These are the same politicians that are able to grow their personal wealth 100X, while mismanaging the national budget.
This is why we can’t fund infrastructure or anything because every politician from the local level on up steals from the fund, drives it immensely over budget & over schedule, and wastes taxpayer dollars needlessly. We need a lot more regulation addressing profit-seeking ethics while in office.
They're not mismanaging the national budget, they're managing their own government salaries and fringe benefits. The budget is for them and their friends, not the country or the people.
Just call them Jews.
@@randomuserame That's funny because the public has access to where that money is going. The people in government likely work harder than most just to keep their positions, and that requires appealing to the public in some way. There's a whole site dedicated to showing stuff, if only the public was smart enough to look: fiscaldata.treasury.gov/datasets/daily-treasury-statement/deposits-and-withdrawals-of-operating-cash
I just wish we took advantage of lightspeed communications in the order of millions of words per second, instead of sitting here ignorant thinking we know all.
The debt is in their pocket.
It's a bit annoying and unfortunate. When i was born, the national debt was $2,150 per person. Now it's over $100,000 per person. And I'm not even that old. It's truly alarming and best advice get out of debt, make regular investments and be debt free and financially stable.
Safest approach i feel to go about it is to diversify investments. By spreading investments across different asset classes, like bonds, real estate, and international stocks, they can reduce the impact of a market meltdown. its important to seek the guidance of an expert
This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? I'm in dire need of proper portfolio allocation
She appears to be well-educated and well-read. I ran an online search on her name and came across her website; thank you for sharing.
And there are more people now 😧
Who does the country owe all this money too?
I got my degree in Economics. It only took about two weeks of courses to realize back then the whole system was a giant ponzi scheme.
Did you learn things that don't even apply in the real world? Like fractional reserve, for example?
I sell insurance figured that out for cheaper 😂😂
How odd that so many commenters here rage that none of this can work, when this setup has been working for centuries (for the money-changers).
That took two weeks? Feel like it should take two minutes.
I was registered for Economics 101 in college.
I withdrew from that class after the first day when the professor started talking about the "invisible hand of the markets".
Everything about the global financial system is fraud.
Taxes, insurance, inflation, interest, all of it...
If you put the federal government in charge of the Sahara Desert, in 5 years there'd be a shortage of sand
😂
Like that time the IRS confiscated a legal brothel and sent it bankrupt. Seriously, how can you lose money running the only legal brothel within a county?
I think you're confusing that with a corporation, like oil. There wouldn't really be a shortage, they would just say that so they can charge more for it.
💀
😢
I think the saddest thing about the debt is we didn’t even get anything for it. We don’t have a national healthcare system, social security is in danger, our infrastructure is crumbling, public schools are underfunded…
But we have the largest military industrial complex 🎉
@@germanshepherd6638 that's too keep the debtors from collecting....
@@Grimmlocked That explains why they did all that ceremony to ban all Mass Destruction weaponary globally outside of those who already had them.
Can't be killed by the bullet of an angry lender if you banned guns while keeping many of your own.
You do have 11 aircraft carriers... That's almost as many as the rest of the world combined if you're only counting carriers capable of landing fixed wing aircraft.
The owners of the federal reserve bank get all the benefits. They all live tax free off of us
Congress literally said “put our bills in our kids’ name “ 🤷🏾♀️
And who voted for Congress?
Well I’d rather have a educated workforce with good infrastructure now, than do that in 50 years while paying tripple the amount
I've said to people that the practice of borrowing money from future generations is an abhorrent practice. The effect is similar to the idea of burdening children with the sins of their fathers.
More like your great great grandchildrens names. 😂
@@byurBUDdy so you rather have your children go to crumbling schools using crumbling infrastructure than to take debts to invest now so that they don’t have have to pay quadruple the money to fix all the stuff we let crumble
The continuously changing economic conditions in our society have made it necessary for people to find additional sources of income, thus I am looking at the stock market to fuel my retirement goal of $3m, my only concern is the recent market crash.
Dealing across multiple asset classes can reduce risk more effectively than putting all of your money into one. If you don't understand finances properly, see a financial consultant.
A lot of folks downplay the role of advisors until being burnt by their own emotions. I remember couple summers back, after my lengthy divorce, I needed a good boost to help my business stay afloat, hence I researched for licensed advisors and came across someone of utmost qualifications. She's helped grow my reserve notwithstanding inflation, from $275k to $850k.
You seem to know the market better than we do, so that makes great sense. Who is the guide?
'Grace Adams Cook' a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.
Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.
Inflating the debt away kills people who have worked and saved all their lives. It's just another form of taxation, but brutally unjust.
Not if you buy gold.
And pray the government doesn't confiscate it. Yup, they've done that before. 😔 @@simonb6048
No, it's blatant theft.
Unfortunately it happens and always has. It's a double-edged sword. It sucks for most, but it's also why our dollar has remained the longest lasting system.
@@seanb677 There is a difference between normal inflation and inflating the debt away.
The US Government is like a child armed with a credit card.
A credit card and a time machine. They can borrow from the future.
with a printing machine.
It's always been that way, the economic engine the Founding Fathers created (which was based on a purely fiat currency known as Colonial Scrip), strengthened the American economy to such an extent they were able to fight for and declare independence. Colonial Scrip and the resulting inflation in that system was regulated via taxation.
"The Remissness of our People in Paying Taxes is highly blameable, the Unwillingness to pay them is still more so. I see in some Resolutions of Town-Meetings, a Remonstrance against giving Congress a Power to take as they call it, the People’s Money out of their Pockets tho’ only to pay the Interest and Principal of Debts duly contracted. They seem to mistake the Point. Money justly due from the People is their Creditors’ Money, and no longer the Money of the People, who, if they withold it, should be compell’d to pay by some Law."
"All Property indeed, except the Savage’s temporary Cabin, his Bow, his Matchcoat, and other little Acquisitions absolutely necessary for his Subsistence, seems to me to be the Creature of public Convention. Hence the Public has the Right of Regulating Descents & all other Conveyances of Property, and even of limiting the Quantity & the Uses of it. All the Property that is necessary to a Man for the Conservation of the Individual & the Propagation of the Species, is his natural Right which none can justly deprive him of: But all Property superfluous to such purposes is the Property of the Publick, who by their Laws have created it, and who may therefore by other Laws dispose of it, whenever the Welfare of the Publick shall demand such Disposition."
"He that does not like civil Society on these Terms, let him retire & live among Savages.- He can have no right to the Benefits of Society who will not pay his Club towards the Support of it."
-Benjamin Franklin, December 1783
Does this mean China will rule the world sooner?
I'd say 'like a counterfeiter with a printing press'.
The real solution they will apply is: Pospone your problems until they are not longer yours but someone else's.
Son cosas de la democracia
@@Fernybun 🎣
And it's two birds with one stone - now, when the next election comes, you have a reason why people should vote for you instead of them.
@@JasonSpielberghouse elections running on government debt issues are literally circus races. Anyone with financial knowledge knows national debt is a nonissue because literally every other nation in the planet is also in debt. Really, it’s about who has less debt lmao
If you give the rich tax breaks and unlimited stock buybacks and they dont pay much tax but take all the capital out of the economy they just keep closing the small businesses that pay tax its no wonder every other nation has a smaller debt and free healthcare. We are being robbed. This is domestic. Military?
There’s one more angle that makes this scarier: if you go beyond the US, global debt is now about $315 trillion. Global GDP is about a third of that at less than $110 trillion.
Of that global debt at least the public debt part has been growing faster than global GDP (by about a factor 4:3) over the past two decades
the most terrifyng fact is the US government is not even try to reduce it's debt but going the opposite direction which is keep on spending recklessly.
ALL THE MONEY, SYPHONED OFF, FOR THE BENEFIT OF THE OBAMA'S!!
Good.
Because they know, they are gona default on the national debt 😉
And WE'RE all going to be left holding the bag. 😓
@@stefanonbekend8177 How can the government default when it issues it's own currency?
