A U.S. fiscal crisis would happen incredibly quickly — and there’s no way to predict when

 

Defense spending is likely to go up significantly over the next few years. (Photo by Getty Images)

‘No idea’ of when market might view debt as too large, says president of the bipartisan Committee for a Responsible Federal Budget

Many people in financial markets liken the U.S. fiscal position to a bubble, she said. But there’s a lot of money to be made while the bubble persists. And being able to time a crisis is impossible, MacGuineas said.

During her talk, MacGuineas said politics on fiscal sustainability in the U.S. “are terrible” at the moment. “It’s not just that Republicans want tax cuts and Democrats want spending. They both want both,” she said. 

It is “political suicide” to advocate deficit reduction, she added.

MarketWatch 24 October 2024

https://www.marketwatch.com/story/a-u-s-fiscal-crisis-would-happen-incredibly-quickly-and-theres-no-way-to-predict-when-says-head-of-budget-watchdog-b5c27d20

Committee for a Responsible Federal Budget

The Twin Deficits of the U.S.

https://www.investopedia.com/articles/economics/10/twin-deficits.asp

U.S. trade deficit in August goods narrows to $94 billion. 11.300 miljarder SEK på årsbasis

https://englundmacro.blogspot.com/2024/09/us-trade-deficit-in-goods-narrows-to-94.html

Tillbaka till Wall Street och Stockholm 24 oktober 2024

https://englundmacro.blogspot.com/2024/10/wall-street-och-stockholm-24-oktober.html