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- Category: United States Constitution
Massive Debt Piles
The massive debt piles of the United States is a cause for alarm. In particular, the rising debt to GDP fuels downgrade of USA credit rating as driven by Moody's. For those who have not been keeping score, this is, now, the third time the United States has had it credit rating impacting by well recognized third parties in the private sector. The first being Standard & Poor's credit downgrade in 2011, the second was via Fitch, and the latest, as mentioned, comes today May 16, 2025 with Moody's downgrade. Among the most highlighted issue, per Moody's decision to downgrade the United States credit rating, is the ridiculous and absurd level of national debt with no end, anywhere, in sight.
For those of you who have tuned in to Legalhotwater. over the past few years, you probably know that the national debt problem has been a topic discussed in depth including the United States Constitutional edict for the government to manage and pay its bills. Well that was nearly 250 years ago, when the founding fathers did even remotely fathom a $36 trillion national debt pile, that just keeps increasing day over day. Now, here we are, today, in 2025 with the Untied States starring across a landscape of massive debt piles, as far as the eye can see, and then some -- to the tune of $36 trillion USD. As Moody's correctly points out, in 2024 the USA debt to GDP ratio was in the 98% neighborhood. Approaching even close to 100% debt to GDP is enough, in of itself, to be a serous cause for alarm. Notwithstanding the same, Moody's quoted predictions are even more stunning.
"Moody's said the fiscal proposals under considerations were unlikely to lead to a sustained, multi- year reduction in deficits, and it estimated the federal debt burden would rise to about 134% of GDP by 2035, compared with 98% in 2024." Moody's
Folks it might be time to batten down the hatches, as it beginning to look a little bleak outside, synonymous to a war zone even. And with such massive debt piles, war is on the table. That is a fact, and history has proven so time and again. Despite history's compelling evidence that, in fact, the ship is approaching a head on direct impact with a doubly massive ice glacier, the reckless spending and unaccounted for appropriation of monies (put diplomatically) continues to occur. It makes one wonder, do the folks in Washington, D.C. live in the real world? Or perhaps they have secured their spots in one of the numerous underground bunkers if/when the battles commence?
You guess is as good as ours. What's certain is that the national political divide and inability to steer the ship away from the ice glacier will have catastrophic outcomes in the near future. The only questions that actually remain are: How near in the future? And what level of catastrophe are we speaking? Recollection of a recent figure citing debt holdings by foreign entities of the United States debt was about $9 trillion USD. What happens if these foreign entities decide to call in that debt? (looking up at the ceiling) Worse even, what happens when the few remaining foreign countries, that do have a surplus of cash, decide that the appetite for United States debt has reached it course? (let's look up at the ceiling again -- and this time for an extended period) Oh well: look on the bright side -- you could invest, today, in underground bunkers.
- Details
- Category: United States Constitution
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