When i was born, the national debt was $2,150 per person. Now it's over $100,000 per person. And I'm not even that old. It's truly alarming.
It's a bit annoying and unfortunate, but not that alarming, just like it's not that alarming to have a house mortage that's larger than a single year of salary.
During Clinton's administration we had a surplus.
Under George W. Bush the National debt got to 10 Trillion. Under Obama it got ton18 to 20. Now I think its at 35 trillion.
@@jesan733: Aren't most house morgages larger than 1 years salary these days?
@@patricklincoln5942
if the average is 60K, most houses in the west coast are valued at 1 Million USD, with interest that's like a whole lifetime worth just for some property
@@patricklincoln5942 yes, exactly.
If someone owes $30, that's their problem. If someone owes $30T, that's the whole world's problem.
USA's problem*
It's not, stop putting the whole world in the equation the US is the one who got to pay it by any means, this proves how capitalism is not sustainable, unless the US wants to free ✈️🇺🇲🦅 some oil rich third country, it won't be paid, and it will get worst.
exactly, he didn't mention how "inflating the debt away" would destroy the US treasury bonds reputation (which is the most important thing when loaning someone money) and thus interest rates went up, fewer and fewer people and entities wanted to buy them (loan the US money), if you're going to inflate my money after I give it to you so that it's worth less when its back to me then why would I give it to you in the first place? and that's why many countries started selling their US bonds, they know the US dollar is going down so they'll take a 1-2% loss on their bonds now instead of waiting until these dollars are worth 5% less or worse by the time the debt is paid.
We literally just need to adjust the corporate tax rate, Republicans giving billionaires tax breaks is why we're in this mess.
It depends. If I make 70k a year and have 30k debt then thats one thing. If I have a 30T dollar economy 30T dollar is certainly less of a problem.
One other point about inflating away the debt. It only works if government spending doesn’t inflate as well. The cost of government salaries, payments of social security, military expenses, all increase if the dollar becomes worth less. So you end up inflating away the value of the debt but also increasing the future costs.
(Excellent video by the way, best explanation Ive heard yet)
"Inflating away the debt" just means all the money you have saved up today will be worthless in the future. The more they print the less your money is worth
A lot of people call it "hidden tax" because of that. Everyone who owns dollars loses value when the FedRes prints money.
inflation is thuggery..it steals from people who save but don't have the mind of a weasel trying to always make money
This. But that doesn't hurt the ones that already own property, homes or other expensive assets. In the last 3 years the rich turned their homes 2-3x their worth just off this inflation alone. They can inflate the debt away off the working classes back and they clearly plan on doing it.
Only if you keep you money under your mattress. You can invest in cash flow generating assets that more than keep up with inflation. Besides, even if you keep your money under a mattress and lose purchasing power due to inflation, you are still richer than the guy that believes it is pointless to save money. A dollar eroding half it's value is still 50 cents, that's 50 cents more than the guy that didn't save thinking money will be worthless in the future.
@@XTheGaimzX IT lowers value of the property and makes buying resources and goods more expensive from other nations. Thus increasing production cost. Look at Venezuela if you don't believe.
It's comforting to know that the government is worse with money than me
Well, its not a business but a government. All debt that the government holds is money thats in the economy.
If you look at Japan the debt is way larger than GDP but since countries are normally more stable than businesses everyone wants to give countries Like Japan and the US money
It's really not
So the captain of your ship is worse at steering the ship (to safety) than you, a passenger? How's that comforting? I'd be horrified 😂
The thing is they are using your money not theirs
With every 'student loan bailout', stimulus spending and new welfare program for the 15 Million illegals comes new debt. It's not the government on the hook, it's you and me and our kids. Our government actors are all guaranteed FULL SALARY PENSIONS for the rest of their lives, also with our money.
So basically, the federal reserve can create money out of nothing, buy bonds from the government, and then is entitled to the interest yield? Must be nice to be the guys in charge of that operation.
The eu has a similiar system.
The central bank prints the money, lends it at premium interest to sele ted bankd and those banks give credits to the goverments ir buy bonds.
Funfact:
Eu head of central banking is a a banking, tax and fraud criminal that was almost conficted but shortky before the sentencing the case was droped and she got her.position as the head of eu central bank
The guys in charge of that operation don't get much out of it. At least not directly. The Fed sends its profits back over to the government.
In any case, the limit to money printing is the inflation target.
Yeah, but every time they "create" money the value of it decreases, which means they would have to pay more money while the collected money from taxes has less value. Which is way they don't don't do that if the economy doesn't grow.
It's not that simple.
@@wlan2 well... it kinda is if you are the government.
If the inflation = new money is greater than the interest on your loans and you keep getting the same nominal taxe income, wich is likely higher because of inflation, you lower your interest payments to zero.
Also if you have inflation every year then the credit you pay back is worth way less = way easier to tax than the credit you took.
Governments love inflation as long as its not hyper inflation... but according to the new monetary theory the increase in money is not the cause of inflation and inflation is a good thing!
The only peoply who feel fucked over by this system are the tax payers...
You must be Jews to be in charge of the federal reserve.
When you owe thousands, the bank owns you. When you owe trillions, you own the bank.
@DevilHunter55gonna happen eventually. A freakin trillion per year just for interest at this point
Federal Reserve, prints money from thin air charges interest? There, tell reserve to stop....
The government literally DOES own the bank.
@@WayneJakubczak JFK tried.
You sound like Kamalala.
I dont see why i cant just walk out of a store without paying and tell them to just add it to the national debt.
I think cali has a law where shoplifting below $1000 is not punished.
@@ImpPoster yeah but I also can't defend myself from an attacker. The juice just ain't worth the squeeze, my man.
It’s worth it if you are the one taking $999.99 every time.
Free Tom Ford Fucking Fabulous @@roadhoundd.
California is already allowing that. One gotcha, in order to steal something worth $1900 you have to steal TWICE.
I know, requiring criminals to actually WORK that hard is cruel, but you can count on governot Nuisance to come up with a solution for that.
Inflating away the debt is one of the oldest tricks in the book for government. It can only be a short-term solution because the government usually doesn't stop the spending.
It's basic human behavour in large groups. Human history rimes. And the neurotypicals are boring as fuck.
Its a stupid idea you're in debt cuz you're spending too much, devalueing the dollar could only lead to even bigger spending which is going to dig yourself in even deeper.
Soon there will be homeless billionaires 🤣🤣
Inflating away the debt is a stupid theory. Inflation is nothing more than a general price increase and a fall in money's purchasing power. To pay off debt, one needs to generate more than they owe. Just because the currency purchasing power is decreasing, the debt owed does not automatically become less. As inflation increases, so does the debt. If inflation can inflate away debt, hyperinflation would have made everyone debt-free in no time. The truth is, there is no way anyone or a government can outpace the rate of their earning than the rate of inflation.
You don't get it do you! The Ratio of debt to the size of the economy becomes smaller.@klikny
This country is doomed
Id never want my kids to be born into this madness
Ah the Responsible Type, i see.
@@Integritys_Sum As the song goes, “only stupid people are breeding.”
We need kids. Look at The Death of the West. Money is just fiat. When it collapses it just collapses, nothing you can do about it and people have gone through this before (Every 250 years or so).
Our system of government is unable to solve this problem; people vote without knowledge of real issues, politicians campaign using the tools of fear and hate, and every four years, the cycle repeats, with nothing getting resolved.
“you see kids, fascism has its fault, and people get carried away! but at the end of the day, a totalian form of government works! it just works!”
-Binjo the racist storytelling spirit
@jimmyday9536 we may choose the politician for a position in government, but we do not choose the candidates in most cases. So it is usually a choice between criminal number one, or criminal number 2. The people did not choose Kamala to be the democrat candidate for president of the United States. Why do candidates spend 10.million dollars to win a position that pays 400,000.00?
@svndwich977 have you lived in that type of government? Why do you think millions of people cross our border illegally.? With all its flaws, our form.of government is the best in the world, and in history.
