When will the USA pay their debts, if ever?

[LMGTFY]

Never, the only way the government could pay it off in a traditional sense is if they somehow tax [current level of debt] out of the us citizens. That I think will not happen, so they will either default or hyper inflate their debt away.

Or they could reduce public spending. Britain in the early 1980s did this, and the Public Sector Borrowing Requirement became (temporarily) the Public Sector Debt Repayment.

Public spending in the US is already very low, the lowest it has been in decades. I do not think we can cut pubic spending very much more. It would be better (and necessary) to cut/delay entitlement benefits so that the taxes that pay for entitlements are more closely aligned with the amount of benefits that are paid out, over the long term

It fell in 2010, 2012 and 2013, but it's been steadily increasing outside those (fiscal) years (and is projected to continue increasing this year and next). It was $16797.5 billion in 2013, having risen from $11512.2 bn in 2003, $6878.7 bn in 1993, etc.

Depending how you measure it (and which economist you listen to!), US public spending is between 30 and 45% of GDP. This isn't an extreme: there are developed countries that are better, and worse.

I'm not sure I understand why cutting/delaying entitlement benefits doesn't constitute a reduction in public spending?

[1714690952]

1714690952

[1714690952]

1714690952

[boraf]

Never, the only way the government could pay it off in a traditional sense is if they somehow tax [current level of debt] out of the us citizens. That I think will not happen, so they will either default or hyper inflate their debt away.

Or they could reduce public spending. Britain in the early 1980s did this, and the Public Sector Borrowing Requirement became (temporarily) the Public Sector Debt Repayment.

Public spending in the US is already very low, the lowest it has been in decades. I do not think we can cut pubic spending very much more. It would be better (and necessary) to cut/delay entitlement benefits so that the taxes that pay for entitlements are more closely aligned with the amount of benefits that are paid out, over the long term

Deficit and debt piling up every year said otherwise.

[FeedTheDolphins]

This premise that debts were made to be paid off is false, though it's a bit unintuitive. 

[Furio]

Please think about who they are in debt to? 3 families, it's all artificial and a joke, thank god for the baby of Satoshi, Bitcoin!

[GenieBTC]

its called never lol.

Maybe US will carry on jobs for those countries.

[serenitys]

USA will never pay off this debt because it's impossible to do so.

Instead, we end up getting Chinese landlords...

http://www.nytimes.com/2014/10/07/nyregion/waldorf-astoria-hotel-to-be-sold-for-195-billion.html?_r=0


You are not free as long as you support this system...and the majority of land and real estate in this country is not owned by Americans.

It's owned by foreign creditors.

So to sum up pages 1 - 7: Fuck USD. Buy BTC and stock the hell up! 

[Robert Paulson]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

[serenitys]

Well they've already been starving the military so next up is robbing us all

[Magic8Ball]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

[Robert Paulson]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

[Biodom]

USA will never pay off this debt because it's impossible to do so.

Instead, we end up getting Chinese landlords...

http://www.nytimes.com/2014/10/07/nyregion/waldorf-astoria-hotel-to-be-sold-for-195-billion.html?_r=0


You are not free as long as you support this system...and the majority of land and real estate in this country is not owned by Americans.

It's owned by foreign creditors.

So to sum up pages 1 - 7: Fuck USD. Buy BTC and stock the hell up! 

Foreigners buying prime US real estate usually means that their economy peaked or about to peak-same happened with japanese in late eighties early nineties.

[BTCfan668]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

[Robert Paulson]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

nothing China can do will make the dollar successful in the sense that you can exchange it for products, America doesn't produce anything anymore and China knows it, they'll have to take a loss there's no way around it.
other countries are starting to sign currency swap deals to trade in their local currencies directly without using dollars, once they stop pricing their products in dollars the game is over.

http://money.cnn.com/2013/10/10/news/economy/ecb-china-currency/

China already signed an agreement with England to swap local currencies and now they do it with the EU, they are not going to continue playing the dollar ponzi, they are actively working on dumping it.

[Eisenhower34]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

nothing China can do will make the dollar successful in the sense that you can exchange it for products, America doesn't produce anything anymore and China knows it, they'll have to take a loss there's no way around it.
other countries are starting to sign currency swap deals to trade in their local currencies directly without using dollars, once they stop pricing their products in dollars the game is over.

http://money.cnn.com/2013/10/10/news/economy/ecb-china-currency/

China already signed an agreement with England to swap local currencies and now they do it with the EU, they are not going to continue playing the dollar ponzi, they are actively working on dumping it.

If the dollar remains stable as it has been then it will continue to be the currency of choice for transactions around the world for goods and services.

China is exchanging dollars for pounds and euros however they are still buying more dollars then they are selling, making them a net buyer of dollars. It has been reported they are only trying to diversify their currency holdings

[Robert Paulson]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

nothing China can do will make the dollar successful in the sense that you can exchange it for products, America doesn't produce anything anymore and China knows it, they'll have to take a loss there's no way around it.
other countries are starting to sign currency swap deals to trade in their local currencies directly without using dollars, once they stop pricing their products in dollars the game is over.

http://money.cnn.com/2013/10/10/news/economy/ecb-china-currency/

China already signed an agreement with England to swap local currencies and now they do it with the EU, they are not going to continue playing the dollar ponzi, they are actively working on dumping it.

If the dollar remains stable as it has been then it will continue to be the currency of choice for transactions around the world for goods and services.

