/biz/ - Business & Finance

>>55110514
its literally just made up numbers

>>55110514
It doesn't matter as long as the interest can be paid every month.

>>55110514
Notice the exponential trend in that graph? It means that as long as they keep raising the debt ceiling to avoid a debt crisis, that we heading towards a hyperinflationary crisis instead. Buckle up faggit.

>>55110542
why is the system designed like that

>>55110514
its a nothingburger

>>55110553
its the "kick the can down the road" mindset. The people currently in charge will get all the benefits from this and then dip the moment it starts getting bad.
Also the system was never designed like this, it only really started after WW2 and went into hyperdrive after JFK assassination, really makes yuo think....

>>55110514
the blackpill is the exponential trend will continue, and the interest payments are already beyond what the US can afford.

the only method to meet the interest is to inflate the dollar, effectively stealing wealth from the population of the US to reduce the US dollar denominated debt.

the US will take everything from you before they default. they will take your home, your metals, your arms. it is not the US who use the inflation trick to do this, all countries do, but the US has a massive advantage being the global reserve currency

the only way to leave this system is to hold XMR and memorize your seed phrase.

>>55110553
Because Keynes was right in the sense that you can use central banking to smooth out the booms and busts in the business cycle, but the problem is that the central banking power has been corrupted to the extent that it's now just a free credit service for big finance, the MIC, and countless corrupt lobbyists and politicians. They'll keep creating liquidity in the markets to keep the charade going while giving themselves more money in the process, but physics will ultimately prevail and the system will destabilize and collapse in on itself. The writing is on the wall for anyone with the eyes to see.

>>55110588
did hayek and neoliberalism cause this? or is this trend (or myth?) of infinite growth something intrinsic to capitalism

>>55110592
abolishment of the gold standard and centralized control over the money supply and price of money did this

>>55110600
sorry could you explain? also, interesting how >>55110588
also, interesting how you used the word "physics" in relation to economics

>>55110592
>did hayek and neoliberalism cause this? or is this trend (or myth?) of infinite growth something intrinsic to capitalism
Personally I blame Fed kikes like Bernanke who started the whole quantitative easing trend, and MMT proponents who have enshrined the method, but the roots of the problem are older, see >>55110600.

>>55110616
>also, interesting how you used the word "physics" in relation to economics
As much as retards would like to believe "we could all just forgive the debt and start over", it's not going to happen because of divergent interests (Prisoner's dilemma). So the dynamics of the system will follow laws of inertia similar to physical systems, and if you know any control theory, you can see how the exponentially increasing debt and money supply is exactly indicative of unstable modes in the system.

>>55110660
control theory? is everything in the universe reducible to some systems of information?

>>55110739
>control theory?
https://en.m.wikipedia.org/wiki/Control_theory
Particularly the parts about stability.
>is everything in the universe reducible to some systems of information?
Yes, anything useful anyway.

>>55110739
It’s called patterns. Yes. Now you realize why autists create and npcs/psychos/females destroy.

>>55110514
Also this is not a blackpill. It’s a shinepill, imagine a world where entropy is itself not affected by entropy.

>>55110514
Heres all you need to know
https://www.youtube.com/watch?v=3poZkfEFUi8

>>55110600
Checked, correct

>>55112218
Based, read his book

>>55110514
>how does the US and virtually every other country manage to stay in a perpetual state of debt
Jewish tricks. It is by design so that central bankers can make a lot of money. Follow the money.

>>55110514
https://youtu.be/mmuysv17T9M

>>55110514
bump

>>55110514
The entities holding that debt don't realistically need that debt to be repaid because they are the same entities that are allowed to print money/create inflation. Imagine If I owed you $100,000 but you could clap your hands and create 200,000$ everytime you did so. You simply wouldn't care if I paid you back. So you have me (The Government) do the banks (You) dirty business in exchange for both of us having unlimited funds.

The funds are not actually unlimited but come from inflation, which is an "invisible" tax by the globabl reserve currency issuer against the world population. Inflation is just stealing that people tolerate under threat of violence. The system ends when A) There is nothing left to steal via inflation B) Violence is used against the inflation creators

>>55110514
Its basicly just an announcement of how much the money printers will go brrr for X amount of years.

>>55110514
The debt ceiling is measured in fixed dollar amounts, which is fucking useless because debts will always grow along with the economy. A much better metric would be a debt to gdp debt ceiling, of which we are actually shrinking the debt burden by outgrowing it.

>>55113664
>>55112276
>>55112247
>>55112174
>>55113707

hold on im fucking confused. i feel tarded rn. so if i wanna get this straight, how did the abolishment of the gold standard do this? is the debt ceiling just people basically imagining up inconceivably large numbers to keep a charade going?

>>55113707
>A much better metric would be a debt to gdp debt ceiling, of which we are actually shrinking the debt burden by outgrowing it.
>posts a chart that at best shows a minimal decrease over the last 3 years
>ignores the multidecade increase
Okay

>>55113788
it will keep dropping because the economy is primed for boomtown and we have sexy interest rates

>>55113739
>how did the abolishment of the gold standard do this?
Gold set a economic limit, you couldn't have more money unless it was backed with more gold. Getting rid of gold means you can print unlimited money.
Imagine the entire economy is $1000 if you will, you own $100 of that, so you effectively own 10% of said economy.
Now they print another $1000 because there is no limit to what they can print. The total economy is now $2000, that means your $100 is only 5% of it, so you lost 50% of your effective buying power, but the people who printed the money gained what you lost.
This is a very simplified example, but it applies to all things inflationary in the economy, including debt.

