/biz/ - Business & Finance

Sounds like we have 3/4 of our tax revenue left to spend, tight

>>56624011
How is turbojew Yellen still have her job. She was fucking at Fed Reserve at previous admin....
She had the oppurtunity to issue longer-term debt in 2020 but opted to roll over in to short term.....now US Gov is being hammered by rising interest rates.

If you didn't see the other day they were doing a bond auction and demand was nearly non-existent. Nobody wants government bonds anymore so the fed will need to print money to buy them soon. We going full Japan.

>>56624094
But Japan had low inflation when they did that

America can still afford to fund two rouge states Israel and Ukraine

Meanwhile.......

Monetary base expanding at a faster rate, goyim workers poorer, oligarch parasites richer

>>56624056
Gee, it's like it's all going to plan or something

>>56624011
>Israel and Ukraine

>>56624038
Over 1/2 of all spending goes to gibs. 3/4 remaining to spend means 2/4 goes to gibs, 1/4 goes to military spending, and 0 to anything else. Which is what will happen, because as soon as gibs get cut people start rioting, and military isn’t getting cut either with 2 wars going on.

>>56624237
picrel
>>56624094
markets think we’ll just increase rates even further to stimulate demand. Which means worse economy + even more money going to the debt blackhole.

>>56624207
Yes and the silence of politicians makes it all the more obvious.
Imagine you were dependent on her for your budgets and all your budgets were being eaten by high interest rate bonds due to her fault....she could've easily issued 10yr bonds at 1.5% instead of 250% increase of now....
now imagine that even tho would be political slam dunk case, EVERY fucking republican is completely silent on this issue.

>>56624253
the market hasnt figured out that there is no easy way out
they can either print money to safe the government
or they can fight inflation

>>56624011
Can kicking cannot go forever :D
It ll be sweet af!

>>56624253
why can't we just default on the debt? its not like anyone can actually seize us assets we may as well

>>56624011
Americans are slaves, and choose to be slaves. Total goyim death NOW.

>>56625283
>why don't they just flip the hyperinflation switch on
Total societal collapse tends to end whatever government is in charge when it happens.

>>56624302
>now imagine that even tho would be political slam dunk case, EVERY fucking republican is completely silent on this issue.
This, republicucks are almost are retarded as libs

>>56624011
We are the United States of America!
We can do anything! Anything!
We are the most powerful country on the world!
not just,.. uh, on, on history!
We can fight two wars !
We can fight 3 world wars!
We are America for Gods sake,...
mumble mumble,....
[falls down]

>>56624038
>>56624011

Decimals and percentages faggot. Ain't no one got time for fractions.

>>56625355
that's not what would happen

>>56625761
It is what happened every time it occurred last century. I will admit Venezuela is a bit of an outlier.

>>56624011
Can you tell me who is the US borrowing from?
I have read other countries borrow from the US, so if it is other countries that are lending to the US, then isn't USA giving interest money to countries who will return that money to the US as interest payment?
Kinda stupid.

>>56625916
>>56625761

the us is borrowing from itself
which is why it could default and the only ones who'd be impacted severely is the rest of the world. the system is set up like this intentionally which is why the rest of the world is scrambling to find something like brics that could support a post US collapse/default
>it wont
the next best thing is cryptos which US has a foothold in
its win win either way

>>56626030
Ah I see
>the only ones who'd be impacted severely is the rest of the world
Why is that, though? Sorry to bother you.

>>56624011
who is the one that gets to collect this money? I am talking individuals. Do Americans even know where their interest payments go to?

>>56626060
you must accept that the IMF is an extension of the 12 banks that run the Fed.

through this hydra the rest of the world's industry/medical/financial markets are subsidized by the us. if the us ever deigned it necessary they would reign in their fleets and leave the world to it's vices. one of the first things you'd see is a rampant increase in piracy in this scenario. you'd also see european markets hyperinflate while us figures out whatever new financial system they'd operate. what europeans should be concerned about is that their bread basin is mined/bombed to hell and the arabian world is in turmoil.

while a collapse is certainly due soon, it is not designed for us to be holding the bag. the 'rest of the world' will have to join our new financial system at a premium, as it always has been, and we will extort whatever we need from their dried up carcass.

hope this blogpost helps

>>56625283
Opens up a pandoras box where any faith in debt based trade between nations is destroyed. Nobody can pretend that developing countries have a real chance to catch up, entire nations are left furious about not being paid what they're owed, and everything devolves into a "might makes right" free for all.