China is exchanging dollars for pounds and euros however they are still buying more dollars then they are selling, making them a net buyer of dollars. It has been reported they are only trying to diversify their currency holdings

the dollar can't remain stable, the American government is running huge deficits and China is not buying bonds as much as it used to.

the only way this can continue is by having the fed buy bonds with printed money a.k.a QE, this will create high inflation first in the financial markets and then in consumer goods.
the American government is helpless in stopping inflation because raising interest rates will make it impossible to continue rolling its huge debt.
no one is going to price commodities in a currency that is inflating out of control.

[Eisenhower34]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

nothing China can do will make the dollar successful in the sense that you can exchange it for products, America doesn't produce anything anymore and China knows it, they'll have to take a loss there's no way around it.
other countries are starting to sign currency swap deals to trade in their local currencies directly without using dollars, once they stop pricing their products in dollars the game is over.

http://money.cnn.com/2013/10/10/news/economy/ecb-china-currency/

China already signed an agreement with England to swap local currencies and now they do it with the EU, they are not going to continue playing the dollar ponzi, they are actively working on dumping it.

If the dollar remains stable as it has been then it will continue to be the currency of choice for transactions around the world for goods and services.

China is exchanging dollars for pounds and euros however they are still buying more dollars then they are selling, making them a net buyer of dollars. It has been reported they are only trying to diversify their currency holdings

the dollar can't remain stable, the American government is running huge deficits and China is not buying bonds as much as it used to.

the only way this can continue is by having the fed buy bonds with printed money a.k.a QE, this will create high inflation first in the financial markets and then in consumer goods.
the American government is helpless in stopping inflation because raising interest rates will make it impossible to continue rolling its huge debt.
no one is going to price commodities in a currency that is inflating out of control.

China is diversifying their foreign exchange holdings to include other foreign currencies so they don't have all their "eggs in one basket" however they are still a net buyer of dollars. Their economy is primarily made up of companies that export products to places throughout the world. The US is one of it's largest trading partners (if not the largest) and if the dollar is no longer a reserve currency then the US economy would likely suffer which would mean it would not buy as many Chinese products which would mean the Chinese economy would suffer

[funtotry]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

nothing China can do will make the dollar successful in the sense that you can exchange it for products, America doesn't produce anything anymore and China knows it, they'll have to take a loss there's no way around it.
other countries are starting to sign currency swap deals to trade in their local currencies directly without using dollars, once they stop pricing their products in dollars the game is over.

http://money.cnn.com/2013/10/10/news/economy/ecb-china-currency/

China already signed an agreement with England to swap local currencies and now they do it with the EU, they are not going to continue playing the dollar ponzi, they are actively working on dumping it.

The US still has it's "war machine" which allows it to exert it's influence throughout the world. This includes economic influence. The US economy also produces massive amounts of foreign goods and services (including Chinese goods) so if the US economy were to tank then the Chinese economy would suffer as well

[hustler100]

Printing printing printing papers all over the place to cover debt with more debt
illusions - ill - lusions

[Robert Paulson]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

nothing China can do will make the dollar successful in the sense that you can exchange it for products, America doesn't produce anything anymore and China knows it, they'll have to take a loss there's no way around it.
other countries are starting to sign currency swap deals to trade in their local currencies directly without using dollars, once they stop pricing their products in dollars the game is over.

http://money.cnn.com/2013/10/10/news/economy/ecb-china-currency/

China already signed an agreement with England to swap local currencies and now they do it with the EU, they are not going to continue playing the dollar ponzi, they are actively working on dumping it.

The US still has it's "war machine" which allows it to exert it's influence throughout the world. This includes economic influence. The US economy also produces massive amounts of foreign goods and services (including Chinese goods) so if the US economy were to tank then the Chinese economy would suffer as well

the US war machine buys its oil with borrowed Chinese money.
no Chinese money - no war machine.

if those goods and services are foreign how exactly does the US economy produce them?
if the product is produced in China then thats a chinese product, its bought with yuan, the factory workers are paid in yuan and the taxes are paid in yuan.

if the US economy were to tank the world would be better off.
the US is a net consumer it doesn't produce anywhere near as much as it consumes, it is a burden on the world.

[Magic8Ball]

the really sad part is how the American government is so dependent on foreign loans.

http://www.tradingeconomics.com/united-states/government-budget-value

129 billion government deficit just in august, if China doesn't loan any more money either the American army goes starving or the American government plunders its population for money.
America used to be the worlds biggest creditor nation, it has become the debt slave of the Chinese,
when one looks at the data it becomes clear who the real world power is.

Peter Schiff has it right https://www.youtube.com/watch?v=EgMclXX5msc&feature=player_detailpage#t=2417

You got it the wrong way. China will keep producing for USA and continue feeding them as otherwise if it collapse then all the dollars they have is worthless. USA is in a solid position, they buy with dollars which they know the sellers will try and keep propping up.

you assume China will continue throwing good money after bad forever.
they are already working with the BRICS to get rid of the dollar
http://www.standartnews.com/english/read/russia_and_china_team_up_to_destroy_the_petro_dollar-5652.html
the end game is near, once China refuses to accept dollars for products America goes hungry.

China has trillions of dollars worth of both dollars and US government issued debt. If the dollar no longer is a reserve currency then they will end up loosing a lot of money. China has a vested interest in the dollar continuing to be successful

Yes, they are the real losers in all these. Serves them right to have kept up saving up dollars by huge numbers. Now they have to keep on buying dollars to hold it up so that the existing ones they have are not useless.