The International Monetary Fund said in a report Thursday that the U.S. economy “has turned in a remarkable performance over the past few years,” but added that there is now “a pressing need to reverse the ongoing increase in public debt-GDP ratio.” .... To accomplish that shift over the course of several years, the IMF report said that the U.S. has a number of tax and spending options. “However,” the report said, “policies will need to go beyond finding efficiencies in discretionary, non-defense federal spending. Policymakers will need to carefully consider raising indirect taxes, progressively increasing income taxes (including for those earning less than US$400,000 per year), eliminating a range of tax expenditures, and reforming entitlement programs. Putting these measures in place will necessitate taking difficult political decisions over the course of multiple years.” .... The report also called for lawmakers to take steps to avoid the annual spending fights and debt-limit showdowns that have become so common in recent years, saying that they “create systemic risks to the U.S. and global economy that are entirely avoidable.” https://finance.yahoo.com/news/imf-warns-pressing-address-u-230756017.html I argued for a long time that the US of A needs to increase taxes. Urgently. Otherwise, the government bond risk premiums will rise and uncle USD will go down the drain long-term.
The IMF? LOL. So this is the move now..deficits will suddenly be important again? For 3.5 years the media never mentioned the debt... This may come as a surprise to some, but there are two sides to that ledger - the other one is called "spending".
treasuries have no risk premium. They have inflation expectations instead. Taxes are only one tool out of many that can reduce inflation expectations. Continuing to sell off the fed's balance sheet is a more palatable option. Meanwhile rapid GDP growth backed by AI makes the debt to GDP ratio automatically fall as long as we don't have too much idiotic wasteful spending.
The IMF? The Bretton Woods/U.N. bullshit that goes and bails out the economies of shithole countries, while we the US taxpayers pay for their headquarters in Washington D.C.? The United Nations needs to get the FACK out, get FACK out of the USA.
How about the prior 4 years? 30t didn't just suddenly appear the last 3 and a half. Multiple admins of both parties kicked the can down the road.
No need to worry as the US has many many trillions to add to the debt load they already have......what's 34 trillion? This should have gained attention after the first billion in debt years ago...now in the trillions and no sign of stopping.. ... the entire world runs on debt. Who would have thought being in debt was a positive for all economies .... Pull up a chart of the s$p over the last 8 or 9 decades and overlay the US debt chart. The more debt the US has the higher stocks go. In fact we are at the highest debt levels in US history and the s$p is at the highest ever in US history. Who would have ever thought. Wait till we touch 40 trillion 50 trillion and 100 trillion in debt. The s&p will be over 50,000 by then. .... But don't forget to pay your credit cards every month or you will incur a whopping 30%apr!!