Insanity happens
The human race will go extinct before this debt ever gets paid off.
Being able to play SimCity successfully should be a requirement to hold office.
The govt keeps typing imacheat
or use the fund trick in 2000.
I was discussing this with a friend from church who ran for town council. He was saying he has been playing Cities Skylines for a long time and we decided that logging x amount of hours in Cities Skylines should be a requirement for holding office. This wasn't in the context of debt, it was in the context of infrastructure, but the same principle applies
.RESULTS OF PRINTING MONEY. IS A HORRENDOUS DEPRESSION NOT UNLIKE 1929 CRASH , INFLATION WILL SKYROCKET, THE DOLLAR WILL DEVALUE JOB LOSES , UNEMPLOYMENT , HUNGER, DESPERATION AND TRUMP OR HARRIS CANT DO ANYTHING ABOUT IT ALL YOUR CHICKEN'S HAVE COME HOME TO ROOST 😅😅😅😊😊
Sim city removed parking lots, otherwise it breaks the game
How does bankruptcy happen? First, gradually, then, all at once.
The spiral is real haha
Yet they are calling china is about to collapse
No. Its a well understood technical term and tge us has cheated since closing the gold window and fiating bs into existence.
Why do you lie about this fact?
Well said
Yes, it can. The greedy filthy top corporations in the US made over 3.4 trillions in profits alone in 2023. Make them pay it off in 12 years.
The US government has no intention or plan to balance the budget and repay the debt. 😂😂😂
How is this funny?
Our economy struggling with uncertainties, housing issues, foreclosures, global fluctuations, and pandemic aftermath, causing instability. Rising inflation, sluggish growth, and trade disruptions need urgent attention from all sectors to restore stability and stimulate growth.
With the US dollar losing value to inflation and other currencies gaining traction, uncertainty looms. Yet, many still trust in the Dollar's perceived safety. Worried about my $420,000 retirement savings losing value, I seek alternative security for my money.
With my demanding job, I lack time for investment analysis. For seven years, a fiduciary has managed my portfolio, adapting to market conditions, enabling successful navigation and informed decisions. Consider a similar approach.
This is definitely considerable! think you could suggest any professional/advisors i can get on the phone with? I'm in dire need of proper portfolio allocation
NYCOLE CHRISTINA VANNATA a highly respected figure in her field. I suggest delving deeper into her credentials, as she possesses extensive experience and serves as a valuable resource for individuals seeking guidance in navigating the financial market.
Thanks for sharing, i did a quick search and found her web page, i hope she responds to my mail soon
If I did this I would go to prison. There are literally people in prison right now for doing exactly this money scheme.
The difference you are not back by powerful corrupt government.
Lol, we do not have debtors prison anymore and personal finances are different than sovereign debt.
If you did almost anything the government does you would go to prison. Government thrives on hypocrisy.
@@puffthemagiclepton7534 It would be considered fraud. I mean they are literally printing money to devalue the debt that is owed to the lenders...
To be fair people in jail are in jail for the lying part of the scam that was making people invest. Governments tell everyone they are in debt and investors know it's a risk and assume the risk for interest. Yes it's a ponzi scheme but they show they are probably doing efforts to make money back and not using the scheme as a whole source of income...
It is possible eventually some government will actually tax the required amount to pay expenses (including debt fees and payback in part) and eventually get rid of the debt. But paying interest to citizens that i vest and other countries versus taxing its citizens able to invest (the rich).. Investor citizens are happy with the current system as you may expect so little change
The US government never had any intention of paying that money back.
There is something called trust and value.
If the gov gives even whiff of inability to payback, dollar value keeps going down
So true its just a number in computer sever which will be written off
@AtheistfanGuava And know you will lose either way, so that's why you keep giving.
Paying it back to who?
Then the rest of world will give up dollars.
Basically the problem is fractional reserve banking and abolishing the gold stand
Just 1 billion is such an incomprehensible number to me. 1 billion is made of 1,000 million. It literally makes me want to gag thinking a trillion is 1,000 billions. It is so beyond anything our minds can even comprehend.
And yet our snake overlords in power (let's be honest there snakes) see it as a by product of there race to power
Yep, I remember it was a rarely used number, but it's quite popular now!
The eldritch debt
It's just made up numbers on a computer😂😂😂
Well, when money comes from thin air you don't care about the amount
My mother purchased her house in 1975 for $15000. In 2009 it sold for $1M sadly, she wasn't alive to see it. bless her.
She definitely got that value as housing in the area where she decided to live in. She may have not had that $1M in cash, but just owning that asset would have enabled her to use it as collateral for large loans, earn income by renting out a spare room, etc. She would have had a bundle of cash by selling, but without relocating to somewhere cheaper to live, she would be spending much more for housing (especially if she had paid off the mortgage by then).
That just shows how far the value of the money has fallen. When you could once buy that house for 15k and now you have to pay 1 million.. that means money is basically worthless now. It takes a lot more to buy the same things
The good news is that real estate good hedge against inflation and you can live in it.
I paid off my car note after 4 years and have 1 credit card and my credit score dropped out of the 700 range. The US government is 35 trillion in debt and the have a AA+ rating.
It's almost as though the government is nothing like a person and can do things ordinary people can't.... Imagine that
The system NEEDS the US government to not default, otherwise the everything goes to shit
Tax Payers can't afford foreign wars.
When I paid off my cars and my house my credit score dropped like 10 points.
Mee too, that sucks 😢
Congress would simply pass a bill saying we don't owe the money. The U.S. does whatever it wants.
I've pondered this as well... My concern is that blowing off the other bond holding Countries will really make them upset and we would have to appease them in some way to make them whole w/o conflict.
finally someone who gets it.the gov does whatever it wants
Thats hilarious. Theres 83 trillion dollar in the entirety of the planet and we owe 40% of that.
The RIAA could pay it when they won that lawsuit against a kid who pirated a song on Napster and sued him for more money than exists in the universe
Yea you do because of overspending, that kind of living standard is not sustainable on the long run and that is the main reason why US waging wars around the world to loot and drain other countries resources. Really like a virus, a kind of skill well learned from neocolonial European countries and UK.
@@LeetHaxingtonAs a person who studied the music industry in school, that is an amusing diversion… sadly, it seems the u.s. government has about as high a chance of paying g back this debt as that kid did. I hope he’s ok.
You need a brain
Atleast America has something to proud of other than so many genders😂
“We spent all the money you gave us. We need more of your money to fix it.”
Based
I feel like removing gold standard was a dumb move then again im sure these so many other factors involved
You make it sound like the government is a leech, and it feels like it is a leech. High prices with taxes and not seeing a lot of effort to improve the situation.
Then we don't give them our money. Screw em.
They also spend that money on American citizens though. You realize that almost all of the social security, medicare, education, and military spending stays within the US? 79% of the US federal debt is also owned by American lenders, i.e. very little money would have to leave the country for the US to pay back its debts.
The entire issue with "Inflating the debt away" is prices never come back down. Our $5 gallon of milk will look cheap in two years. The entire money system is designed to fail, the only question is how long can they keep it afloat.
Not really, the real problem is that the last time the US pulled up this shit Europe was desperate for USD so they could basically do whatever they wanted, if they did it today the dollar would lose too much credibility
Agreed. And also in the case of US the debt accumulation rate is outpacing the forced inflation rate, so inflating the debt away will never work. The only fix is a multi-generational national commitment to significant tax hikes or to significant social program cuts (social security & medicare).
Buy BTC, ETH etc
@@MatterLivesWhite because that stuff doesn't change in value
My guess is not very long with the wages mostly staying the same....
I agree with Warrent Buffet, hold Congress accountable and make them ineligible for reelection if they can’t do the job well.
Dream on😢
There’s literally not enough money in existence to pay it back. We had a debt-based currency. No debt = no “money”
This doesn't actually preclude paying it off.
