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The $34 trillion mountain of national debt is a 'boiling frog' situation for the US economy, JPMorgan warns (www.businessinsider.com)

submitted 9 months ago by yogthos@lemmy.ml to c/usa@lemmy.ml

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[–] FuckyWucky@hexbear.net 12 points 9 months ago (1 children)

"The problem for the US is the starting point; every round of fiscal stimulus brings the US one step closer to debt unsustainability," JPMorgan strategist Michael Cembalest said. "However, we're accustomed to deteriorating US government finances with limited consequences for investors, and one day that may change (the boiling frog analogy)," Cembalest added.

Notice how he doesn't mention the bloated military budget, only 'stimulus'. I do not think 'debt' is the issue that will end up killing the U.S., as long as the Dollar is the reserve currency it can keep printing as much it wants.

[–] hottari@lemmy.ml 2 points 9 months ago

The dollar won't be a reserve currency for long now that BRICS is getting stronger and eventually China will topple the US as the foremost superpower. It's already written into the future as hegemonies decline, fall and are replaced.