>>56626483
>>56626331
how much longer do we need to wait for this inevitable shitshow to happen?

>>56624011
>he still believes the “debt” is actually a thing

Lmao you do realize when the party is up they’ll just appoint a debt jubilee and start over right? There will be no collapse, no revolution, no outrage. You will continue to wake up every Monday morning and go about your day. You’ll hear the news on cuck npr on your daily commute as you head to your cube and won’t do a fucking thing.

>>56626511
That scenario is probably not going to be allowed to happen unless some kind of people's champion rises up and wrecks the whole system on purpose.
Nations can just continue inflating currencies such that their power players can pay debts to each other while telling their citizens to eat shit.

>>56624011
>Actual implications?
Bullish af.

>>56626483
precisely. this is a good thing for anyone on the winning team. we'd prefer not to level the playing field so well but this is the endgame.

>>56626511
(1) fortnight
these things happen at a snails pace. right now the powers behind the scenes are trying to source up some logical explanation for decades of frivolous spending to disappear at the inexplicable flip of a switch that would satisfy foreigners. best we can do is war economy. it'd take someone with an actual spine to pull this kind of thing off so you'll see it in the next presidency. early.

>>56626726
sounds like a complete catastrophe in the making

>>56626515
>Lmao you do realize when the party is up they’ll just appoint a debt jubilee and start over right? There will be no collapse, no revolution, no outrage.
>debt jubilee
>no outrage
Imagine all the boomers who put their retirement money into T-bills.

Also the US deficit is depend on the demand and use of USD in global trade. In the past as globalisation expanded so did demand for USD investments. It's like what Tether did in relation to crypto currency. They issued billions upon billions of USDT but it was all good since the crypto universe expanded and there was general demand for a stable asset.

The US will drive into problems once USD is looked out of parts of world trade and there won't be anybody that they can dump their debt on.

>>56624302
>muh red team muh blue team
Fuck off statist smoothbrain

>>56624011
>America borrows money from itself
>Has to pay back high interest to themselves
I know I'm retarded, so can someone explain this to me?

>>56624011
Do they know?

>>56625761
>>56625283
Rate of change is the problem, defaulting doesn't solve that. The problem is that fiat allows the manipulation of Economy to favor zero and even negative sum economic transactions. Defaulting would just JUST the US's trustworthiness.

>>56627366
Monetary base expanses. You are a whole coiner, right?

>>56626060
Turd world survives off of debts underwritten by the US. Ending the fed would rugpull the entire world. So they all put up with US debt/inflation/Hebrewmancy as it's the lesser of two evils.

>>56627366
the US government borrows money from the public, not "itself", when interest rates go up bonds are worth less therefore new ones need higher interest to entice buyers

its a nice way of circumventing the politicaly unpopular deficit spending. Make a shit tonne of money selling bonds and add the little extra interest payments to the budget. Voila you're being fiscally responsible by not creating surplus spending!

>>56626331
>the rest of the world's industry/medical/financial markets are subsidized by the us
hahahaha

>>56628479
>by not creating deficit spending*
but you get the idea, kick the can down the road by making the zoomers pay for it (be it from inflation or direct taxation, always inflation though)

>>56624192
>>56624011
Reminder, Russia has like 200 billion dollars in gold freezing in the west
Yellen bowed to China

>>56624056
>How is turbojew Yellen still have her job.
Because she did her job excellently.

Who do you think is buying UST's at +5%?
China and Japan already sold their near 0% bonds at heavy losses AFTER the 2020-2022 inflation (fucking chumps)
BoA and other big banks are "holding til maturity" their near 0% bonds.

Let me give you hint. It's the same folks who borrowed at near 0% in the pandemic.