@@BastiatCsure, have fun with an economy without money after senselessly paying all debt back.
no idea why you would do that but it sounds like a nice retirement hobby to do that for no reason
There's literally never been a period in fiat history that there was enough money to pay off all debts. Debt is money and the way money is created. You're complaining that the sky is blue. It literally, by definition, works that way that you always have more debt than money.
@@jaazz90 thank you!
Boomers essentially set up zillions of accounts, maxed out credit limits to live luxurious lifestyles, and then retired/died so that the millennials and Gen Z would be saddled with the eternal debt slavery that would follow.
Another problem with inflating away the debt is that prices become too high for people to be able to feed their children, and the money in retirement accounts becomes worthless and the elderly starve.
This is the result of lobbying on a large scale long term
And you will have nothing and be happy
You will own nothing and be happy
Inflation spurs economic growth which increases wages, so as long as that keeps up there are no issues.
Also retirement accounts should be invested in the stock market which returns higher than inflation.
@@loganwenzel1615 lmfao you must work for the government.. in the real world wages dont increase when inflation increases. not until its already been killing your wallet for a year and it will always lag behind inflation.
i make less now at 30$ an hour than i did at minimum wage 10 years ago.
Yeah, let’s print our way out of this. Inflation as our savior. No country has ever tried THAT before. Actually, it will destroy our fiat currency. It’s only a matter of time.
That's the plan, them they'll swoop in with a solution to the problem they purposefully created. The solution is CBDC with total control and full surveillance of every dollar spent.
How do you think we repaid the debt we incurred from ww2? Inflation literally ate it away. I’m not saying that’s something we should try again. But it is one of the reasons we were able to actually pay that debt down
@@brennangum6236 At that time our dollar was backed by REAL money-gold and silver-as proscribed by Article I, Section 10, Clause 1 of the United States Constitution. Impossible to inflate our money supply enough to remove the debt without completely obliterating our fiat currency.
@@YankeeStackingyour a money channel and don’t know that the US debt isn’t Real? It doesn’t have to be paid to anyone, US national debt barely if at all affects the economy
💯
$24,000 USD in 1970 adjusted for inflation is $195,000 in todays dollars
Another school of thought, if you owe a bank $100,000, you're in trouble but if you owe a bank $100,000,000, they're in trouble.
proof?
That's War Money. All of you are Con Artist.
@@NuclearNuke41 Well, what's a bigger loss to the bank, $100K or $100M? In the bank's risk-reward assessment of you and your likelihood to pay back the loan plus interest, which is a greater failure when betting on you, a $100K default or a $100M default?
@@kristalwatts3744dollar value also plummets,if it defaults.
It's a tsunami after that, inflation and costs skyrocket.
Yes but then people won’t trust US bonds as much and US investors will be throttled
One huge thing he got wrong about his assessment is when he said “as inflation increases our costs and WAGES increase” we know from statistics that hat wages are not increasing at nearly the rate of costs. This is why the middle class is shrinking. As things have gotten more expensive, most people’s income has stagnated causing increasing levels of poverty.
Also a certain generation breaking the trend of giving "generational wealth"
I mean, he wasn't wrong though, wages have increased. He didn't necessarily say in proportion to expenses.
If you had watched the rest of the video before commenting, you would know he did say afterwards that is the theory and that it has consequences and unintended effects.
He didn't get it wrong, the us targets a 2% inflation rate because this is around the rate for inflation they consider sustainable for the speed wages increase. Anything higher and it becomes a problem.
Every time there is a massive wage increase, prices go up and unemployment goes up like we're seeing today.
But if i go into personal debt everything is taken from me, the government goes into debt and still take everything from me lol
That's the main issue with US.
Where I live, the government are there for the good of the people.
In US, the people are there to serve the government.
@@NidvardMilitary, you mean. That's where the waste is. Imagine if we had a war on ignorance instead of a "war on terror".
Lie. Anyone with a mortgage has a debt-income ratio faaaaaar worse than the USA.
Solvency is determined by comparing liabilities to assets, not income
@Nidvard where do you live?
@@CG-dd9tb that's a bit of a stretch, if I sell my home I walk out with $200k cash in hand after taxes, realtor fees closing cost etc.
A 2% on my home loan is making me more money living in it then if I were to sell it and get an apartment or rent a home, which in the current market would be a major downsize.
I also have no reason to pay my home off early, can I afford double even triple payment, sure.
But why not use that money on lowering high interest loans or even just putting that money in a high yield savings account, where I could actually gain 3% on my money over vs paying of my mortgage 15 years early.
4:58 “do you want to pay more taxes?”
How about we make corporations and billionaires pay their share and stop bailing them out? We are in this debt because the government keeps bailing out banks, airlines and all other corporations. Instead of trying to screw the people (middle class and lower class).
Yeah the extreme bias of this video is showing 😅
When this goes boom, the world goes with it.
Inflating the debt away is a ridiculous concept with such a large deficit. If our dollar inflated that much in the coming years we’d be worse off than Venezuela.
That's the plan. Crash the currency, instill CBDC. That will ostracize us from the rest of the world, as they are moving back to gold standard, trading in their own currencies. I bet states will secede, something like the Balkan states.
The people in charge are puppets of a much larger plan. That's why only inept attractive narcissists are chosen for installment.
usa sanctions are venezuela's problem. left alone they would do fine. usa does not want the poor to get to eat, it wants that oil for its gluttonous corporations and morbid rich.
THATS THE POINT!!!
@@IsaiahBlunkall ding ding ding, winner winner, chicken dinner!
Wait, corporations only pay 9% of US revenue?! They're the ones making all the money!
yeah, interesting how he just glosses over that. almost like this whole piece is corporate astroturfing
@@chrislindfors8776 He wouldn't get his payout otherwise.
End all shell companies. Double, Triple, hell quadruple the taxes on big businesses. They will still survive and return profits!
@@CrackerSmith A bit radical lol, but I do agree that we need more transparancy and regulation for businesses
Having those tax loopholes open are one of the reasons why the US is somehow the world's largest tax heaven.
Hence why if you cover the loopholes, the country will experience a brain drain from the big corporations packing up and taking their smartest personnel with them.
Its an unfortunate juxtaposition that everyone needs to know
I live in WV. The federal government spent 27 million repairing an old bridge that still can’t be driven on. It’s now a pedestrian bridge.
I.hope it is a good pedestrian bridge.
That's your state government. They got the money. Tried to cheap out. Now the money is wasted.
27 million ?? I would question their intention of repairing the bridge such as just an excuse to exploit money.
@kristahumphrey8165 hire your brother for a contractor, and get kick backs from him. It happens all the time. In Palacious Texas, there was an old wooden bridge which connected the mainland to an island in Palacious bay. A hurricane destroyed the bridge, so another state of the art concrete bridge was built with FEMA money. A local rancher grazed his cattle on this island, and there was no other need for the bridge. Why was it built in the first place? So you and I paid taxes to build this bridge so this rancher could look after his cows. This is just one of the reasons that I object to paying taxes.
I once put $7k into fixing my air conditioner and then another big part broke 3 weeks later and it was unfixable. The point is, things like this happen occasionally, it’s not the norm. Don’t make it into something it’s not, that doesn’t help anyone.
"President Reagan said deficits don't matter. " former VP Dick Cheney
Well thanks, Uncle Ronbo, for that lesson in poltical economy - a man, by the way, who received low marks in all of his college economics classes ... 🤔
Its stealing money from everyone before they can even earn it. Then blaming them for not making enough money, and blaming them for not being responsible enough to earn more. Now lets punish everyone that’s in debt and cant pay.
You have it backwards -- federal deficit spending *adds* savings to the private economy. It doesn't remove money. Taxes never pay for any part of the "national debt."
@@randyallred2382that's by design.have you heard the saying you'll own nothing and be happy?
@@charlebrownga Who said the USA was free? Let me guess… nice people… pretty… well spoken… on TV?
Dumb trump, the orange Clown, made the most debts!
