snapo on Nostr: The US Playbook to kill its debt (My prediction): 1. Capture through high interest ...
The US Playbook to kill its debt (My prediction):
1. Capture through high interest rate as much USD as you can (Fed Funds rate 5%+)
2. Close as many exits as possible (limiting withdrawls strong)
3. When ready drop fed funds rate NEGATIVE
4. This kicks inflation to the extremes
5. let inflation rip 100-1000%/year
6. everyone is trapped in the bank while the fiat gets devalued faster than you can say "Hello World".
7. If debt is again below 60-70% raise rates
8. Hope that there are still buyers for bonds....
9. Hope you are still the world reserve
So all in all they try Israel's debt experiment in a time of instant global communication for everyone. I wish the US the best of luck... Exactly why the FED Fundsrate of 5% is a huge trap and will hurt you. If its too good to be true than YOU are the yield.
1. Capture through high interest rate as much USD as you can (Fed Funds rate 5%+)
2. Close as many exits as possible (limiting withdrawls strong)
3. When ready drop fed funds rate NEGATIVE
4. This kicks inflation to the extremes
5. let inflation rip 100-1000%/year
6. everyone is trapped in the bank while the fiat gets devalued faster than you can say "Hello World".
7. If debt is again below 60-70% raise rates
8. Hope that there are still buyers for bonds....
9. Hope you are still the world reserve
So all in all they try Israel's debt experiment in a time of instant global communication for everyone. I wish the US the best of luck... Exactly why the FED Fundsrate of 5% is a huge trap and will hurt you. If its too good to be true than YOU are the yield.