Inflation Alert: The US National Debt Cannot be Repaid

So I really have to share this with you. I think it's very important that you understand this. Inflation must continue because the government needs it to continue. They don't see another way out. A lot of people already know this. If you do, please help me spread the word because you know what's going on. If you don't know, then I'm going to explain this to you and this is going to be crystal clear after I show you. So the U.S. federal government is in debt 34 trillion dollars. Let's just have an honest conversation here. The government has no chance of paying that money back. I'm just being realistic. Do you realistically believe that the politicians are going to learn how to balance the budgets and that with the surplus money that they have every year, they're going to use that money to pay down the national debts? That sounds like a fairy tale. It's not going to happen. In reality, every year the government is deeper into debt. So look at this year. This year the government is going to collect about 5 trillion in taxes. So you can think of that as their income. And they're going to spend about 7 trillion dollars. So they have 5 trillion dollars coming in. They're going to spend 7 trillion. That's a 2 trillion dollar deficit. Therefore, they have to borrow that 2 trillion dollars to make up the difference. And our national debts will go from 34 trillion dollars to 36 trillion. So this overspending continues every single year. So when you hear a president say that they cut the deficit by 1 trillion dollars, that means that instead of overspending by 3 trillion dollars, they overspent by just 2 trillion this year. So just think about this logically. How is the government going to pay back their debts when they spend more money than they make every single year? Math doesn't work out like that. So their best solution is inflation. So I want to show you how this works. So inflation is going to make it easier for you to pay back your debts. So I'll explain it and think about it like this. If you have cash and you stick it under your mattress and you leave it there for 10 years, then you know what's going to happen. Your cash is going to become less valuable. The purchasing power is going to go down because of inflation. Now it's going to be the same concept with your debts. Your debt becomes less valuable too. In an inflationary environment, it will become easier to pay back your debts. So I want to give you an exaggerated example to demonstrate. So let's just say that you borrow $400,000 to buy a home right now. Let's just say that you get a 30-year fixed mortgage. And let's say that all of a sudden we have crazy hyperinflation. We're talking about Zimbabwe style or Venezuelan style. So hyperinflation, the price of gasoline goes to $600 a gallon. A Happy Meal at McDonald's costs $1,200 now. And now an average home costs $100 million. So the cost of everything goes up like crazy. However, your income is going to go up like crazy too. It's probably not going to keep up with your expenses, but your income will skyrocket. So under these conditions, if you were making, let's just say $70,000 a year, now you're going to be making $10 million a year. In this inflationary environment, just think about it. Now it's going to be super easy for you to pay back your $400,000 mortgage because now you're making $10 million a year. So a $400,000 debt is nothing. So this is an extreme example to illustrate the point. So now I want to give you a realistic example so that you can witness it for yourself. So back in the year 2000, so 24 years ago, the median price of a home in the US was $119,600. So let's just call it $120K. But today, because of inflation, the median home has risen to $400,000 approximately. Now I want to show you the math. Let's say that you bought a home in the year 2000. And remember, this is the median price home for $120,000. Let's say that you put a 10% down payment, which is average, and you get a 30 year mortgage with a 7% interest rate. Your monthly mortgage payment is $719 a month. So imagine that you bought your home 24 years ago, and you're still making the monthly mortgage payments of $719 a month. If I could pay $719 a month for the median home in the US, I would say that that's cheap. The reason it's cheap is because you're paying back your debts from a long time ago with today's inflated dollars. So it's going to be the same concept with the US governments and their debt situation. The US government is in debt $34 trillion. So let's pretend that the US government does not go any further into debt, and it stays at $34 trillion. 20 years from now, 30 years from now, inflation will make it easier to pay back that $34 trillion. So the government needs inflation to manage the whole debt situation, their debt problem. And I just want to tell you that this country cannot afford deflation. Just think about it. So deflation is when prices go down. If prices go down, then it's the opposite. It's going to be harder to pay back your debts. So let me explain it to you like this. Imagine that you come out of college with $150,000 of student loans. Let's say that you're making $100,000 a year. So you have a lot of debts, but it's manageable because that's a good income. But if your income falls from $100,000 a year to let's just say $30,000, then you're going to be in deep trouble because it'll be harder for you to keep up with your student loan payments if you get a pay cut. It's going to be the same thing with the US government and their situation. If there's deflation, then prices go down all across the board. That means that their tax collections, their revenue, will go down as well. So it would be harder for the government to pay their debts in a deflationary environment. If the government owes $34 trillion and their tax collections fall from $5 trillion to $3 trillion, then it's going to be harder for them to pay off $34 trillion. Well, I would say that honestly, it's a moot point because as I told you and as you know, the government spends more money every year than they have coming in. So I guess it's a moot point. But anyways, this is why the government wants inflation. So it's easier for them to manage their debts and keep this charade ongoing. It's just ridiculous how we all know what's going on, but we still all play along. Okay, because what are the consequences? The playing along, then the US government's going to default on their debt obligations. If that happens, it's going to be chaos because, well, if they can't pay their bills, they can't pay their debts, then the dollar would lose reserve currency status. And if that happens, then everything's going to go to crap. Okay, so the government and the Federal Reserve claim that they want inflation to be at 2%. That's their targets. But they're having a hard time getting it to 2% because they keep on printing money and just spending it recklessly. You know, the politicians, they simply cannot help themselves. They have donors that they have to give favors to, they have rich friends and family to support, and they want to make money for themselves. You can call it greed, you can call it corruption, you can call it mismanagement, whatever you want to call it, but it's ruining our country. Just a simple fact that the budget cannot be balanced. So I'm telling you that this is going to end badly. And I don't think that that's a far-fetched conclusion. It's just a matter of timing. But I guarantee you that, okay, this is going to lead to something bad, let's just say a collapse. But I guarantee you that it's not going to happen this year, it's not going to happen next year, but it's not going to be in the far distant future either. So when is this collapse going to happen? Obviously, nobody knows for sure. MIT is saying that the collapse will happen in 2040. I think that the Social Security crisis is going to be a big test for this country. Social Security is on track to go in solvents in the year 2033. That's according to the Social Security Administration. I'm sure that situation is going to cause a lot of chaos considering that 70 million Americans receive Social Security payments. And you have to realize that the situation is already at dangerous levels. Look at this red flag. This year in 2024, our governments will spend more on interest payments than on national defense. That's because of the mountain of debt that we have. So I hope this educates you on the situation of inflation and what is going on. Let me know what you think about this. 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