Capitalism Run Amok: US National Debt at $21 Trillion

[TaiShang]

Capitalism Run Amok: US National Debt at $21 Trillion

18.03.2018

The US, the world’s leading debtor nation, has reached another questionable milestone in its seemingly headlong rush into economic oblivion.

The combined debt of the United States has topped $21 trillion for the first time, according to government statistics, following an announcement a mere six months ago that the debt had hit $20 trillion for the first time.

US President Donald Trump in February signed a letter to end the suspension of debt-limits, which now permits unlimited borrowing until March 1, 2019, according to Marketwatch.com.

While a much wider US budget deficit is predicted by economists following the new December 2017 Trump tax cut, the rapid pace of large-scale borrowing has surprised many, as Washington's February $215 billion deficit is up 12 percent from the same month last year.

The unprecedented debt figure is only the beginning, claimed Peter Peterson, an investment banker and former United States Secretary of Commerce under US President Richard Nixon.

"Our national debt reached a staggering $21 trillion today, having grown by $1 trillion in just the past six months," Peterson noted, according to the Washington Examiner.

"Worse yet, this unfortunate milestone has only just begun to include the effects of the recent fiscally irresponsible tax and spending legislation, which added more debt on top of an already unsustainable trajectory."

***

Looks like MAGA is really taking shape.

I wonder how the guys holding the newly printed US Dollar stack in the picture are feeling. Probably very happy.

What the hell are they posing for? To show how powerful the US printing press is? Or to show what their super elite class practically own?

 

[war&peace]

The recipe implode USA without firing a bullet is simply shift the business from dollar to any other currency...Dollar is a fraudulent currency and US govt prints it as much as it wants without the need to possess the proportional amount of the gold so all the world needs is to do business in true currency with intrinsic value in it or at least shift to another currency temporarily and USA will crumble.

 

[shahbaz baig]

May i ask an innocent question. From where the money is being borrowed by U.S ?

Countries should work with U.S on belf of Gold or products.. Enough this fake U.S dollors.

 

[Jugger]

The recipe implode USA without firing a bullet is simply shift the business from dollar to any other currency...Dollar is a fraudulent currency and US govt prints it as much as it wants without the need to possess the proportional amount of the gold so all the world needs is to do business in true currency with intrinsic value in it or at least shift to another currency temporarily and USA will crumble.

Actually they have replaced gold with their military power and global influence. US dollar is strong because USA is a strong nation that can safeguard its own as well as its allies interests all over the world.
Also US dollars hold onto its value nicely.

What would you rather hold, US dollars or Zimbabwe dollar..? It’s a no brainer.

 

[war&peace]

What would you rather hold, US dollars or Zimbabwe dollar..? It’s a no brainer.

What a stupid comparison..why not Chinese Yuan or Euro ?

 

[Hamartia Antidote]

it isn't just the US.

China firms hit hard as country's total debt approaches US$30 trillion
https://www.channelnewsasia.com/new...country-s-total-debt-approaches-us-30-9093054

China's Debt Pile Raises Concern
http://www.capitalwatch.com/article-1782-1.html
"According to the latest data published by the Bank for International Settlements (BIS), by the middle of 2017, China's debt-to-GDP ratio reached 256 percent compared with 190 percent, on average, in emerging countries and 250 percent in the United States."

 

[war&peace]

it isn't just the US.

China firms hit hard as country's total debt approaches US$30 trillion
https://www.channelnewsasia.com/new...country-s-total-debt-approaches-us-30-9093054

China's Debt Pile Raises Concern
http://www.capitalwatch.com/article-1782-1.html
"According to the latest data published by the Bank for International Settlements (BIS), by the middle of 2017, China's debt-to-GDP ratio reached 256 percent compared with 190 percent, on average, in emerging countries and 250 percent in the United States."

Wow so big economies are all about big debts..What a world we live in.

 

[Hamartia Antidote]

Wow so big economies are all about big debts..What a world we live in.

http://www.scmp.com/news/china/econ...ousehold-debt-under-control-banking-regulator
China must bring household debt under control, banking regulator says

https://www.bloomberg.com/view/arti...umers-are-building-up-too-much-household-debt
Chinese need to learn how to save again
"...households are still in the mood to borrow, as the lending data from January show. That’s the first and most vexing consequence of the government’s well-meaning efforts to boost consumption: Once the debt genie is out of the bottle, it’s very difficult to squeeze back in. If China’s households continue borrowing at their current pace, it would take only four or five years before their debt-to-GDP ratio reaches the same level as in the U.S. just before the 2008 crash."

 

[LeGenD]

The recipe implode USA without firing a bullet is simply shift the business from dollar to any other currency...Dollar is a fraudulent currency and US govt prints it as much as it wants without the need to possess the proportional amount of the gold so all the world needs is to do business in true currency with intrinsic value in it or at least shift to another currency temporarily and USA will crumble.

USD is not going anywhere because it has made inroads into virtually every economy of the world [1][2] and American businesses will insist on using USD for trading with them (understandable).

