Now that the budget bill has passed Congress, we can see what the projections look like for deficits, government debt, and debt service expenses. In brief, the bill is expected to lead to spending of about $7 trillion a year with inflows of about $5 trillion a year, so the debt, which is now about 6x of the money taken in, 100 percent of GDP, and about $230,000 per American family, will rise over ten years to about 7.5x the money taken in, 130 percent of GDP, and $425,000 per family. That will increase interest and principal payments on the debt from about $10 trillion ($1 trillion in interest, $9 trillion in principal) to about $18 trillion (of which $2 trillion is interest payments), which will lead to either a big squeezing out (and cutting off) of spending and/or unimaginable tax increases, or a lot of printing and devaluing of money and pushing interest rates to unattractively low levels. This printing and devaluing is not good for those holding bonds as a storehold of wealth, and what’s bad for bonds and US credit markets is bad for everyone because the US Treasury market is the backbone of all capital markets, which are the backbones of our economic and social conditions. Unless this path is soon rectified to bring the budget deficit from roughly 7% of GDP to about 3% by making adjustments to spending, taxes, and interest rates, big, painful disruptions will likely occur.
Now is the time for every American who loves our country to step back from the division, renounce all violence, and unite in prayer for President Trump and his family.
@Jdcocojr61@AlexHowlettUBI Correct - we need the government to spend on retraining people not unemployment or UBI that will push money to the super-wealthy again
@TheRagingSaxon_@permagriculture@basicincome Agreed. Everyone need to learn how to use ChatGPT to get smarter. Lots of people out there in the world you can help. UBI is a crutch and will result in more unhappiness
#UBI is one of the dumbest ideas ever. Humans want purpose. Not an artificial series of IOUs. We need to build a branch of government dedicated to “ongoing talent development”. AI is our opportunity to upskill everyone not give “free” “money”
@AlexHowlettUBI Useless jobs don’t exist. If someone is paying for a task to be done, that is a job. If people don’t want to do that job or if the job creator isn’t going to get a return on his pay, then that’s a different matter.
@AlexHowlettUBI Agreed wasting resources including people’s time is bad. A meaningful job is in the eye of the person doing the work, has to be paid and add value somewhere. What meaningful jobs use up society resources?
People working in meaningful jobs are adding to society vs taking away.
I have tested positive for Covid. My symptoms are minimal and I will continue to work from home in Vermont while isolating in accordance with CDC guidance. I am glad to be fully up to date with the vaccine.
Universal Basic Income coming to Canada.
Canada hits the loot-the-treasury stage, set to hand everybody $2,000 per month whether they work or not.
This will drive inflation, it will destroy the treasury, and it will convert millions of Canadian workers into permanent parasites on the remaining few who work.