debt crisis

Italy v EU – November 21, 2018 | Armstrong Economics

Posted on by johnbarleycorn12

The event today may be the fact that the EU has now stated it will bring sanctions against Italy for refusing to comply with its demands. So here we have the Pi Target and to the day Brussels has officially rejected Italy’s spending budget on Wednesday, November 21st which opens the door to sanctions. With hindsight, we will perhaps look at this day as the start of a further deterioration of the European Union that has converted a trade union into a centralized dictatorship applying a central theme of austerity to everyone regardless of their economic conditions.
— Read on www.armstrongeconomics.com/armstrongeconomics101/ecm-armstrongeconomics101/italy-v-eu-november-21-2018/

Seventh-Inning Debt Stretch

Posted on by johnbarleycorn12

by John Mauldin, Thoughts from the FrontlineScience tells us energy can neither be created nor destroyed within a closed system. Whatever amount is there will stay the same, though it might change form. If only the same were true for debt.
— Read on econintersect.com/pages/analysis/analysis.php

The Coming Monetary Crisis | Armstrong Economics

Posted on by johnbarleycorn12

QUESTION: Mr. Armstrong, you said that next year, interest expenditure will most likely exceed military. Is this how the monetary crisis begins to unfold? WR ANSWER: The entire problem with this Quantitative Easing has been the plain fact that the government is the biggest debtor. This is the same model around the world. Lowering interest rates to encourage people to borrow is absurd when the greatest impact will be upon the government. Europe is now on life support thanks to the ECB. Even if we look at the United States, every 1% rise in interest rates adds $220 billion annually to America’s deficit. Since we have exceeded the Bullish Reversal on Fed Rates on an annual basis, reaching the 5% level means the annual interest expenditures will be rise by about $1 trillion per year! This is just not a system that has much life expectancy before we enter a major Monetary Crisis that is off the charts.
— Read on www.armstrongeconomics.com/markets-by-sector/interest-rates/the-coming-monetary-crisis/

Feds Collect Record Taxes in October; Still Run $100B Deficit

Posted on by johnbarleycorn12

House Speaker Paul Ryan, Sept. 6, 2018. (Getty Images/Mark Wilson)
— Read on www.cnsnews.com/news/article/terence-p-jeffrey/feds-collect-record-taxes-october-still-run-100b-deficit

This is our most pressing danger to our country, a spending addiction by politicians. If someone ran a business like this, they would be bankrupt. They constantly spend money we don’t have plunging us deeper in debt. All hell will break lose when the day comes when we can’t pay the interest on that debt……and it will come.

Bundesbank warns of Coming Pension Crisis | Armstrong Economics

Posted on by johnbarleycorn12

The Bundesbank has come out warning that there is a German pension crisis. They have proposed that states raise the pension tax and that they should gradually increase the retirement age because the life expectancy in the future has risen. Central Bank President, Jens Weidmann, has stated that he is generally in favor of raising the statutory retirement age beyond 67 years. We must understand that the ECB policy of “stimulating” the economy with negative interest rates has bankrupted state pension plans. This theory that lowering interest rates to get people to borrow and thus manipulate demand higher has NEVER been proven to have ever worked. The consequence of what we now face is a major pension crisis that is undermining the future of Western economies.
— Read on www.armstrongeconomics.com/world-news/pension-crisis/bundesbank-warns-of-coming-pension-crisis/

Coming to America soon