The debt bubble is real thanks to Washington

In The News
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For years, our government goosed the economy with artificially created money.

  • We had artificially created low to no interest rates which inflated everything.
  • We had the Federal Reserve buying up bonds to suppress a market correction.

Our elected officials in Washington were happy with this, some even pushed for it. But now, now the chickens are coming home to roost. It’s why you have record inflation. It’s why homes cost record sums of money, homes made from sticks and sheet rock.

Washington still hasn’t figured out, they’ve brought yet another day of reckoning to our doorsteps. With respect to the Federal debt…

Although most of our national debt was issued when interest rates were low, that debt is quickly rolling over into a high-rate debt environment, and further borrowing continues. Without corrective action, interest costs could total more than $13 trillion over the next decade and $1.9 trillion per year by 2033.

Yep.

With every passing day, cheap government debt rolls over to more expensive debt. This mess was created when government demanded the Federal Reserve lower interest rates, and they did.

But now, inflation is out of control and the Federal Reserve has raised rates in order to cut down on the inflation. They’re also shedding those assets they purchased to halt a market collapse. So debt becomes more expensive for the government, and everyone else.

If current rates stay high and fiscal policy matches current forecasts, the cost of servicing [federal debt] will surpass defense spending in 2025 and top Medicare spending in 2026.

Yep, that’s where we’re going.

In the U.S., the long unbuilding project has involved massive government spending and borrowing enabled by the Federal Reserve’s artificially easy money. Trying to tame the resulting inflation then necessitated the Fed’s rapid increase in interest rates and a halt to its bond-buying binge. So now outside investors have more say in the price of credit, and the price says that they’re less eager to be Washington’s creditor.

There’s several main topics Presidential hopefuls should be talking about.

  • Close the border
  • Balance the budget
  • Get out of the war business
  • Get out of the UN

I don’t hear any of them talking about those things.

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No worries - the presidential hopefuls will start saying those things, just like they always do. Then the people will be pouring their hard earned money to them and will promote them to their friends and family and say how this guy or that guy will fix everything! And then after the election…well, I think we all know how the story goes…they do nothing. Oh, they will give us a few bread crumbs just like Trump did…just like Ron Johnson did…and everyone will be so happy and grateful! Fools. When in reality…it’s always the same. They are all money changers…money launderers and we the people are stupid enough to continue to play their game.

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What we need is a new law that states any claims made while campaigning for election, need to be documented, and if elected, you better show you are trying to put through the laws etc. to get it done.

If the House or Senate stand in your way, publicly state who they are so they can be axed at the next election. If you don’t attempt to fulfill your promises, you are out.

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Would be great, but that will never happen…Satan rules this world age, yet we can still have faith bc God only allows satan to do so much.

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