Don M.
SF VIP
- Location
- central Missouri
Add to that, the threat of economic collapse from our enormous debt, and it could be a perfect storm leading to civil war.
The National Debt is this nations greatest long Term issue....and seems to be getting the Least amount of concern and action. This massive debt is the primary reason why banking accounts earn little or no interest. If the Fed were to set the Fed Funds rates up to levels in past years, say 4%, or more, virtually the entire annual government revenues would be required to pay the Interest on that debt. This nation has run up massive debt before....WWII, for example....but back in the late 40's and 50's the government raised taxes such that the debt was paid off.
At some point, this debt is going to be unsustainable, and the government will probably wind up devaluing the dollar, similar to what nations such as Greece and Argentina have done. The result of such an action would make make consumer commodities unaffordable to most people, and drive the nations poverty rates to levels never seen before.
Last edited: