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The logical mind would advise any politician to immediately stop the out of control excessive and mindless spending behavior of the state and possibly turn it into its opposite. why is this not happening? in America it is clear that a failed government is trying to save itself across the finish line through an artificially inflated economy, which will not work under these conditions. In other parts of the world, especially in the eurozone, the problems are systemic, an already independent bureaucracy that has outgrown even the politicians who initiated its growth. If we pull the plug and thus radically remove the state from the economy, there would be a shock on the demand side that would derail everything and make politicians look extremely stupid. So it will go on like this until one day the bond market shows the red card. Then the fun begins!
I don't know why anyone here has not done so yet, but no one is asking if it needs to be stopped. Naturally the answer to that should be "Yes, of course".
The reality is that until the dollar is no longer the world reserve currency, it really does not matter how much spending happens and the debt is also not a concern. The entire system is built on avoiding deflation, not balancing against it. Inflation means you're getting that debt spiral no matter what. The only difference is how quick.
You will see a lot of fear mongering about BRICS and threats to the dollar as world reserve currency, but you will only have to start to worry when the United States is forced to maintain that status by actively threatening nuclear warfare. We are very very far from that.
People will continue to get more poor. The slums of third world countries will be studied and imported into first world countries as the economic middle class across the globe continues to get eviscerated. In India, some of those slums generate billions of dollars in profit while the people who live and work there do so in total poverty.
These will be seen as economic successes. Job growth. GDP growth. The works. It is cheap to do business here! That is the real cost of inflation and spending and this is what you will continue to see play out across the globe. Happening in America. In all major cities you have homeless encampments. In countless rural towns you see the same issues with drugs and poverty, peppered between the tree lines in hollers down dirt roads.
But the dollar will not collapse. All of us will be working just to survive and our goal posts will continue to be moved further away. Everyone thinks we will have some sort of breaking point and will riot and I just think it is funny because you don't really see that happening in any slums anywhere. People just adapt, accept and survive. If you know that about a population, I am sure it can be exploited.
Slumerica will be OK right until the dollar collapses as the world reserve currency, but I think we get nuked before then anyways. I do think that if some idiot like me is aware of all of this then the right people in government probably are too and that means we do have some chance. We see signs of that daily, with the continued integration of Bitcoin in our traditional financial system. I think there can be a scenario where the United States can maintain its power and transition the world into a Bitcoin standard.
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Oh, shut the fuck up already! Who the hell cares about government debt and reserve currencies? You're just another paranoid, conspiracy theory nutjob trying to spread fear and uncertainty. People have better things to worry about than some made-up financial crisis. And as for your little rant about the US being first among equals, go fuck yourself! The world doesn't revolve around America, you delusional asshole! So stop spreading your nonsense and mind your own damn business!
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Are You 'talking' to me?
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😂 Not sure if Kath was being serious?
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I think he is runninng a comedy account. It's quite entertaining but he should vary the topics and the style somewhat