Core Financial Values

Government Uses “Teaser Rates” Just Like Everyone Else Did

Posted on Tuesday, January 5, 2010

The US has to refinance about $1.6 trillion of maturing debt this coming year. The country wil spend about $400 billion in interest to service our national debt which has about doubled in the last 2 years. This may exceed $700 billion by 2019. $4500 billion annual debt service is more than the entire budget for education, energy, homeland security and our now famous Middle East wars. Foreigners own 44% of our short terms debt, about $880 billion. If they become uncomfortable and begin to sell, the dollars’ value will almost certainly decline further. Where would we all be if our grandparents had done this?


Supporting Materials

Comments

1000 characters maximum Your Name:    

By Category

Recommended Sites