Category: US Debt
The analysis published under this category are as follows.
Tuesday, October 01, 2013
U.S. Debt Burden - The Most Predictable Economic Crisis? / Interest-Rates / US Debt
By: Axel_Merk
Forget about a government shutdown. The quibbling over concessions to keep the government funded distracts from what might be the most predictable economic crisis. We have problems that may affect everything from the value of the U.S. dollar to investors’ savings, but also to national security.
Saturday, September 21, 2013
Do You Have Any Idea What $50 TRILLION Looks Like?! / Politics / US Debt
By: David_DeGraw
Comedian Lee Camp was inspired enough by our latest commentary on the state of our economy to feature it in his new Moment of Clarity video. Apparently only comedians seem to understand the mind-blowing absurdity of US millionaires having $50 TRILLION in wealth, while we also have a record number of people living in poverty. Russell Brand has been riffing on that stunning fact on his Messiah Complex tour, and now Lee Camp throws some fuel on the fire and also rips on this “crime against humanity.”
Saturday, September 21, 2013
Debt is Still Cheap, and Getting Looser / Interest-Rates / US Debt
By: Douglas_French
Suddenly, borrowing and lending is all the rage again.
The financial crash was five years ago this fall, and nobody is letting us forget it. According to ex-FDIC Chair Sheila Bair, financial soundness isn't much improved. She says, "I think our system is still somewhat fragile, a lot more needs to be done."
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Sunday, September 08, 2013
The Fed Has Wasted Trillions and the US Will Default / Interest-Rates / US Debt
By: Graham_Summers
The facts are now becoming abundantly clear, that the forecast we’ve maintained for well over two years has been validated: the US is in a DE-pression and both Washington and the Federal Reserve have wasted trillions of Dollars.
The reality is that what’s happening in the US today is not a cyclical recession, but a one in 100 year, secular economic shift.
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Sunday, August 25, 2013
The Truth about the Real Size of the US National Debt / Interest-Rates / US Debt
By: Pravda
Everyone got used to the largest officially announced U.S. national debt of 16 trillion dollars. Moreover, despite the dire predictions, the global economy seems to be more or less stable, and recently liberal media have been happily reporting GDP growth in the United States and the European Union. However, it is not all that great.
Thursday, August 15, 2013
America is Detroit / Politics / US Debt
By: Videos
O“Rich Dad/Poor Dad” author Robert Kiyosaki says, “I am terrified for my fellow human beings. Detroit just declared bankruptcy, and most Americans have no idea what that means. The idea that Detroit went bankrupt is the canary in the mine. . . . It means the end of the industrial age.” Kiyosaki, who wrote the best-selling financial self-help book of all-time, goes on to say, “America is Detroit. . . .
Wednesday, August 14, 2013
U.S. Debt Nears a Tipping Point, Dire Economic Consequences / Interest-Rates / US Debt
By: Money_Morning
Garrett Baldwin writes: As U.S. debt as a percentage of GDP hovers at levels not seen since World War II, concerns are growing that the American economy is susceptible to a debt crisis in the near future.
Here's why people are worried: If interest rates return to normal levels of around 5% as the U.S debt approaches $20 trillion, then servicing that debt each year will cost taxpayers $1 trillion.
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Thursday, July 25, 2013
Detroit Bankruptcy, the Law, and Leonard Garment / Politics / US Debt
By: Fred_Sheehan
The City of Detroit, Michigan's petition for "bankruptcy protection and the adjustment of debts under chapter 9 of the United States Bankruptcy Code" (case number 13-53846 United States Bankruptcy Court for the Eastern District of Michigan, Southern Division), offers plenty of opportunity. Among the potential windfalls are to those who buy contracts at a discount, the clarity of bondholder claims, and the clarity of retiree benefit claims.
Wednesday, July 24, 2013
Eight More U.S. Cities on the Verge of Bankruptcy / Interest-Rates / US Debt
By: Money_Morning
Detroit is the largest municipal default in the history of the US. The city owes $9.2 billion in pensions, $1.9 billion to creditors and is $18.5 billion in debt.
The city's infrastructure is collapsing. Almost half of its streetlights are not working and aren't being repaired.
The average time for Detroit police to respond to an emergency is just under an hour. Crime has spiked. Many in the city have resorted to carrying firearms for their personal protection.
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Monday, July 22, 2013
Why Detroit’s Bankruptcy Should Concern You / Stock-Markets / US Debt
By: InvestmentContrarian
Sasha Cekerevac writes: Well, it’s official—as of last Thursday, the city of Detroit is bankrupt.
Detroit is a sad example of a city that was continually running a large budget deficit. But it grew into such a huge amount of government debt that the only way out was to file for bankruptcy and give investors pennies on the dollar.
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Monday, July 22, 2013
Detroit Bankruptcy Milestone in the Decay of American Capitalism / Politics / US Debt
By: Barry_Grey
The bankruptcy of Detroit, the former auto capital of the world, is a milestone in the historical decay of American capitalism. It is as well a new point of departure in the social counterrevolution being carried out by the ruling class to make working people pay for the failure of its system.
