On the last business day of 2023, the US Treasury Department announced the new level of public debt, which exceeded the $34 trillion mark for the first time in history. As of the previous day (December 28), the debt level had increased by $90 billion. Washington’s public debt now stands at about $102,000 for every …
Tag: economy
The chances of the Global Financial System collapsing
“There is no way to avoid the collapse of a system that has expanded more than it was allowed to because of manorial credit expansion” Ludwig von Mises. History shows us that we have reached our limits. History never lies, but politicians do. In a system that has expanded more than it was allowed to …
How did the FED destabilize the world economy, enrich the elites, crush the middle class?
The abundant but declining currency printed by Central Banks around the world, starting with the 2020 pandemic crisis, has fed the monster of inflation, which threatens to choke economies and the world. The tightening of credit conditions in an environment of geopolitical tensions has not yet led the economies to recession but has changed the …
The FED serves Wall Street (and capital gains taxes), not the Real Economy
Nobody likes tough macro events, especially during the holiday season, but some things need to be said, according to Trust Economics. As you know, US Federal Reserve Chairman Jerome Powell has promised that 2024 will be the year of interest rate cuts. In this regard, it should be pointed out that Powell is neither a …
USA: Black hole in the US economy – Impossible to finance Ukraine
The “black hole” in the American defense economy risks swallowing the economy of the superpower, and the role of the “global policeman” is called into question… So far, the White House has justified its unwavering support for Ukraine by citing principles such as defending democracy and freedom — both in Ukraine and in the West. …
FED: Vicious economic cycle with interest rate hikes leads to a crisis-crash like 1930s
The Fed’s “medicine” of lowering interest rates appears to be killing the sick American economy. The credit crunch due to unprecedented tight monetary policy has led to a surge in bankruptcy filings, portending a vicious recession and soaring unemployment. The flow of money supply (the dollars the Fed prints) fell again in October, remaining deep …
What does the dollarization of Argentina’s economy mean?
Argentina’s economic quagmire was the focus of the country’s November 19 presidential election. And the citizens have decided that they want… radical solutions. That’s why they nominated Javier Millay as the new president, who appeared several times with a… chainsaw. He promised to put a… “chainsaw” on public spending, in Latin America’s 3rd largest economy, …
The Productive Issue of an Economy
In order to see if an economy has entered a long-term path of dynamic development that will inevitably result in its transformation within a few years into a structurally sound and modern economy, we should establish and investigate whether this corresponds to reality by examining its production model for to find out if there is …
How can Wages increase in practice?
Although nominal wages rose sharply in the 1980s, high inflation did not allow for an increase in real terms. Over the past decade, the average real wage has been on an upward trend, but then the Covid-19 pandemic and high inflation created strong pressures on incomes. The growth of economies today supports significant wage growth …
The Reasons That Lead the Global Economy to “Difficult Paths”
The world economy is likely to be headed for a new recession and overall a time of difficulties. Things are not so good. This has to do with the combination of a number of structural trends currently permeating the global economy. 1. Inflation is here to stay There is a more structural dimension to inflation, …