Stay Vigilant Blog Post Tarriffs

While many focus on our rising interest costs to service our rising debt amounts I dont much care. We pay our interest to our citizens. Our existing debt service costs are mostly just a small symptom of the theft. The big thing to worry about is our primary deficit. That has grown far faster than our interest cost. Each year our primary deficit lay

Overall, I continue to view the US economy as being of two speeds. Demographic segments and industries that are on the receiving side of the large deficits are generally doing well. On the other hand, segments and industries that are more affected by the Fed’s tight monetary policy (such as housing and commercial real estate and younger or lower-in

In magnitudes that Argentines could only dream of, the U.S. government has been spending more than it raises in taxes, and American consumers and businesses have been importing more goods than they have been exporting, with borrowing from foreigners covering much of the gaps. The record budget deficit of about $413 billion for 2004, and the record

spending by America's Federal Government (adding in state and local governments significantly increased the total) was around 24% of national income whilst tax revenues were 15% of national income. That left a near-record peacetime budget deficit to be financed by borrowing of 9% of GDP.