>>55113818
>>55113739
Guess another thing to say is every time you print more, every given dollar is worth that much less, but that also means that as you print more the debt is worth that much less, so you have to print more to pay off prior debt, but it gets harder and harder as every dollar is worth less and less until time and interest beat out the worth of said currency, at that point you could print unlimited dollars and still never pay anything off.

>use debt to manage affairs
>use affairs to manage debt
>?
>profit

>>55113707
>because debts will always grow along with the economy
Not necessarily the public debt

>>55110514
The time for fiscal restraint is when you are spending the money, not when the bill comes. The debt ceiling is nonsensical and should be abolished.

>>55110542
>t. literal retard

>>55110553
Wow, cool it with the antisemitism.

>>55110514
The ultimate blackpill, is knowing that the US didn't raise the debt ceiling, they postponed it, until the next election, Jan 1st, so now, they have access to unlimited funding and printing, for every fucked up thing the Dems can think of, to give away, to get people to vote for them. 30 Trillion to the Ukraine, why not?
30 Trillion for reparations, of course!
30 Trillion for illegals, you betcha!
Crushing debt and poverty for anyone who's skin tone is closer to flat white than shit, well, somebody has to pay for all this, you evil oppressors!

>>55114089
Problem is the decision whether or not to exercise fiscal restraint is often in the hands of elected officials that have neither the incentive nor the inclination to do so. Because of that it can serve purposes beyond just belatedly achieving fiscal restraint.

>>55114089
It serves a purpose, and I'm surprised nobody else has figured it out.
The purpose, is to create fear in the public.
Boomers and seniors get scared that they are going to take away Social Security.
Niggers think they are gonna take away their government gibs.
The military fears a lack of funding.
Then, they go ahead and do whatever the fuck they want, because they know all of those voters, who they've put in perpetual fear of losing everything over the last few months, will breathe a collective sigh of relief, because they don't have to worry about their benefits being cut.
They use fear, and media based fear mongering, to print themselves a blank check.

>>55114097
Maybe not hyperinflation, but as long as the debt grows faster than the economy then we should expect inflation on an upward trajectory

>>55110514
I remember when the debt was 14 trillion. Jesus christ

>>55115226
>as long as the debt grows faster than the economy
Not what he said.

>>55110514
Because people keep buying bonds. And if people stop the fed will.

>>55110568
to be fair they had a balanced budget before the iraq war

>>55110542
Weimerica, with Niggers, Spics and about 30% of Whites being aware of the parasites in their midst
If I were a jew I would gtfo to Israel, though with Iran getting the necessary tech from Russia to enrich Uranium and build their bomb, that might be not such a good idea
>>55110554
cuuuuuute

>>55114089
>The time for fiscal restraint is when you are spending the money
Funny how they never exercise such restraint except upon others.
Honk Honk.

Rip Bob Lucas
60 years later and they still won't listen

>>55110514
Because the collateral that countries have is an eternally indentured workforce that can be taxed forever.

>>55115280
Do you forsee a future where government spending comes down to the level of gdp growth?

>>55114097
Cope

>>55113739
There was once a day when the paper dollars in your wallet were guaranteed their value in physical gold, meaning that so long as humans valued gold itself as a relatively steady form of currency, the paper dollars themselves would resultantly also hold value. Now fiat is just paper monopoly bux that holds value because people THINK it does, with no intrinsic value whatsoever. You used to be able to argue that at least the petro dollar was backed by the globohomo ZOG military, but even that influence is waning.

>>55113853
>but it gets harder and harder as every dollar is worth less and less
Not to mention the financial conditions which allow QE, also as a rule will induce further consumer and business lending, spiking the debt which was apparently supposed to be remedied from said money printing in the first place.

>>55110660
> if you know any control theory

I do industrial automation work and I have been thinking for a long time we need a PID-controller for the economy.

Now the controls are in the hands of an operator who doesn't understand that if the machine is heating up, you can't keep increasing the flow of the coolwater indefinitely, you need slow down the machine.

And the longer you wait, the more chance of it breaking down.

>>55110538
As the debt increases, what’s required to service the debt increases too. Eventually, the majority of our tax revenue will be used to service the debt.

Someone has to pay, it's either the government, rich people who lend money, or the population.
Watch the latest Arthur Heyes interview
https://youtu.be/yV-zwcFnR3Q

>>55119783
There's actually a paper on the Fed's website about optimal control applied to central banking. You should be able to find it if you search their site. No idea if that's actually what they're following but I believe they're doing it wrong.

>>55121161
Not only that, the demand for US treasuries abroad is going down with the current dedollarization trend, therefore interest rates have to be jacked up so foreign investors keep buying US bags. This is highly inflationary.

>>55121161
All goym exist to be slaves to the jews

>>55122513
The genocide is going to be real this time, not just giving your priest class some power to govern Judea, not a bull to cooperate with you, not even throwing you out and back to Israel, no every jewish baby killed with a hammer