Most don’t understand the importance of the national debt.
But it’s a very big problem
The United States has caught itself in a debt trap. We have borrowed way too much money and the cost to service this debt has become unaffordable
To make matters worse
The federal reserve has signaled a policy shift. It is ending its support of the financial markets.
The government will soon have to make some tough choices. We may be forced to cut government spending, probably raise taxes. And cut entitlement programs like social security.
This unfortunately is not limited to just the government. Corporate debt is also a major issue. The russell 300 has an estimated 772 zombie companies. (Companies only alive because of debt)
We are unfortunately not gonna get out of this without some pain. There is no such thing as free. And we have to realize we won’t have some of the things we are used to.
Some companies will have to go bankrupt. Companies will have to be profitable.
We will probably sustain heavy losses in the stock market.
It’s ok tho once it’s over we will be America #1
What are your thoughts
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