That is a painful and shocking title. More than 2 tons of debt. That is quite something. How do you tink this ever we be paid off? Yes, that’s the question. I am talking about the mountain of debt that the US has built. This amount is per person. So every baby that happens now (Congratulations and wishing nothing but good) is already 220,000 USD in the minus. How do you get out of such a debt?
If we look at the problem then we cannot simply go to 1 segment of society look. It is not the Federal government led by President Trump. We have to to look at regional and local authorities. President Trump has nothing to do with that say. But also the problems in the pension sector, the public domain, corporate debts, and personal debts. Debts are increasing everywhere in society. Nobody sets the question about paying off the debt mountain. Nobody talks about what will happen if the interest rate rises.
However, the problem is greater than you imagine. How many people live alone? How many babies can take care of themselves? Let’s start from an example family: a father, a mother, 2 children. That means 4 x 220,000 USD in debt.
If we look at the repayment capacity then we see another major problem. The debts grow faster than the economy. So economic activity has been brought forward. Around the to pay off accrued debts, future economic growth will be very weak.
Of course, people will not pay off that debt mountain. The only thing a realistic option just postpone the real solution. After all, the American financial system is bad good at delaying serious solutions and is this highly fraudulent system with sustained.
This, of course, goes wrong once. The question is not if, but when. The reason this is so we see in the system. This is set up in such a way that the debt mountain only increases. We can safely state that the American, and European, economies are a bubble economy to be. Bubbles burst and then a new bubble comes. Recognizable?
The problem with every bubble is that you are there as an individual or investor completely can do nothing about it.
To solve the problems, it would be good if people did not incur new debts to go. But people are really going to blame their credit card, the mortgage, the study loan pay off? I don’t see it happen. Then painful choices come up. But you see it already happen that this will happen at the government level? Show me a politician capable is to make and maintain a budget. A politician who understands the money system works.
When everything implodes we will have an extremely lucrative time. Provided you, of course, are prepared. Then maintaining your assets and staying alive is the first requirement. If you want that too, it is Survive The Collapse something for you