Despotism
5x more earned from individual taxes than from corporate taxes is crazy
And if you raise corporate taxes, the corporations move to another country where they're taxed less. Either way, the common man loses
we literally had far higher corp tax rates and a better tax system before that worked, breed innovation, and helped the middle class strive. But nah let's keep giving more to the top it'll work eventually right. It's like the US forgot that McDonald's apple Microsoft etc were created under a far higher taxed environment. We literally did it before i don't understand why people think oh that'll never work.
Well to be fair tho the systems the bigger issue. No company operating in the US or selling in the US should be able to pay 0 in taxes. Wild that loopholes allow that to happen. Not even loopholes, designed that way but it was so good before, we didn't have a corrupt written by corps tax system
@Willum2 except you forget NAFTA and China exists
@Willum2
As long as American companies dont have to be American to function in America, raising taxes on them is a stupid idea.
Even at the lowest tax rate in all of history, all of manufactyring has still basically left the country, and even high level white collar jobs are being given to H2Bs or straight up exported to some other country for remote work.
Raising the tax rates could work for the largest retail/service stores (Walmart, 7Eleven, Amazon, Dominos, etc) but the problem is.... they own the markets they are in. They can just raise the price to offset the cost to the taxpayer - and the only way to fix that, would be straight up tyranny by having the government itself legislate wages for the private industry.
Rock and a hard place with another spikier rock. Monopolies suck.
I paid into Social Security for 54 years. I started pulling it at 66.5 years old and pay taxes on it still. Forget my medicare for this example. So for 54 years my money went into the budget where they collected interest while I paid into it hourly. I will die way before my account could ever be cleared. This is why the FRA (full retirement age) keeps going up. Not only do they not want to pay us back, but shorten the span of years they dole it out.
And the Democrats stole 60 million of it to fund their sham impeachment of trump. While at the same time our government gives hundreds of billions of dollars to countries that hate us, as our social security fund goes broke!!!
I’m 25 and I don’t know if retirement will be possible for me and my generation. This is so sad.
Why did you invest in that? Should have bought land .
@@trevorphilips5677 sorry dude. I am owed my social security but the democrats are talking about giving it to illegals now. It will be gone when you are 75. That may be the minimum age you can start drawing by then. They keep raising the age. When I was younger people drew at 55, then 62. Now for me born in the mid 1950s my FLA was 66.5
The issue is that Social Security is a government ran ponzi scheme. The citizens did nothing wrong, but your money that you paid into Social Security went to fund those collecting social security ~54 years ago. It is not an investment scheme at all. The first social security checks were issued immediately to people that did not pay into it.
We simply need less government. Downsize immediately. We must make unpopular decisions.
That is the JOKE on the people. Anyone who talks about this and does not acknowledge the FED is NOT a bank.
That’s right. The federal reserve is a PRIVATE bank. It’s only as federal as FedEx
The Fed doesn't force congress to deficit spend.
How ironic,... a large percent Australia's economy comes from selling coal to china who burns it with no regard for pollution,.. isn't a member of the Paris Climate Scam Accord,... to which the US tax payer is forced by demcorats to pay trillions,....
...We won't mention all of the deficit spending tax payers are forces to pay for Australia and most of the rest of the world's defense...
....and this cluelessgenZaussiepuke has the gall to talk about US debt???
Worse, the FED is a PRIVATE bank only intent on profit to the detriment of everyone else.
My pension fund is getting 4,2% in $ right now. For just 6 months.
So, your aircraft carrier belongs to you and the vessel it selfs protects my pension fund.
Yes, you are f**ked over and laffed at by the rest of the world. Still need to buy popcorn for the Trump election.
Btw, it's called "walstraat". And no, you do not have to learn Dutch. We speak english when we want to sell you something. Like chip manufactering equipment.
Keep designing stuff on your computers while we (the rest of the world) build it.
No, but they are bankers.
Bill Marriott once told me that when he moved to Washington to open his first hotel, he owed hundred thousand and was a failure. By the time I spoke with him, he said he owed a hundred million and was a huge success.
Not risking his own money and controlling all the cash flow
Yeah owing 100k to the bank is your problem. Owing 100 million to the bank is the banks problem
corporate taxes being 9.4% while income being more than 50% is a crime
It's really not
do corporations pay income tax?
The federal reserve bank, IRS and income taxes need to be abolished. Tariffs and corporate taxes should be increased. A majority of federal and state government agencies should be abolished as well. Banning corporations from owning residential property with four or less units should be implemented. Also, banning all foreigners from owning real estate must happen. Mandatory national union membership should be a reality. To end it all ceo to lowest paid worker pay should be pegged at 5 times. If those things were to happen the U.S. would be the most prosperous country in the world
@@r.d.9399 those are the dumbest things ever
@@r.d.9399 Did you not see that income taxes made up more than 50% of the governments income? They ain't letting that go.
Question. Does the private bank the Federal Reserve Bank file taxes? After all they are a Company!. Let's see their books.
The same thing happened to the UK. We went into National Debt in 1815 due to the Napoleonic Wars and we are still paying it back at around 100% of GDP.
UK dollar has a good amount of buying power. Seems to me, an outsider, things are looking up. 😎
I wonder IF the ROTHCHILDS had anything to do with that?
Small hat tribe has something to do with it
Dont forget China. 250% of GDP. They had a slower start, but have accelerated to the point they might legit take US' title if humanity survives long enough...
Just live in a dream world.
Paper currency is not repaid to anyone.
Its just paper,
Debt owed to federal reserve is only a fake system created
The national debt is now over 35 trillion. In 9 days it went up by over 1.2 trillion.
It's over.
The are struggling to pay the interest on the debt but the 34 trillion is still sitting there.
It’s over pack it up this isn’t going to be a happy ending.
It’s not, Kennedy said if he was elected he would invest into bitcoin and if we played the cards right the economy could go up to 40 trillion per year and we’d be able to pay off the debt and a lot of other shit. It’s just sad people can be so blinded
I’m sure some Jew will devise a plan that will save us.
@@iknowthetruth4ever800 That's exactly right. The interest on the debt is staggering.
@@Lil_Sammy1
That’s…not how economics works. How would bitcoin save the U.S. government? The government would still have to buy all that bitcoin and hope it doesn’t collapse in value. That’s not a good way to plan an economy
Paying interest for “money” created out of thin air is the most criminal and the stupidest things human came up with
This has been done before. #Jews
Hey, that's very anti-semitic of you. Retract your statement or face bias charge by the merchant guild.
@@-Swamp_Donkey-Okay man, so you’ve done a bit or research and discovered that a number of villainous bankers in history have been Jewish. Okay yes that’s true… and? You know who else is Jewish? That nice deli owner down the street with a wife and three kids who don’t even get into politics or have anything to do with finances. I could provide tones of examples of normal upright Jewish people living their lives. It’s like blaming all Christians for the crusades and instances of church corruption, or all white people for the Atlantic slave trade. You want to make an argument that sometimes bad actors try to deflect from their misdeeds by using the antisemitism card fine, but you saying something like this legitimizes their shield.
You know how many people do not know that.
Well, interest for you and me.
The banks, at times, have straight up negative interest rates.
The government pays them made up money to make made up money, y'know, instead of just giving it to struggling working class people.
And no, it is not the "Jews," it's the owner class seeking to subjugate the working class. Eat the rich, and maybe you'll get your government back, too.
Also, ain't just us... As of February 2024, government debt was equivalent to 97.1% of GDP (Source: House of Commons Library, “Public Finances: Key Economic Indicators”, published March 21, 2024). The United Kingdom’s national debt, also known as public debt or government debt, has been steadily increasing over the years. As of recent estimates, the total stock of government debt stood at around £2.7 trillion (approximately 99.4% of the country’s GDP) in July 2024.
Remember in the movie "Total Recall" Arnold said his home was on earth and the Martian guy was like..."Yeaaah right. Nobody's that rich"
😂😂😂😂😂
Humans are the only animals that pay to live on Earth. 😂
Slavery babe
@@SportZFan4L1feyeah and if you don’t have enough of a made up currency that determines your place in society you’re shunned and you aren’t allowed to have a home.
