Tag Archives: debt
China’s Debts are Coming Due at the Worst Possible Time
The economic consequences of coronavirus are quickly piling up like garbage along the streets of Los Angeles. Breaking supply chains, closed Chinese factories, iPhone disruptions, and massive shortages of Chinese made products. These developments will most definitely get worse before they get better. Continue reading
Living On Borrowed Time
Practicality the entirety of Congress now believes that the ability to pay should not limit the ability to promise people whatever they want. There’s no poll of members of Congress to support this assertion. We base it on what they’ve communicated by real, material actions. Continue reading
Every Bubble Eventually Finds its Pin
The transfer of wealth from workers and savers to governments and big banks continued this week with Swiss-like precision. The process is both mechanical and subtle. Here in the USA the automated elegance of this ongoing operation receives little attention. Continue reading
The Fed’s Answer to the Ghastly Monster of its Creation
As the economy stalls out in 2020, U.S. deficits are going to jump to over $2 trillion a year – and will stay there. So, too, the national debt will run up towards $40 trillion over the next decade. The Fed, through YCC or some other wild scheme, will take on the dirty deed of monetizing this debt. They’ll create money from nothing and loan it to the Treasury. Continue reading
