3 ms·
> Sooner or later the bill comes due. No it doesn't. The whole world runs on debt, it's not a terribly big deal.
by TillE 4y ago
> Sooner or later the bill comes due.
No it doesn't. The whole world runs on debt, it's not a terribly big deal.
- ajross 4y agoWell, strictly it does. US debt is financed predominantly in 30 year treasury notes. So... 30 years. It comes due incrementally over 30 years. All we need to do is pay the bill, and in 30 years it's paid off, just like a mortgage. What's hilarious is that all these arguments have been made repeatedly, in the same form, and by members of both parties, for far longer than 30 years. And it's been wrong, repeatedly, every time. All the shrieking about the unsustainable Regan spending in the 80's? Meaningless. That's been paid off for decades now.
- panarky 4y ago> just like a mortgage Typically mortgage payments include interest and principal, so that each payment reduces the total amount owed. Treasury bill, note and bond coupons are interest only, so at maturity the entire principal is due. Treasury debt is not incrementally paid off with each payment.
- knewter 4y agoWe should print a trillion trillion dollar coins and end poverty.