This is incredible: US National Debt has now increased by over $1 trillion since the debt ceiling was suspended last month.
If you don't believe it, check this page.
So now US national debt is about 32,4 trillion dollars. So it means that this debt has increased by just over 3 % in only one month. What will the future hold?
Gregory Mannarino also talks about it in this recent video. Here is a US National Debt clock that tells the same. This article is a confirmation, too. You don't find much about it on the internet if you google. But it should indeed be first page news in all newspapers in the world. Our fate is closely tied to the fate of US, the worlds largest financial empire.
These news were a real wake up call for me. I have followed the debt situation in US for a long time. Still I can't believe it's true.
But it must be true. Just look at this article: "National Debt Surges By Over $350 Billion in One Day After Debt Ceiling Deal".
"The Guy McPherson of economics" (my epithet), Peter Schiff, commented recently on the US debt time bomb, here.
For people who are not energy blind, I recommend to watch closely the links to Peak Oil, rapidly declining EROEI and rapidly declining global net oil exports.
Folks, we don't have much time left.
The national debt of US rises exponentially. In 2013 it was just over 16 trillions, so they have doubled the national debt in ten years. Will the next doubling take only five years? Then they will have about 65 trillion dollar in national debt. And the year will be 2028. The total revenues in the US federal government budget for 2022 were $4.896 trillion, 19,6 % of GDP. Let's assume that they have that in 2028, too. How much of that will go to the service of the interest on the national debt? Let's assume the interest will be 5 % then, as Peter Schiff assumes. 5 % of 65 is 3,25. 3,25 trillion will go only to servicing the interest in 2028. They will have only 1,64 trillion for the rest of the state's expenditures. The defense budget alone in US is $777 billion (so 2022). The social security costs for 2022 were $1.2 trillion. Well, add those two, and now we are already near 2 trillion. And only two areas of the US financial system and country is covered. How about education? How about energy? How about manufacturing? How about the Green Transition? There will be no money for that in 2028. Except by borrowing astronomical amounts on top of the mountain of debt they already have. So that the interest payments get even greater, exponentially. Maybe US reaches 100 trillion in national debt in 2030. Then a whopping 5 trillion has to go into servicing the national debt alone, and they probably don't have more than 4.896 in total state revenues in 2030. 5 trillion is about 20 % of US GDP. And remember that GDP is the measure of all transactions in the country, not an account of the real wealth of a country.
This is unsustainable, to say the least.
But make a little thought experiment. Assume that US national debt will rise linearly from now on, with one trillion every month. When will US national debt reach 100 trillion?
First, we have seven years to 2030. Seven times twelve is 114. So according to this scenario, they would have 146 trillion of national debt in 2030. And that's a linear projection. Remember that the debt grows exponentially. So, in this linear scenario, when does the debt reach 100 trillion? Well, 100 minus 32,5 is 67,5. We have 67,5 trillion left to use up. How many years of 1 trillion dollars per month in debt is that? Answer: 67,5 divided by twelve, which is 5,6. We have 5,6 years left until the US national debt reaches 100 trillion, assuming a linear scenario. When is that? Answer: in the end of 2028 and the beginning of 2029.
If we count on an exponential scenario, we could reach 100 trillion already a couple of years before that, i.e. in the end of 2026, the doomsday year of environmental professor Guy McPherson. So fast is the rise in the end of an exponential curve.
All in all, it feels like something will break radically well before 2030. Peak Oil math, the area I'm specialized in as regards economics, tells me the same. Everything points in the same direction. Prophecy, math, environmental problems. That we are entering the Collapse of civilization.
