When You Owe $20 Trillion, It's The Interest That'll Kill You
I'LL TAKE UNSUSTAINABLE FOR $200 ALEX
1/4 Point Fed Rate Hike Added $50 Billion To Interest Cost Annually
The government's VISA bill has gone up. Senator David Perdue breaks down the numbers.
The national debt is projected to hit $30 trillion in 2025. We currently pay close to $300 billion annually with record-low interest rates. At some point, unless we are actually Japan, rates have to rise. To be clear, we are talking about paying interest on money we have already borrowed. So a $20 trillion national debt financed at 5% (the historical average) translates into $1 trillion in interest owed every year, which would make it the single largest budget line, well ahead of defense, Social Security and Medicare. Total federal tax receipts are $3.3 trillion, so the interest cost on money we have already borrowed would consume 30% of the $3.3 trillion. Thirty percent. 30%.
How do you say 'unsustainable' in a language that Washington understands.
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US DEBT CLOCK IN REAL TIME: USDEBTCLOCK.ORG
Senator David Perdue (R-GA), a member of the Budget Committee, talks directly to Georgians about the interest costs associated with Washington’s skyrocketing debt. This is the third installment in Senator Perdue’s budget video series on the national debt.
Reader Comments (9)
http://www.nytimes.com/2016/05/09/opinion/a-better-not-fatter-defense-budget.html?partner=rss&emc=rss&_r=0
While increased funding for some programs may be needed, total military spending, at nearly $600 billion annually, is not too low. The trouble is, the investment has often yielded poor results, with the Pentagon, Congress and the White House all making bad judgments, playing budget games and falling under the sway of defense industry lobbyists. Current military spending is 50 percent higher in real terms than it was before 9/11, yet the number of active duty and reserve troops is 6 percent smaller.
http://www.nytimes.com/2016/05/09/opinion/a-better-not-fatter-defense-budget.html?partner=rss&emc=rss&_r=0
http://sputniknews.com/europe/20160509/1039283104/German-Government-Against-TTIP.html#ixzz48B9tccPE
http://www.federalreserve.gov/faqs/currency_12773.htm
End the Ponzi scheme of the FED designed to bring about slavery and return to a Constitutional currency.
Keystrokes, it is all just keystrokes....
Study finds regulations cost U.S. economy $4 trillion ... They keep talking about Smaller Government and all we get is more regulation and more tax.
economiccollapsenews.com/2016/04/28/study-finds-regulations-cost-u...
... U.S. government regulations cost the American economy $4 trillion. ...