Kevyn Orr, the unelected financial tsar, Republican Governor Rick Snyder, Democratic Mayor David Bing and the establishment media all point to the horrific conditions in Detroit—78,000 abandoned buildings, non-functioning streetlights, antiquated and understaffed fire protection—not to indict the politicians and corporate powers who are responsible, but to justify the destruction of the living standards and essential public services of workers who bear no responsibility for the disastrous situation.
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Thursday, June 20, 2013
Detroit the Epicentre of the U.S. Death Spiral of Debt? / Interest-Rates / US Debt
By: InvestmentContrarian
George Leong writes: Debt is deadly, and it’s made even worse with rising interest rates that prevent you from eliminating the debt load. What happens with rising interest rates is that payments mostly go toward the interest and less to the principal. In fact, it’s what I call a death spiral of debt that worsens as rates move higher.
When individuals face excessive debt, often the solution is to pare down on spending and adhere to a strict debt repayment program.
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Thursday, May 23, 2013
Is the United States the Next Argentina? / Politics / US Debt
By: Money_Morning
Garrett Baldwin writes: Drive the streets of Buenos Aires, and you will see regal architecture that rivals wealthy European enclaves in Monaco or London.
And along tree-lined walkways, you will witness monuments that speak of the legacy of Argentina's finest moments.
But all of it is just a façade-a reminder of what used to be.
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Monday, May 13, 2013
U.S. Fed Warns of New Financial Bubble Crisis About to Burst / Stock-Markets / US Debt
By: Money_Morning
Ben Gersten writes: Before the housing market crash, economists warned that record low-interest and mortgage rates were fueling a housing bubble.
Unfortunately, those fears were both overlooked and underestimated.
Now, an advisory council to the U.S. Federal Reserve is warning the Fed that its record $85 billon-a-month stimulus and ultra-low interest rates are fueling new bubbles in student loans and farmland.
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Wednesday, May 01, 2013
The Real Reason U.S. Government Is Paying Down the National Debt / Interest-Rates / US Debt
By: Money_Morning
David Zeiler writes: After six years of non-stop deficit spending that has added $8.2 trillion to the national debt, the U.S. Treasury has announced that it expects to reduce the country's debt by $35 billion this quarter.
Given that national debt growth has rocketed past $16.7 trillion and is on track to exceed $17 trillion at some point in the fall, a $35 billion reduction is laughably tiny. It's just 0.02% of what we as a nation owe.
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Monday, April 29, 2013
Welcome to the Next Subprime Bubble / Interest-Rates / US Debt
By: Money_Morning
Greg Madison writes: Who could forget the subprime mortgage crisis of just a few years ago?
If there's one good thing that came out of that nightmare, it's that we - borrowers, lenders, financial institutions all - learned that securitizing bad loans and letting them spread like poison throughout the financial system was a bad thing.
We can look back at the subprime crisis with the wisdom of afterthought, and see all the mistakes laid bare.
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Saturday, April 13, 2013
All of a Sudden, 2013 Becomes Another Trillion-Dollar Deficit Year / Interest-Rates / US Debt
By: Profit_Confidential
In its monthly statement of receipts and outlays for the month, the Treasury Department reported that the U.S. government incurred a budget deficit of $107 billion for the month of March 2013. (Source: Department of the Treasury, April 10, 2013.) This monthly budget deficit was a result of the government spending $293 billion while only taking in $186 billion in March.
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Thursday, April 04, 2013
Is the Fed Creating an Auto Subprime Loan Bubble? / Interest-Rates / US Debt
By: Submissions
Terry Allen writes: Loans to subprime automobile borrowers are presently surging as a direct result of the current aggressive stimulus policies imposed by the US Federal Reserve. For example, deals instigated by car dealers soared by over 18% during 2012 involving over 6.5 million high risk borrowers. Reviews of court files by prominent market analysts have disclosed that auto subprime lenders are now one of the main reasons why so many Americans are forced to file for bankruptcy.
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Thursday, March 28, 2013
Why We Can't Avoid Ben Bernanke's "Monetary Cliff" / Interest-Rates / US Debt
By: Money_Morning
Martin Hutchinson writes: When it comes to the Federal Reserve, an accurate "reading of the tea leaves" means paying attention to all of the fine print.
And while the markets cheered last week's FOMC meeting with yet another rally, a deeper look at Ben Bernanke's press conference left me with a slightly different take.
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Saturday, March 16, 2013
U.S. Debt-to-GDP Ratio This Year to Surpass Greece’s 2009 “Danger” Level / Economics / US Debt
By: Profit_Confidential
The U.S. Department of the Treasury reported that the U.S. government incurred a deficit of $204 billion for the month of February 2013. So far, we are into the first five months of the government’s fiscal year (started October 1, 2012), and the U.S. government fiscal deficit has already grown by $494 billion. (Source: U.S. Department of the Treasury, March 13, 2013.)