—6.2% of GDP. Interest payments absorb 57% of revenues
It feels like the financial situation is getting out of control
The Kobeissi Letter @KobeissiLetter
This is absolutely insane:
Annual US government spending reached a MASSIVE $6.5 trillion in May, just $1.1 trillion below the March 2021 record.
The government total outlays have DOUBLED in just a decade.
To put this into perspective, this is more than the size of most world economies except the US and China.
Meanwhile, the US budget deficit hit $1.7 trillion, or 6.2% of GDP over the last 12 months.
In the past, such levels of spending have only occurred during major crises.
What’s the long-term plan here?
#1: Horse To: All (#0)
57% of $3.29 trillion is $1.857 trillion. If we had President Lincoln's Greenbacks there would be no government debt and no interest on that debt. We could save $1.87 trillion a year on interest. Plus we could have stable prices if we limited money supply growth to the same as the economy. That would be 5% of the $20 trillion Money Supply or $800 billion a year. This means we cut cut taxes $1.857 trillion plus $800 billion for a total of $2.57 trillion a year.
Horse posted on 2024-07-08 04:34:37 Reply Private Reply