Like you, I dislike Trumps policies in all of the three areas you’ve cited. However, there is a mathematical error in your tax section. If the debt is 200% of GDP it does not imply that it will take 200 years to pay it off. How quickly it is paid off depends on the rate of pay down. If your income is $100,000 and your mortgage is $200,000, your house debt is 200% of your income but it will not take 200 years to pay off your house. As a practical matter, the debt will never be paid off and probably shouldn’t be. What the US needs to decide is what ratio is appropriate. That’s not likely to be 200%. Historically, ratios of 100% usually only occurred in war.
Thanks for the correction...I see your point. The 200 years thing is one of those economic catch-alls for "all things being equal." But you're right, it depends on how fast it is paid off. I also agree that it never will be because the US can keep on printing more fiat money...never go broke technically. Thanks for your comment.
Like you, I dislike Trumps policies in all of the three areas you’ve cited. However, there is a mathematical error in your tax section. If the debt is 200% of GDP it does not imply that it will take 200 years to pay it off. How quickly it is paid off depends on the rate of pay down. If your income is $100,000 and your mortgage is $200,000, your house debt is 200% of your income but it will not take 200 years to pay off your house. As a practical matter, the debt will never be paid off and probably shouldn’t be. What the US needs to decide is what ratio is appropriate. That’s not likely to be 200%. Historically, ratios of 100% usually only occurred in war.
Thanks for the correction...I see your point. The 200 years thing is one of those economic catch-alls for "all things being equal." But you're right, it depends on how fast it is paid off. I also agree that it never will be because the US can keep on printing more fiat money...never go broke technically. Thanks for your comment.
Trump’s—oops!