The U.S. is not as rich as it seems. It all comes down to the trade deficits. The U.S. runs a monthly trade and service deficit of $60 Billions. This means that

The U.S. is not as rich as it seems. It all comes down to the trade deficits. The U.S. runs a monthly trade and service deficit of $60 Billions. This means that the U.S. consumes $60 Billions worth of goods more than it actually produces - monthly. Currently every single american gets statistically a monthly credit of $160 from abroad. The total accumulated deficits are shown in the International Investment Position which is currently at -13 Trillion Dollars which are owed to abroad. Mostly China. Of course this is not sustainable. And of course the american consumer will not be able to pay back this amount of money. So the escape route will be to declare bankruptcy when renewal and prolongation from the creditors will cease. It will come in form decline of the USD exchange rate and subsequent high inflation in the U.S without adjustment of income. The question is not if but when. My best guess is not in the next 5 but within the next 10-15 years. https://www.bea.gov/data/intl-trade-investment/international-investment-position https://www.bea.gov/data/intl-trade-investment/international...