Does U.S. debt matter? | CNBC Explains

1. Debt is only possible in the US because you own the monetary system. Once that is gone, debt is just like any other form of debt. Get it?

2. Stop sponsoring war,,,

3. >Since that speech by President Nixon in August of 1971 the US dollar to Gold link has been severed. This allowed US Federal Governments to spend in huge deficits each year since then except for a brief period in the mid-nineties. The effect of this has been that the US dollar has continually been devalued. A US dollar today is worth about three cents compared with a US dollar of the 1971, a factor of roughly thirty times.

   >This devaluation of the US dollar is the real source of inflation. The reason is simple: it takes more of these devalued dollars to buy anything. The factor clearly, again, is thirty times. Look at the prices of things in 1971 and today. Just about everything is more expensive by a factor of thirty times. The increase in prices is simply the reaction to this devaluation of the dollar. Wages and salaries have not kept pace with this.

   >The bottom line is that over eighty percent of all new wealth created since 1971 has ended up in the hands of one percent of the population, offshore and not taxes. The Federal government has replaced that lost taxation with public debt. In 1971 it was possible to purchase a very modest home for $10,000 but today that same house costs $300,000. More to the point: in 1971 a single-family income could buy that house, whereas today it takes two household incomes plus debt to support a family income.
   
   Thank you for reading. Please comment.

4. ❤2k24—32+Trillions debt and this doesn't matter for a while.

5. Who's watching this at 34?

6. That why we need to collect taxes from certain peoples because they do the flip the freedom speak up as the victims into the dictatorship to run our nation

7. These peoples cause the fail.

8. They warning about the Putin and the Xi and the Kim and the Iran and the Hamas caused economy fail. The security abd projects and developments fail

9. In the mean time supply and demand no errors we print monies to pay for workers

10. That the citizens proposal.

11. Our security the citizens and the victims speak up. That why they go to vote

12. Especially they partner with China and China build hypersonic missiles overwhelm and want to be dominance in economy and security globally but the freedom speech from victims limit and businesses ruin and place to live ruin no care.

13. We need to ensure they can not cheat to run public office.

14. We will taxes the peoples earn big because they run the public office they become crimes and become bad foreign leaders.

15. There are assignments oversea and at home that how the growth and the earn must have we are not print monies to pay for the workers or what.

16. The foreign compete they tumble the world trade they make stock rise abnormally then they decided to made recession. And industries reckless running oversea because the inspection and ensure lacking dump the chemical into land and rivers and lake and ocean. The trash they are not manage proper and when they partner with us for growing they want to be the dominant but they did not let victims in projects and developments and security speak up the safety concerns and they love those in their way they find way to be lead wrong and earn big do harm. These stuff they are the long time to manage the crimes no debts it is not working.

17. As long we have projects and developments and security at home or aboard. The debts in the dollars it is alway important. The consolidate about the debt also help personnel and citizens less struggle. All projects and developments and security and reserve only able happen carry out because all our partners and allied it was along term relationships to ensure everyone growth cares and proper handling. Those not proper handling can not be in powers leading forever. Because the lack of care and reckless managing

18. 30 trillion.

19. 😂😂😂😂😂😂😅

20. The wealthy people and institutions earn a ton of money in our economy, and so long as the full faith and credit of the US is upheld, they are often willing to "park" some of that money in US Treasuries thus increasing our debt. It's just a matter of how much due to available tax revenue. Foreign nations accumulate dollars as a result of trade and often park unspent dollars in US treasuries, too, (instead of buying our exports which doesn't seem fair).

    The government then spends those savings into the economy creating jobs, consumption for businesses, and even raising taxable revenue while investing to grow our economy in ways the private sector does not. Unfortunately, I suppose, we prefer to borrow from wealthy institutions and pay interest than to tax them. Some government programs like social security and Medicare, and even local and state governments, park excess revenue in US Treasuries.

    Italy and Greece were forced into austerity by the EU and to privatize everything, including utilities and pensions, except their military and first responders. It's a harsh form of neoliberalism to drive down wages and attract business. The problem was capital flow. Money left those states and collected in the "core" EU states like Germany, and less money flowed back into their economy. So, the "peripheral" governments borrowed more because of low tax collection and trade deficits.

21. She forgets to tell you about the part where when the U.S. Government "spends" U.S. currency, it is not like it is going to some "Savings Account" and with drawling it, it is just creating more Currency. If you had a magic machine in your basement that creates the Currency, would you have any "Debt"? No, every time you needed more Money you would just print more Money. The U.S. Government is not a Household or a Business. "There is nothing to prevent the Federal Government from printing as much money as it wants and giving it to someone, the problem is are the Goods and Services available which those funds would be used to purchase. The Cash is there which is nice, but it has to be in balance with the resources to purchase." ~Alan Greenspan Under Oath refuting Paul Ryan's attempts to Justify privatizing Social Security.

22. Wow this Libertarian Lady is an Idiot, they all are. There is no Credit Card. The United States Government prints its own currency, has a monopoly on its creation, controls the Money Supply the Interest Rate and can tax it out of its own attendant $23 Trillion Economy. She thinks the United States Government is some kind of Household. What Household can do all that? Even Dick Cheney and Donald Trump have stated Deficits Don't Matter. Publicly. You are listening to an Imaginary tale that proports "The Government is just like a Household, it has to pay its bills." What Household Prints its own Currency, controls the Interest Rate and Monetary and Fiscal Supply and can Tax the Currency it has a Monopoly on creating out of the Economy?

23. Countries are blackmail by US to buy useless bond

24. This is like a sugar coated explanation. If you take out a loan to buy a car you ARE F**** POOR!

25. We want the global cut nucleus and arms. And have election and debate weather wars and choose the candidate to lead on top of debt and weather and wArs so that all sufficiency

26. We are not pay back debts by the gold and by the way sale land and personal assets or businesses. Because we have no tool to work. We will do the work. That the reason we do not sale those things

27. How the majority must have supplies. And able to control incidents so that they do not fight

28. We talk about stuff we need everyday that fail behind. That the reason global need as well rather than Us alone. Peoples should not believe the poor need to joint arm forces and make nucleus and more arms no more debts

29. Then we do not have to borrow

30. To make economy and market. Function normal. We need machines and innovation. Because we have stuff we need no waiting time.

31. I do not know. The more workers and more machines reduce the incidents. The life of everybody easiest. If do things less important the monies that make useless

32. Except all that money is going towards prolonging neverending wars to feed the military industrial complex, not into infrastructure or education.

33. U.s. debt is 32 trillion-dollar why do you people speak so backtrack it's been awfully money why you have nothing better to do with your life except for silliness young lady puppet reporter see I live in Kauai and you creepy people

34. 21T? Lol now it's 31T only short 4 years.

    More debt = more interest owed = need to print more money = causes inflation = lower purchasing power. So yes, it matters

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