US debt has increased by $572 billion in two weeks

Can America still pay its bills after June 1?

The US government managed to increase its debt by 572 billion dollars in less than two weeks. With that Total Government Debt The U.S. debt is $32.03 trillion and the U.S. debt is greater than the combined gross domestic product (GDP) of China, Japan, Germany, and the United Kingdom.

$244,000 in US government debt per household.

Large interest charges

At current interest rates, the US government pays about $2 billion a day in interest. If every American household set aside $1,000 a month debt It will take another 20 years to complete.

The US debt problem has long been the focus of experts and US residents, and most analysts expect the problem to worsen over the next 10 years.

Nigel Green, CEO of the global deVere Group, recently predicted that the US debt mountain will reach $50 trillion in the coming years.

This will also increase interest costs, especially if the Federal Reserve keeps interest rates at current levels. For that reason alone, interest rates must be lowered to maintain credit. Borrowing at 5 percent would mean the end of America. People can’t resist it.

Big problems

Investment magnate Ray Dalio is also skeptical about America’s ability to solve the problem. According to Bridgewater Associates, founder of the world’s largest hedge fund, America is in “a classic great cyclical debt crisis.”

Dalio is an investor who looks more at history, not in the short term, but 80 to 100 years. According to him, the US is currently in the final phase of its hegemony, and the geopolitical playing field is likely to change significantly in the coming years.

“If we continue this way over the next five to 10 years, you’re going to get to a point where it’s going to be very difficult to keep things in balance,” Dalio said.

By this he is talking about stabilizing the economy and at the same time preventing (hyper)inflation. For Bitcoin, with an absolute shortfall of 21 million units, this seems like a great scenario.

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