Description
Ever since the US broke the link to gold and started printing money that wasn't attached to anything of value they had to sell bonds / I O U's to investors which they paid interest mainly in other countries of the amount of money they printed. Just like in a ponzi scheme the US doesn't have enough money to actually pay back those IOU's because of the large national debt. So as they continue to print up more trillions they have to sell those trillions in bonds / IOU's. Just like in a ponzi scheme as more investors buy the bonds they use that money to pay the interest to the other investors that own the bonds from before. So they need to constantly have sell more and more bonds to pay the interests to the investors exactly like Bernie Maddoff did. This has been going on since the 70's so now the US owes 30 Trillion to these investors in which they can never pay back so need to keep selling more and more bonds to cover the interest. Another reason the fed lowered the interest rate so low so that the US could pay less interest on the bonds.
But now with the out of control spending, and now in the digital age, our government doesn't even have to print money anymore, they just add numbers to the debt electronically and spend it and sell more bonds. Of course this is causing mass inflation. And Eventually just like Bernie Maddoff the US will run out of buyers and won't be able to cover the interest to the investors. When the investors then demand to cash in their bond just with Maddoff the US won't have the money to pay them and the economy will come crashing down. The crash will eventually happen but with the massive spending it will happen much sooner, maybe this coming year. When it happens you'll now know why.
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