Part of the issue is the infrastructure that reinforces the dollar role as the medium for the financial system. There is a laundry list of example however, the reality is that with all the deficits & unfunded liabilities-all which are public & know-and credit downgrades, war withdraw, recession etc. the dxy is at 102-stronger now than when we had the longest economic expansion in history. Why? Well that's because the dollar is a benefit of the financial system and the infrastructure design to keep liquidity for the world. Now it is true that certain holders have sold treasuries, however this is a function of managing their pegs. Between the petrodollar & the lack of large liquid bond market that has a central controlled printing press. In fact is better to look at it this way there are more dollars outside America-Eurodollar system-than inside, and that market developed on it's own then was reinforced by the financial infrastructure setup which facilities the supply of those dollars. There are other factors as well higher rates-regardless of what causes those rates-creates demand, flight to safety creates demand. The point is the debt and deficits will be with us for a long time learning the system will better help you navigated and profit.
"All it needs is a loss of faith by foreign holders of dollars in the US government’s finances and its self-serving statistical manipulation."
Well, I am pretty sure we have crossed that Rubicon.
Regarding the Triffin delima, once you understand how the system works........that there are NEVER enough dollars in existence to cover the debt AND the interest. .......it is obviously designed to create losers no matter the circumstances, and is therefore a system designed to eventually fail.
Has anyone else considered how easy it is for the Federal Reserve to create shell corporations that it then activates as proxies to buy Treasuries? It has the legal ability to do just that, and with no way to audit them, it could easily be concealed.......even from the people running the created proxy. Do you think the Treasury or IRS would even glance in the direction of said proxy? I often wonder how many of these billionaire fund managers or even Blackrock/Blackstone types are just Federal Reserve proxies that get unlimited funds when needed, to buy "distressed assets" created by a rigged system, and keep the music playing.
Finally, what the hell is $34,000 billion? How is that easier, clearer, or more efficient than just saying $34 trillion?
I'm Dylan from [https://dsc007.substack.com]. My focus is on uncovering and discussing impactful resources. Recognizing the importance of quality content, I'm committed to adding value for my audience. I admire your work and believe collaboration could be mutually beneficial for our growth and ideas.
If my content resonates with you, I'd be grateful for a recommendation on your Substack list.
Just waiting and adding to my gold holdings, keeping a big chunk on hand to jump on the SQQQ
This country is in the hands of voters,who are ill informed,voting their self interests,so we are going down.
Part of the issue is the infrastructure that reinforces the dollar role as the medium for the financial system. There is a laundry list of example however, the reality is that with all the deficits & unfunded liabilities-all which are public & know-and credit downgrades, war withdraw, recession etc. the dxy is at 102-stronger now than when we had the longest economic expansion in history. Why? Well that's because the dollar is a benefit of the financial system and the infrastructure design to keep liquidity for the world. Now it is true that certain holders have sold treasuries, however this is a function of managing their pegs. Between the petrodollar & the lack of large liquid bond market that has a central controlled printing press. In fact is better to look at it this way there are more dollars outside America-Eurodollar system-than inside, and that market developed on it's own then was reinforced by the financial infrastructure setup which facilities the supply of those dollars. There are other factors as well higher rates-regardless of what causes those rates-creates demand, flight to safety creates demand. The point is the debt and deficits will be with us for a long time learning the system will better help you navigated and profit.
"All it needs is a loss of faith by foreign holders of dollars in the US government’s finances and its self-serving statistical manipulation."
Well, I am pretty sure we have crossed that Rubicon.
Regarding the Triffin delima, once you understand how the system works........that there are NEVER enough dollars in existence to cover the debt AND the interest. .......it is obviously designed to create losers no matter the circumstances, and is therefore a system designed to eventually fail.
Has anyone else considered how easy it is for the Federal Reserve to create shell corporations that it then activates as proxies to buy Treasuries? It has the legal ability to do just that, and with no way to audit them, it could easily be concealed.......even from the people running the created proxy. Do you think the Treasury or IRS would even glance in the direction of said proxy? I often wonder how many of these billionaire fund managers or even Blackrock/Blackstone types are just Federal Reserve proxies that get unlimited funds when needed, to buy "distressed assets" created by a rigged system, and keep the music playing.
Finally, what the hell is $34,000 billion? How is that easier, clearer, or more efficient than just saying $34 trillion?
The debt is the dollars and they will borrow if allowed to pay the interest creating those extra dollars.
The ONLY way they will pay it is by borrowing it.
I pressed the “like” button, but uh, not really.
"It should be admitted that there is no correct way of calculating an entirely theoretical concept such as the general level of prices. "
Ricardo's Law of Rent basically boils inflation down to deltaLand(house minus build) over deltaWage (take home)
Great article, and a tip of the hat for probably the best and most honest disclaimer I have ever read.
Hi Quoth the Raven,
I'm Dylan from [https://dsc007.substack.com]. My focus is on uncovering and discussing impactful resources. Recognizing the importance of quality content, I'm committed to adding value for my audience. I admire your work and believe collaboration could be mutually beneficial for our growth and ideas.
If my content resonates with you, I'd be grateful for a recommendation on your Substack list.
Thanks for considering!
Best,
Dylan