Originally Posted by pricejj
Of course, one of the most important effects of massive government deficits, is that many governments over the world have now instituted zero interest rate policies, so that they can borrow money for cheap.
This, of course, means that you will not see any reasonable rates of return on savings (or SS) in our lifetimes.
Couple that with the Fed's stated policy of 30% inflation over 20 years...and Drek, could you please tell us how we are going to retire with our money losing so much value between now and retirement with no real opportunities for growth of savings, SS, or 401k?
As you can see, the only thing massive deficit spending creates, is a flat-lining private sector (just like you are seeing today). Thoughts?
Did you actually watch the video?
Did you comprehend any of it?
Real resources are what matters, our nation has abundant supplies on that front. You could even say we're the breadbasket of the world.
Private sector growth only happens when we run trade surpluses or we run a gov't. deficit of some kind. Clearly explained mathematically in the video. This is an either/or equation. Want real private sector growth you live with public deficits.
The effect that has on our currency is irrelevant as long as we 1. control our own currency and 2. control the resources we need to continue growth as a nation.
Further underscores how the most justified taxes are those on estate transfers and moving wealth outside the U.S.. Both take away from this nation's prosperity by removing wealth from an equation that has to balance out. End result is the sum we get to play with on how to balance said equation is reduced so the super wealthy can be hoarders of "wealth". At the expense of their fellow citizens.