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dryrot

Financing Us Debt

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Hi

(Looking forward to Mark Steyns "After America" Should add to my store of bear-fuel bile...)

http://articles.ocregister.com/2011-07-15/news/29782750_1_debt-ceiling-negotiations-borrowers-unsustainable-levels

Financing U.S. Debt: Is There Enough Money In The World – And At What Cost?"

By that, I don't mean that an American government that raises two trillion but spends four trillion has outspent America, but that it's outspent the planet. In my soon-to-be-imminently-forthcoming book, I discuss a study published last year by John Kitchen of the U.S. Treasury and Menzie Chinn of the University of Wisconsin. Its very title is testament to where we're headed:

The authors' answer is yes, technically, there is enough money in the world – in the sense that, on current projections, by 2020 all it will take to finance the Government of the United States is for the rest of the planet to be willing to sink 19 percent of its GDP into U.S. Treasury debt. Which Kitchen and Chinn say is technically doable. Yeah. In the same sense that me dating Scarlett Johannson is technically doable.

Unfortunately, neither Scarlett nor the rest of the planet is willing to do it. It's not 2020, and we're not yet asking the rest of the planet for a fifth of its GDP. But already the world is imposing its own debt ceiling. Most of the debt issued by the Treasury so far this year has been borrowed from the Federal Reserve. That adds another absurd wrinkle to the D.C. charade: Washington is negotiating with itself over how much money to lend itself.

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  • 284 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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