The fate of the world's currencies in the wake of the demise of the dollar. - page 66
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Here is what follows from Politico, Alabama.com, New York Post;
The US debt now stands at $19.845 trillion (almost $20 trillion !!!). Just recently it was $13 trillion...
$61,349 per person, or $165,926 per taxpayer.
The debt managed by the Treasury consists of two parts: the debt of the public ($14.365trn) and the debt of domestic holdings ($5.481trn). The latter consists of debt issued to government-managed trust funds, revolving funds and special funds. The main holders are the Social Security Trust Fund, the Civil Service Pension Fund and the Military Pension Fund.
For years the perception has been that China is the biggest holder of US debt.
China was indeed, but eight years ago. Now the biggest holder of government debt is the Fed.
As of 13.07.17 the Fed holds $2.465 trillion of government debt in the form of government securities - treasury bills, bonds and other bills. This is two-plus times more than the $1.106 trillion. - US securities held by Japanese entities. China is the second largest foreign holder of US securities with $1.092 trillion.
In January 2009, China held $744.2 billion in US government securities and the Fed held $475.2 billion. The total debt as of January 2009 was $10.627 trillion. Since then the figure has increased by $9.218 trillion (86.7%). Much of the debt has accumulated because of the "fight against terrorism".
In recent years, the Fed has practised something it has not previously operated as part of monetary policy - QE.
The Fed has bought a huge amount of government securities to stimulate the economy under the QE programme. And there is $8.097 billion in debt securities issued by other federal agencies on the Fed's balance sheet. The Fed now accounts for about 17% of all public debt issued by the federal government.
In addition to being the largest private purchaser of government securities, the Fed also has $1.770 trillion in mortgage backed securities, also issued mostly by government agencies. Including the Government National Mortgage Association (Ginnie Mae) as well as, the Federal National Mortgage Association (Fannie Mae) and the Federal Mortgage Corporation (Freddie Mac). It is known that Fannie Mae and Freddie Mac are now nominally private institutions. Since 2008, operate under the government.
Higher interest rates will increase the amount needed to service the debt. Currently, interest payments amount to $266 billion a year. As interest rates rise, this amount could be doubled.
Clearly the US is facing a looming economic crisis. This is a fact.
The current financial path they are on is completely wrong.
Unconditional spending, plus permanent deficits will be added to the national debt. They are projected to be $443 billion in 2017.
The final report of the National Commission on Fiscal Responsibility and Reforms best describes the problem facing the country:
- "The problem is real. The solution will be painful. There is no easy way out."
But, of course, "nothing will happen to the dollar".
Several generations of Soviet and Russian people grew up, grew old and died on tales of the collapse of the dollar.
The dollar is needed by many nations.
Therefore it is in no way waiting to collapse.
The dollar is even good for Russia.
It is not money that is evil - it is evil in our souls and brains.
In my opinion, a stronger dollar will cause difficulties for the US economy.
I have a mate who is a locksmith of some high level + electrician + something else, he can set up a conveyor, CNC machine, etc.
Recently he was looking for a job, as there was a cutback in production, the rest were part-time.
Maximum, what I found. 30000 rubles / month. My wife has the same situation, although the large production of building materials, Russian-German. Wages were cut by half, if I did not like it - good riddance.
The country has fallen to the early 90s in terms of living standards.
The leaders have long been detached from real life, their fishbowl is always warm and full.
Several generations of Soviet and Russian people grew up, grew old and died on tales of the collapse of the dollar.
The situation was different at the time, the foreign currency dealers were put up against the wall.
believes that where there is good, there is homeland
That's the problem. You can't bring up your own children properly...
Depends on the imp-ecp. But the continual violation of the agreements,
rewriting IMF rules on the fly, etc., will not end well...
Ah, folks, folks...
Why don't you want to see that there is an obvious problem?
Of course, no one is saying that the collapse of the dollar is imminent.
No one is saying that, are they?
But you can see that a serious lump of problems is brewing in the US.
And not just any fleeting ones, but structural ones, the worst kind.
In everything, sooner or later, there comes a change.
Apparently, we are living in just that epoch, when we can watch how it all is born (reborn).
Well, perhaps, as a national currency, the dollar will continue to exist, but one can feel the desire to move to other currencies.
In the past, Washington would have certainly delivered a missile blow to those who wish to.But... All those who could have been hit have already been destroyed. That leaves the superpowers with whom no one wants to fight. Neither does the United States.
And it would take a lot of money to go to war.What kind of war can there be if there are countless military bases around the world. It all must be financed. Why should it be financed, if the national debt is already twenty trillion...?
There is little talk about it now, it seems they have forgotten that September 30th is approaching.The time when the debt ceiling is due to be "broken through" again. Or default. This is a serious dilemma. There is a bit of a splitin the House on this issue.
We just have to wait a little longer. And we know how to wait.
Ah, folks, folks...
Why don't you want to see that there is an obvious problem?
Of course, no one is saying that the collapse of the dollar is imminent.
No one is saying that, right?
But you can see that there is a serious lump of problems brewing in the US.
And not just any fleeting ones, but structural ones, the worst kind.
In everything, sooner or later, there comes a change.
Apparently, we are living in just that epoch, when we can watch how it all is born (reborn).
Well, perhaps, as a national currency, the dollar will continue to exist, but one can feel the desire to move to other currencies.
In the past, Washington would have certainly delivered a missile blow to those who wish to.But... All those who could have been hit have already been destroyed. That leaves the superpowers with whom no one wants to fight. Neither does the United States.
And it would take a lot of money to go to war.What kind of war can there be if there are tons of military bases around the world. It all must be financed. Why should it be financed, if the national debt is already twenty trillion...?
There is little talk about it now, it seems they have forgotten that September 30th is approaching.The time when the debt ceiling is due to be "broken through" again. Or default. This is a serious dilemma. There is a bit of a splitin the House on this issue.
We just have to wait a little longer. And we know how to wait.
What a stalemate, you do not want to see that the problem has existed quietly for decades and every year it is predicted you know what. You do not want to see it and in response they do not want to see that the problem is more serious than the problems we have. What do you want from the other side if you are stubborn in your views.
But you cannot turn a blind eye to the way officials live. And to hypocritically talk about raising living standards at these prices. I was watching KVN the other day in '16. There was a bark going around saying that our salaries are fine, our prices in the shops are sky-high and wages are good.
That's a great tactic - wait for the enemy's corpse to float by itself. And getting your aligarchic ghouls to take the path of self-development-no.
Oh, folks, folks...
Why don't you want to see that there is an obvious problem?
Of course, no one is saying that the collapse of the dollar is imminent.
No one is saying that, are they?
But you can see that a serious lump of problems is brewing in the US.
And not just any fleeting ones, but structural ones, the worst kind.
In everything, sooner or later, there comes a change.
Apparently, we are living in just that epoch, when we can watch how it all is born (reborn).
Well, perhaps, as a national currency, the dollar will continue to exist, but one can feel the desire to move to other currencies.
In the past, Washington would have certainly delivered a missile blow to those who wish to.But... All those who could have been hit have already been destroyed. That leaves the superpowers with whom no one wants to fight. Neither does the United States.
And it would take a lot of money to go to war.What kind of war can there be if there are countless military bases around the world. It all must be financed. Why should it be financed, if the national debt is already twenty trillion...?
There is little talk about it now, it seems they have forgotten that September 30th is approaching.The time when the debt ceiling is due to be "broken through" again. Or default. This is a serious dilemma. There is a bit of a splitin the House on this issue.
We just have to wait a little longer. And we know how to wait.