2 ms·
Unfortunately that cant work as you like. UK has their Feds too and can print more easily than US but debts require purchase. Saudi and China already stop buyin
by oneTbrain23 3y ago
Unfortunately that cant work as you like. UK has their Feds too and can print more easily than US but debts require purchase. Saudi and China already stop buying. Liquidity of T-bills have dropped drastically compare what it was 10 years ago. Now Fed can step in and buy those debts pumping printed money directly to US government coffers. This in turn fire up inflation. Already many countries actively aboid using USD. Reduction of using USD in worldwide commerce now hit back American shores. So as long as US governments not reigning the expenditure, Fed showing printing money DIRECTLY, inflation will keep penalising Americans. This time, there are alternatives compare to 70s. People can migrate. Immigrant can stop migrating to USA (Asians now stopped significantly migrating and investing in US in the last 3 years). Anytging Americand needed like Russian uranium and Chinese goods are now sold to American market via blackmarket. This in turn fuel the criminal organization. This is why Americans now facing rampant crimes as the increase in crime couldnt be match by law enforcement. So all this talk of ignoring debt ceiling already happening since a decade ago and the repercussions already in the works. The more you want to ignore the ceiling the more of the above hitting Americans.