@@SportZFan4L1fe we are the only ones with houses, it would b free for you if you just got up and lived in the forests with the animals. the yukatan is nice this time of year give it a shot
Old timers in politics really destroyed this country leaving this mess for younger generations to figure out. This is so unfair towards out kids and grandkids to pay for this incompetence.
As a millennial, I agree. However, I think the bigger problem is that for the most part, the next generation of leaders hasn’t shown to be any smarter, or more ethical. The people that make it to the highest echelons of power are still playing the same games that politicians have always played.
Not "Old timers". Politicians. AOC was the one pushing that "Green New Deal" garbage, so it's not just "old" politicians who are fiscally irresponsible. How many voters picked the candidate whom they felt would be best for the country, compared to how many picked the candidate whom was best for them personally? Politicians get where they are by playing on the greed of their voter base, and it is everyone's fault for letting them get away with it.
@TXP9 The difference I see is that previous generations were more subtle about it, while the new generation of politicians are unapologetic and transparent about it.
The democrats are keeping it going tax the he---LL out of everyone and spend & waste as much as possible. 🤦🏿♂️
@@TXP9I think it's actually getting worse. And everyone wants younger leaders that would just be even worse they have zero concept of saving for the future.
Everyone in Congress who signed off on these expenditures should be forced to pay it back. They created this debt. Enough already.
66% of the fed budget in 2021 was entitlements. That number is down to 55% today.
We are giving away so much crap to shall I say single mothers, their children and the wannabe disabled that it is crippling our country.
We created this debt. It's why 6 billion people were created in less than 100 years. Good job.
they were voted in and then reelected time and time again it’s the voters fault 🤡
@@Karen-bx6ol every congress person who voted to raise the debt ceiling should be voted out
And you'll still vote for them when they cut social spending while increasing taxes drastically? It's kinda the voters fault for voting reps that were happy to take debts
An excellent presentation. My appreciation from Indiana, USA.
1 trillion in interest every 100 days. Equals 85,000$ a second. Something bad is fonna happen so they can make their debt disappear. But not ours
Something bad like trying to start a war with China?
I'm not sure they would dare to do that. Too risky.@@Vhlathanosh
Sho ya right. ( in my Barry White voice).
😅 every land, infrastructure and natural resources gonna be bought by corporate entities and these entities gonna own everything, American gonna be their slaves.
after USD collapse after WW3, to make excuses. new monetary systems will automatically convert assets into token.
nobody will be free.😅
U.S has over $9T needs to refinance with higher interest rates in 2025😂😅
Corporations and banks with their political minions from both parties caused all of this, yet public gets the blame. 😂😂😂😂
We live under the rule of malignant narcissists. They are never at fault. Someone else is to blame and they get power by gaslighting us into believing lies and lowering public confidence.
Millions die under capitalist greed.😊
Central Bankers are more powerful than nations, change my mind
Privatize the benefits, socialize the detriments (and the blame too)
yeah I like that there wasn't even the discussion of corporations starting to pay their share of taxes
The public shares the blame, because they keep allowing this to happen.
Everyone votes for "the guy who brought more jobs to our district" or "the guy who made sure I could get an abortion" or "the guy with a cross on the wall of his office".
Nobody votes for the economics nerd who tells them they can't afford things.
If we had mostly voted for the economics nerds for the past half-century, we wouldn't be in this mess.
The US national debt is more than $35 trillion, with 22% of it held by foreign entities. The US also has $40 trillion in unfunded Medicare liabilities and $26 trillion in unfunded Social Security liabilities.
The US dollar is the dominant reserve currency, backed by its perceived strength, allowing the US to print unlimited dollars as long as the world maintains trust in it. The US dollar is the backbone of US power, and any actions that undermine confidence in the currency threaten to destabilize its position of dominance. Each unilateral sanction imposed by the US risk damaging the stability and credibility of the US dollar, leading to dire consequences for the nation's power and influence. The US is the only country actively undermining the strength of the US dollar. The freezing of Russia's $300 billion currency reserve by Western governments may lead countries to reconsider investing their funds in US Treasury bonds and finding ways to reduce their use of the US dollar.
A significant portion of US dollars is held outside the US, estimated at 60-70% of all US dollars in circulation, due to its status as the dominant reserve currency and wide use in international trade and finance. The one trillion dollar trade deficit of the US is a consequence of being the reserve currency, as a strong dollar makes it difficult for US businesses to export goods and services while simultaneously making it easier for other countries to sell to the US. Countries are expending resources and labor making goods and shipping them to the US in exchange for green pieces of paper. The US is sending back mostly empty containers.
The US budget deficit is $1.7 trillion in 2023 which must be paid for by selling more Treasury bonds. The interest on this debt is twice our military budget. The government sells more Treasury bonds to pay the interest on its debt, leading to a cycle of increasing debt. The US printing of dollars has been exporting inflation in other countries for decades, but will eventually increase US inflation. Raising interest rates to fight inflation decreases consumer and business spending, increases the trade deficit, and higher interest payments on government debt. Other countries will respond to the US raising of interest rate by raising their interest rate, risking global recession. The Plaza Accord addressed this issue in the past, but it will be challenging to implement such measures now.
A well-run country collects taxes to fund essential services and infrastructure. In the US political system, wealthy corporations and individuals can lobby for tax breaks. The shortfall in funding for the US government has reached $34 trillion. Instead of collecting taxes from wealthy corporations and individuals, the government pays interest to them. The top 10% of earners (36%) and corporations (9%) together contribute 45% of total federal revenue.
Banks hold Treasury bonds for their safety, liquidity, regulatory compliance, and potential profitability. When interest rates on Treasury bonds rise sharply, the decrease in existing bond values reduces liquidity and makes it harder for banks to raise cash quickly. This causes depositors to lose confidence, triggering a bank run. In response to the current bank run, the government is issuing Treasury bonds to raise funds to compensate depositors for any lost funds. There are $19 trillion in deposits in US banks. The estimated unrealized loss on US banks' financial assets is $1.94 trillion, while the total size of their equity is $2.1 trillion. SVB had a $15 billion loss, while their capital is $16 billion. Around 2,315 of the 4,800 banks are currently on assets worth less than their liabilities. It's a systemic issue.
A similar issue is being played out with risker Mortgage-Backed Securities (MBS) valued at $12 trillion.
The new Bank Term Funding Program (BTFP) helps prevent discounted bondholders from taking losses when they must urgently sell them. The BTFP accepts discounted bonds at face value to be used as pledges for loans to inject more money into the economy. Risking more inflation.
It's a Ponzi scheme. Ponzi scheme cannot taper. We reached the can and there is no more road.
That's quite a detailed explanation of the situation. Many thanks for sharing.
I can think of many scenarios as to how this will play out, however, I have no idea which is how it will go?
Can’t the US just cancel all the debt it owes itself with an act of Congress? Couldn’t the US also shift to a 0% interest Treasury Bond? Over time with no-interest borrowing the uncanceled debt can be repaid. The question is would Treasury Bond demand evaporate at 0% interest? As you mentioned there are a lot of dollars floating around out there and if Treasury Bonds basically act as a savings account for dollar holders, then doesn’t the address the demand problem?
Also, if we switched to a digital dollar that allowed for a progressive consumption tax, do you think this consumption taxes could be imposed on all users of dollars? If so, do you think that would undermine demand for dollars?
@@timgwallis Yes, consumption tax would be the only valid way out.
So far in history, the rich and powerful, who benefit the most from the debt, have never given up their own wealth or power in order to safe the others. Unfortunately, when I see how many billionaires support Project2025/MAGA and else, I do not see that happen. But yeah, one solution would be to take the massive wealth away. People like Peter Thiel rather want feudalism. (quote: freedom and democracy are in my view incompatible)
An additional problem is that this debt funds medicare, the military and other government institutions, which the entire economy is dependent upon. That would cause mass unemployment, which reduces revenue, and additionally cause mass unrest.
EDIT: I just saw that they suggested to inflate the debt away. This is absolutely not working today anymore. You can inflate the debt away if everybody stays similarly rich, however, the inflate the money of the masses away, while the rich keep getting richer. Inflating the debt away does not work when you simultaneously do not tackle inequality, CEOs getting inflated away at nearly zero, but the wages of building workers gets inflated to unlivable wages.
There is still hope for you guys, but you need to defeat a few demagogues! You always wanted to be special, now you can prove it! :)
Yes, it can. The greedy filthy top corporations in the US made over 3.4 trillions in profits alone in 2023. Make them pay it off in 12 years.
It's actually 50.7 trillion
"Inflating the debt away" is basically a silent tax on the working class. The investor class will hedge against inflation through buying assets and bonds while everyone else's buying power decreases.
This is why there could be social unrest--when more and more people cannot afford basic necessities.
do you realize wages also increase with inflation?
@@marcuskissinger3842 not at nearly the same rate as the cost of goods
@@marcuskissinger3842 there's no incentive for employers to raise wages at the same rate as inflation, aside from workers unionizing, working together, and fighting for each other. The only problem is that the US has degraded worker's abilities to do so *massively* over the past 40 years
It can work, wages also increase. When you have a society where more than 80% of the population own their home, inflation isn’t that bad. For many countries this system worked perfectly, the population didn’t trust the currency that much either.
When Italy changed to the euro 1000 Lira (their previous currency) was one dollar.
Today the euro prevents that system and they going bankrupt like Greece.
@@connerair3520what’s the evidence for that claim?
One reform id like to see is people going to jail for wasting govt money (federal and state levels).
For ex: the fed govt spent $7.5bn on ev charging stations recently- and only produced 8 ev chargers in 2.5 years.
There are dozens of stories like this each year and no one goes to jail.
We are taxed enough already - some of us pay 50% in fed state and local taxes- that cannot be the answer.
I call it legalised corruption. It seems to be big in the US
Study the public-private partnership structure that's common in the US. Both Federal and State level. You end up paying at least 2-3x for worse outcomes. The DoD is especially bad about it.
It's nuts.
Wonder how much corruption there is in the Inflation Reduction Act, how many more Solyndra's are there now?
Already a thing. It is rarely enforced.
"Pay your fair share!"
-Joe
How many billions and billions have been spent or given away in the form of grants for absolutely ridiculous and unnecessary things.
1 billion = 0.001 trillion
The debt: 35.000+ trillion
So let’s say we’ve given away 5 trillion dollars in foreign aid the last 29 years… is that not an important conversation because it’s not the entirety of our debt?
Or spent for military shit or pointless research?
That's leftist economics. If they got rid of tons of useless government programs there would be less to spend on, and if the taxation rate for business was lowered, people would be more productive like in the 80s
@@darkzeroprojects4245 Military funding gor us the internet as well as many things lmao. Now the US does spend an insane amount of money on their military, though giving billions away over the past 4 years to Ukraine didn't help either, especially with people struggling in the US.
It all hinges on having a balanced budget. With the crew we currently have, good luck with that.
Until now I kept thinking that things just keep getting more expensive but actually things have the same value as always, it's just that the money is worth less and less over time. Learned something new today!
Well sort of. Somethings do cost more than they used to relatively (homes) somethings cheaper (tv)
Inflation is a box whit diffrent products, there the goal to allways have 2% inflation.
Because of politicians cannot pay off debt, they can make inflation goes up easily. So your debt of 100 dollar will be much easier to pay off in 10 years time.
The US government does 2 neato things. 1 it prints or creates on a screen any dollar amount they need to fund whatever it is they want at the expense of devaluing the dollar. 2 they collect taxes and only partially use it for the benefit of the taxpayers. The other part is sent to other places in the world. So in essence big guv double fks the people on taxes.
Well thats not true. The problem of Inflation is, that products cost more in relation to others and the loans. So products do cost more.
Isn't it odd we have a national debt that can't be payed back but we have and have had so many extremely wealthy politicians that didn't get rich until after becoming politicians or came out of a political family that got richer during the persons time in politics?
Politicians are in the business of creating generational wealth, not public service. This isn’t news.
Right, the become millioners by giving lectures and selling books. While in office, everything is free, House,Food,Medicine,Booze,Transport, and with their salary they come out with billions. Numbers don't add up
@xser1ousc0mbatx
No it's not odd it's by design.
The national debt-Treasury bonds-are constantly paid back as the bonds mature. It happens while you sleep. The so-called national debt is not a burden on anybody-now or in the future.
@@randyallred2382
34.7 trillion dollars in debt amd borrowing more and more every day at higher interest rates. If you don't think it is nothing to worry about you are a complete fool.
Corporate tax is only 9% of earnings is crazy.
Corporations don't pay taxes, they pass along their tax liability to the customer.
@@GoodCitizen-g6fNot if doing so loses them more money than simply paying the taxes.
Where did your get your info ? In another life, I worked in business and corporate tax on profits was 52%
@@GoodCitizen-g6fnot necessarily. Depends on their elasticity of demand. Industries centered around petroleum, for example, can push the costs to the customers because there are little to no alternatives. Everyone has to use gas no matter the price. Clothing industries, on the other hand, have tons of alternatives and people can go years without getting new clothes if prices go up. Ergo, they can’t shift costs downwards as effectively.
@@DookyButter
A corporation is like the government. They have no money until something is sold. In the price of that item is the tax the corporation must pay, plus all dividends on stock, and wages and salaries for employees, not to mention the cost for resources.
A data point that was missing is rate of growth of tax income vs rate of inflation. This is a critical point that is neglected when talking about using inflation to soften the burden. This negates spending and focuses on policy impact to purchasing power.
"Do you want budget cuts?" No, I want the money to go to its intended purpose and not some suit dressed up gangster pretending to be a politician.
Government = legal mafia
SO YOU AGREE that the US military and police budgets should be cut by 80% to a normal working amount for their intended job?
@javvieh The military budget is only like 12% of federal spending. Sure it could use some trimming but the vast majority of the budget is welfare spending at ~65.
@javvieh I'd rather spend money on civilian defense rather then the "defense" of some backwoods country
Those "backwood" countries are our national interests and trade routes. Who do you think will start dictating international maritime routes if the U.S military starts shrinking? Think before you type anything
I remember in high school when my history teacher told me that the country was 8 trillion dollars in debt, I was in awe. I thought, the government might have the dept half way paid in 5 to 10 years, certainly gone within 20 years. I never would have thought that the debt would have more than quadrupled over the next couple decades.
oh they must not have told you that the government has created a deficit in 61 of the last 70 years then
it's supposed to work this way.
@@icygood101 It really isn't
@@Nidvard actually it is. the inflation is targeted, credit expansion is the tool used to stimulate growth and the government plans all of this and continues to stack up debt because... it can.
not saying it's desirable but it is deliberate and it's obvious that the debt will really never be paid just renewed indefinitely for as long as the U.S. economy is still going strong.
@@icygood101 yeah, I'm not denying that it's deliberate. My point is, as you said, It's absolutely not desirable
The US dollar will lose reserve currency status at some point because of this type of behavior. The fiat debt based currency system has shown itself a proven failure, and it's causing a ton of suffering worldwide for the common people.
Its slowly eroding, when Saudi no longer make USD the default currency for oil deals.
Not will lose... It had already lost quite a while ago.
Several nations most of Brics now trade using local or Chinese Yuan as it is not going to be used as a weapon through sanctioning that the US seems eager to use.
Since hystory FIAT currencies exist is not new.. And it always end very badly: wars, revolution, social unrest, Dictatorships etc.. FIAT CURRENCIES IS THE BIGGEST CRIME AGAINST HUMANITY EVER MADE
thats naive@@kennztube
Maybe we shouldn’t be buying toaster for 20k each for the military. We are getting scammed by military contractors
The government should be in jail for this crime.
So loans is a crime?
There has been no crime, and you should be so lucky to live in a very nice part of the world. Apparently you haven't travelled much. And yes, all the other nice places have debts too!
