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<blockquote data-quote="vantexan" data-source="post: 5921861" data-attributes="member: 24302"><p>The main problem we had with too much money being printed is we were spending at an even higher rate.&nbsp; Year over year since Obama and the Fed started QE2 we were adding to the debt from deficit spending(above what Bush already added with two wars).&nbsp; Then Biden broke the camel&#039;s back with too much too fast.&nbsp; The biggest problem now is the inflation he caused required raising interest rates to pull money out of the supply to lower inflation.&nbsp; With the debt the government has piled up in the last 20+ years that means we must spend a lot more to service the debt.&nbsp; Why?&nbsp; When inflation was bad in the late 70&#039;s, early 80&#039;s the U.S. financed its operations with long term 10 and 30 year bonds.&nbsp; But by piling up the debt while keeping interest rates very low the main countries buying our bonds backed off.&nbsp; Who wants to hold a bond 30 years and get money back that is worth considerably less?&nbsp; So now our government relies on short term treasuries.&nbsp; Which means as interest rates rose we went from paying back 3 and 6 month and 1 year treasuries at less than 1% to now about 5%.&nbsp; On now over 34 trillion in debt and rising.&nbsp; From about $350 billion a year in interest to now over $1 trillion during Biden&#039;s term.&nbsp; And rising.&nbsp; Projected to eventually take everything we collect in taxes to just service the debt.&nbsp; With the government doing more money printing, more deficit spending, just to operate.&nbsp; It&#039;s not a matter of if we&#039;ll collapse but when.</p></blockquote><p></p>

[QUOTE="vantexan, post: 5921861, member: 24302"] The main problem we had with too much money being printed is we were spending at an even higher rate. Year over year since Obama and the Fed started QE2 we were adding to the debt from deficit spending(above what Bush already added with two wars). Then Biden broke the camel's back with too much too fast. The biggest problem now is the inflation he caused required raising interest rates to pull money out of the supply to lower inflation. With the debt the government has piled up in the last 20+ years that means we must spend a lot more to service the debt. Why? When inflation was bad in the late 70's, early 80's the U.S. financed its operations with long term 10 and 30 year bonds. But by piling up the debt while keeping interest rates very low the main countries buying our bonds backed off. Who wants to hold a bond 30 years and get money back that is worth considerably less? So now our government relies on short term treasuries. Which means as interest rates rose we went from paying back 3 and 6 month and 1 year treasuries at less than 1% to now about 5%. On now over 34 trillion in debt and rising. From about $350 billion a year in interest to now over $1 trillion during Biden's term. And rising. Projected to eventually take everything we collect in taxes to just service the debt. With the government doing more money printing, more deficit spending, just to operate. It's not a matter of if we'll collapse but when. [/QUOTE]

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