What happens when the interest of the national debt surpasses the gdp?
When there's literally no way to even begin climbing out of the hole?
What happens when the interest of the national debt surpasses the gdp?
Sebastian Thompson
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Kayden Nelson
use that military to tell our creditors to fuck off, poor, poor china.
Jason Smith
Just print a shitload of more money on super printers.
Matthew Evans
>governments are in debt
>households are in debt
>companies are in debt
So Jow Forums, who do they owe all that money to?
Jaxson Brown
uh... just don't pay it back?
Luis Hughes
>EMP
>20 years later the survivors have no idea about the world before
>start over again
They've been doing this for thousands of years, my friend.
Jeremiah Hernandez
auditing the fed would justify removing it:
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Lincoln Perez
this already happened. GDP is 20 trillion debt is 22 trillion. its going to collapse duh
Kevin Campbell
US debt to GDP is pretty similar to most Western European countries.
If you concerned about this you should worry about Japan, which is over 200%
Jace Thompson
what does it matter, kill those we owe money to and fuggetaboutit
Brayden Sanchez
Pretty much. The banks have no interest in the principal, only the interest. The US has far greater assets outside of finance than what's calculated in the GDP anyway.
Total financial assets are like $270 trillion, not counting untapped mineral and other resources and of course a kickass labor force (where applicable).
Banks/Roths will happily gobble up solid assets and favors any time over silly federal reserve promissory notes.
Evan Barnes
Interest ≠ debt uneducated mutt
Caleb Thomas
The number one holder of debt is the Social Security trust fund. America's retirement money is being looted and under trump's tax cuts the billionaires and corporations have pretty much opted out of paying taxes.
Owen Bell
>l-look japan is way worse!
proper cope user
Jose Allen
It wouldn't happen in reality.
No one would lend that much.
But if the debt of a country us too much to manage, they can always default on it.
Joshua Murphy
Social Security trust fund is supposed to have $2.6 trillion in it, in 2013 the fed tacked $9 trillion on to our debt in 8 months and basically told congress to fuck off when asked about it. Did you watch the video?
Gavin Stewart
Things get bad before that, interest rates climb as a government show signs of having trouble keeping up with debt.
Interest and ammortization takes a larger part of the budget, up to the point big cost-cutting measures are necessary, to restore investor confidence and bring interests down.
Countries usually do these with the IMF or some other global institution, rather than unilaterally renegotiating loans (stopping to pay them). At that point their credit is fucked to hell and the government is left dysfunctional, as they need to spend into a deficit, otherwise they'd have improved their situation before
Robert Morris
Ummm.... Da joos?
Carson Wright
Go to 20:19 of this prophetic video, yes 2019.
That's purely coincidental but prophetic AF.
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Ethan Wilson
Yes, tell Bibi he owes the USA $7 trillion for Iraq and Afghan.
Ian Jones
When it surpasses the total income of the state and it can't raise taxes without crashing the economy, it defaults and kikes start raping your white ass without lube. It happened in Argentina and almost did in Brazil.
Jack Young
Sorry, it surpassed how much the state could pay while covering its own expenses.