Then you should be in jail for electing them
Then support Trump to jail all of those criminals in your "white house"
Everybody knows since Reagan that all you have to do to fix the national debt is cut taxes. Easy!
WOW! The Federal Government owes each person around $104, 000!
You get it.
Doesn't the government borrow money from other countries? Why does it owe its people money?
No they didn't take money away from the citizens, he just compared the national debt to the population
@@beelzebub3920 they very much do take our money.
No it means that is the burden each of us carries to fund ridiculous spending.
Neither of our major political parties will ever do anything about this
Try the Green party if you're serious about ending the corporate duopoly of Republicrats and Democans.
They don't want to. Governments make money off of bonds
And why would they. They will be dead a long time before this empire collapses. Usa has a century left if there is no civil war in next 50 years. There is nothing special about Usa that other empires didn't go thru. You may elect leaders but you are pushing away allies faster then you are going in debt. And non of the allies are equals. 10 years ago we voted a prime minister in Croatia but Usa and EU didn't like our vote soo they said no. And they gave us a Canadian born Croatian who couldn't speak Croatian until we "changed" our minds about our vote. They understand that at one point the debt will be erased as there will be no Usa to pay it. All this Rep/Dem fighting is about votes not the future.
Because it’s a nonissue. Both parties just make it into an issue to win elections. Literally every country is in debt to each other, there isn’t a single country that is in the green in terms of debt. It’s about who has the least amount of debt. And America has one of the lowest debts per capita. No country will ever call to country to repay their debts because it will carpet pull everyone. In other words, it’s a debtors circle jerk.
Because its not an issue lmao.
National debt is good policy, and provides funds for government investment that can grow the economy faster.
This argument is so foolish. When the federal govt runs a deficit that money is in circulation.
When the US has had a balanced budget recession has happened.
Reducing the deficit just removes currency from the market. Which obviously is sometimes necessary.
Raising new bonds to pay off old bonds is the definition of a pyramid scheme
I think that's more of a ponzi scheme.
say it louder for the ones in the back.
it is like people that use 1 credit card to pay off another credit card
Aka robbing Peter to pay Paul.
It's like borrowing from a loan shark to pay the other loan shark 😂😂😂
For some reason people have forgotten the Truman Committee. You can recover quite a lot of that deficit by auditing the books and granularly cutting stupid and wasteful purchases. It's like pruning a rose bush - leave the flowers alive and trim out all of the bits with nothing but thorns.
Trump 24 ❗
@@oscargluja426trump blew up the deficit! He slashed taxes and made things worse!
Problem is, nobody wants to get pruned. They’ll howl forever if they get cut.
But then you’d find all the money laundering the government is doing
@@dukes1993724 then maybe they shouldn't have been stupid and wasteful right?
Greed, sin, corruption, immorality, etc. Lawlessness and lack of character will destroy any country.
And not treating people right and not taking care of home first. It's all Greed Power over you
@@LisaJones-lg8lu well, it's unprecedented that a small foreign racial minority controls a superpower but here we are
Pastor Ortlund has the best outro music on RUclips, hands down
The irony, a nation where the bottom half of its citizens constantly struggle with out pacing debt and rising prices, is now itself, facing that exact issue.
Because that's the American way. We let bankers brainwash us into thinking we need credit and credit scores. You don't. Get out of debt and have cash. Own everything. When the house of cards collapse, you'll have tangible goods.
The difference is that the citizen would be in prison by now. It's ridiculous.
This is the equivalent of a family making $100,000 a year being $1 million dollars in debt.
Hmmm. So it sounds like a wealthy family with a mortgage? 🤔
@@maniacpwnageking a whole family making 100k is not a lot, nor remotely enough to pay off a 1,000,000 mortgage
It is not. If you have a milion dollar debt that's your problem. If you have a trillion dollar debt that's their problem.
It's not a debt to some made up thing. It's the money other countries invest in the US.
The US debt to GDP ratio is about 120%, so it's more like that family being $120k in debt, which is less than the average mortgage, but the rate they're paying is 4.2%.
@@maniacpwnageking wealthy? 🤔😅
The multi-millionaires and billionaires have never had it so good. And we are supposed to make up the taxes they don't pay.
Classism is self-destructive.
@@gorkyd7912 Said all the pig billionares who inherited infinite money from their rotten families, to keep ruling the world with people as modern slaves
We could CONFISCATE (communist style) their $$$ and still not pay off the debt.
Then NO MORE TAXES from them ( they would be bankrupt.)
Then all the people they employ would lose their jobs.
Class envy is stupidity.
Bill Gates has helped the WORLD more than you?
@gorkyd7912 what's destructive is manipulating the government and economics to suck wealth from the lower class to further enrich the upper class until there's nothing left but wage slaves drowning in debt.
the video does a 15 minute explanation saying the government is the problem, you then ignore it and say it's "the rich". socialists like you have no brains.
He explained this topic fabulously.
Government has no accountability except we the people united.
But our kids are too lazy to care. It's all about doing whatever you want and avoiding consequences. To heck with these grown up in body but not responsibility graduates. The non graduates are even worse!
@@annsaunders5768hey, how about instead of badmouthing a generation that didn’t cause any of this, you look at your own generation and ask why you aren’t solving the thing you did Instead of pushing it onto people who didn’t.
Same thing.
it’s not a blame game, it’s a job for all the people of the US to take a stand against these corrupt politicians.
@@owenmeier I mean given this generation doesn't seem very interested in making sure these problems don't persist onto the NEXT generation that'll inevitably start yelling at us "why didn't you fix everything now we're in ruins!" he's right to some degree
*When someone becomes rich, a lot of things change. Lifestyle upgrades, new social circles, and different financial responsibilities are just the beginning.*
You mean like getting a private jet instead of flying commercial?
more opportunities for investment and philanthropy increase as well
Managing wealth becomes crucial. Professional advice from expert financial analyst and advisors are important.
Know any experts?
I'm really looking for a good one right now
Experts like Brian Humphery Services can be invaluable, as he is very effective and experienced.
A home was just over 2x annual income in the 1950s, 3-4x annual income in the 1970s, and today it is 10x median income. (For reference, median home price today is 420k, median income is 38k/yr). I prefer to not use average, because the wealthy 10% of America really skew the numbers into realms that the lower 90% of Americans will never experience.
So America inflated away it's previous debt, and saddled Americans with unaffordable shelter, energy, and food... the three basic items needed for survival. It isn't our wants, it is our needs that are being inflated. That is a march towards 3rd World living standards. When food and shelter are 90% of your budget, just like in Nigeria, you're a 3rd World nation.
In Germany it is about the factor 20 for a home,compared to income, because we get ripped off about 50% of our income.
The issue with housing is the expectations now. Everyone expects to have a bathroom for every bedroom, live in the best of areas and have all the best of materials used. you will not see a formica countertop used in modern new builds. They build absolute mcMansions and people become some "house poor" that they are so far in debt that they dont understand how to get out of it. as well, between Social Security, Medicaid, and Healthcare. you are pushing 50% of total expenses nationally for the budget. Make people responsible for their own provision and stop sponging off the government and get to work will solve alot of these issues.
@@Fater4511 Who are you talking too? :)
@@Fater4511a 2 bedroom 2 bath house is 300-500k lol
@@Fater4511 you sound like a out of touch old fart who thinks you can buy a 250k house in a city where nobody gets paid over $15/hr🤣
Name a country that is not deficit! I looked at yearbooks for 1965 to 1968… the US was running deficits and had a small profit in 1969… then not again until 1991… then 1998.
The US nation Debt in 1981 was $780 Billion.. then Reagan did a massive tax cut from 61% to 31% and the deficit jumped from $80 billion a year to $700+ billion year after year!
When Bush 2 took over in 2001, the small $140 billion surplus caused the new Republican “to pay back over taxes Americans” then 911 attack happened so then Trillion dollar deficits! Trumps Tax cuts exploded the deficits from $450 billion to $2 to trillion a year in 2017….