| VenezianBlau 87 |
06-29-2022 08:53 AM |
Hi Tabs, I apologize for my boorish comments earlier in the thread. You pretty much blew my argument with the comment below. My point was going to be there's no internal financial or economic limit to our debt...just the external one you and Skillet mentioned. I'm not sure it's such a bad thing as it'll force the US to act more responsibly as far as foreign expeditions and internal nonsense like the Green New Deal. The postwar boom was over a long time ago after all. Time to look after the US and stop being Big Poppa to the world.
Quote:
Originally Posted by tabs
(Post 11727737)
I don't think there is a set debt level for a collapse.
In 2020 I postulated the FED could run the balance sheeet to 9T to 10T (lets say mid 9's) without a problem...at those levels they are at Red Line. After that it becomes dicey.
If you notice the FED is over 9T...they are raising rates, are Tapering and want to reduce the Balance Sheet...They are raising rates in part to shore up USD viability and or credibility.. Looks like my thoughts were correct.
The BRIC's are discussing creating their own Reserve Currency out of a Basket of Currencies..does that tell you something? Couple that with the Saudi/Chinese deal about settling their oil trades in the RMB...and not the USD...that should scare the shyte out of you?
Being "frugal" is Jim Kramers terminology... maybe the better way to say it is that Americans are going to start to have to do without...
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