[1] https://www.thebalance.com/world-currency-3305931
[2] https://www.thebalance.com/dollar-strength-why-is-it-so-strong-right-now-3305726

By delinking USD from the gold standard, Nixon administration paved way for the 'foreign exchange markets' to set the value of USD [3] - hallmark of a global reserve currency.

[3] https://www.thebalance.com/foreign-exchange-reserves-3306258

US has the largest reserves of gold anyways.

 

[ziaulislam]

USD is not going anywhere because it has made inroads into virtually every economy of the world [1][2] and American businesses will insist on using USD for trading with them (understandable).

[1] https://www.thebalance.com/world-currency-3305931
[2] https://www.thebalance.com/dollar-strength-why-is-it-so-strong-right-now-3305726

By delinking USD from the gold standard, Nixon administration paved way for the 'foreign exchange markets' to set the value of USD [3] - hallmark of a global reserve currency.

[3] https://www.thebalance.com/foreign-exchange-reserves-3306258

US has the largest reserves of gold anyways.

true USA has 140 billion dollars in GOLD but, as world economy grows and other power rise and USA share of the world economy drops from more than whopping 70% to let say from 25% to 10%, this can change.. and if that happened it will spell a second recession

issue is not only USA but key Allies also have a big GDP i am talking about EU, japan and india

 

[AZADPAKISTAN2009]

It is an addiction to debt in USA , the government and the people in federal power and the regulators are all in denial mode

1- They borrow as if they have a Massive surplus
2- They spend it 99% on servicing old debt
3- They have to sign documents to borrow again just to run Government
4- They end up giving 10 Billion per year to Israevil for free
5- People still spend like crazy look at NBA salaries , CEO salaries etc , NFL or NBL salaries
6 -Massive addiction to Booze , and Weed 4-5 hour work days while rest is spent drinking coffee or driving in rush hour


USA's addiction to debt started in 1970's

Clearly a end of 60's after Keneddy's assasination something changed in American Financial / Debt taking / Banking and Military. Some laws were passed which lifted he ability of US to borrow money like an addict

Slowly and surely overtime the problem US has has ballooned over

My theory is that this "Plot" was this Debt Laws and Banks or bodies that sits in shadows to Lend Money to make governments dependent on Debt

Did the USA made a collasal error by lifting the debt restriction by it's own people in some secret motion by some internal entities the only long term beneficiary are the folks who have given USA free Money / debt money

And it is not China or Saudia who own my be 1% of that 20 Trillion Dollar

 

[shjliu]

it isn't just the US.

China firms hit hard as country's total debt approaches US$30 trillion
https://www.channelnewsasia.com/new...country-s-total-debt-approaches-us-30-9093054

China's Debt Pile Raises Concern
http://www.capitalwatch.com/article-1782-1.html
"According to the latest data published by the Bank for International Settlements (BIS), by the middle of 2017, China's debt-to-GDP ratio reached 256 percent compared with 190 percent, on average, in emerging countries and 250 percent in the United States."

The different between USA debt and China debt is one owe much to foreign countries the other is almost totally internal

 

[Jugger]

What a stupid comparison..why not Chinese Yuan or Euro ?

No yuan or euro because The world is not comfortable with a non democratic China and euro nations are not that united for euro to replace usd, although there were high hope for euro to replace usd during its creation.

Rest all other currencies are obviously inferior.

 

[T-Rex]

Capitalism Run Amok: US National Debt at $21 Trillion

18.03.2018

The US, the world’s leading debtor nation, has reached another questionable milestone in its seemingly headlong rush into economic oblivion.

The combined debt of the United States has topped $21 trillion for the first time, according to government statistics, following an announcement a mere six months ago that the debt had hit $20 trillion for the first time.

US President Donald Trump in February signed a letter to end the suspension of debt-limits, which now permits unlimited borrowing until March 1, 2019, according to Marketwatch.com.

While a much wider US budget deficit is predicted by economists following the new December 2017 Trump tax cut, the rapid pace of large-scale borrowing has surprised many, as Washington's February $215 billion deficit is up 12 percent from the same month last year.

The unprecedented debt figure is only the beginning, claimed Peter Peterson, an investment banker and former United States Secretary of Commerce under US President Richard Nixon.

"Our national debt reached a staggering $21 trillion today, having grown by $1 trillion in just the past six months," Peterson noted, according to the Washington Examiner.

"Worse yet, this unfortunate milestone has only just begun to include the effects of the recent fiscally irresponsible tax and spending legislation, which added more debt on top of an already unsustainable trajectory."

***

Looks like MAGA is really taking shape.

I wonder how the guys holding the newly printed US Dollar stack in the picture are feeling. Probably very happy.

What the hell are they posing for? To show how powerful the US printing press is? Or to show what their super elite class practically own?

This entire episode is a drama meant to fool the adversaries into thinking that the US is about to collapse. We've been hearing about this collapse for a decade but has it happened? The US central bank can always print more of those dollars and pay the debt.

 

[Ahmad Sajjad Paracha]

When countries obtain loan from institutions such as world bank or IMF, these institutions first make sure that these countries should be able to repay their debts and so they make the loan holder countries to devise the policies which would enable them to pay the loan. Does america comply by such rule too ?