We Can’t Sell Our Debt

In my opinion, the economic problems of the US (including the problem of national debt) are mainly caused by the over-expansion of the financial industry, the large-scale entry of illegal immigrants into the country, and the government’s policies. Although the financial industry is actually related to traditional industries, in essence, as a conceptual industry, the financial industry itself has no actual output. It only produces a bunch of numbers and models, just like a huge gambling game played by hundreds of millions of people, which is easy to bring about economic bubbles.

Imagine that people make money through stocks and obtain currency of corresponding value, but this society does not produce goods or services of corresponding value. In the short term, you can see inflation. Although those who lose in the gambling game may go to work, the value they produce may not make up for the difference. Will this increase production in the real society? No, due to welfare policies or political needs, such as representatives wanting to get votes in the short term, society may respond to this situation by increasing the amount of currency in circulation, so the number of dollars will increase, but in fact there is not enough actual production to support the growth of the number of dollars. As a result, the debt of the US government will continue to be generated. American society will have to pay for this difference. But the reason for this difference is also related to government policies, government corruption and illegal immigration.

For example, if an illegal alien consumes $5,000 of social welfare (resources) a year, but only pays $2,500 in taxes in a year, then Americans will have to pay for the difference of $2,500. This is just an assumption, and I believe the actual situation is much worse than this assumption. Coupled with the fiscal burden caused by welfare fraud and the government’s welfare policies for different people, the negative impact of the US welfare fiscal expenditure on the US economy far exceeds the positive impact. Welfare reform is necessary, and it does not necessarily mean cutting, but optimizing welfare policies.

Illegal aliens are basically equivalent to cancer cells in the economy. Their impact on US taxes and society is negative, that is, the resources they consume often exceed what they produce, and considering the impact of these people on other aspects of society, such as the impact of values, illegal immigrants usually destroy the original stable economic and social structure, etc. The Democratic Party likes to use welfare policies to gain votes, and on the other hand, it implements so-called environmentalist policies to restrict traditional industries, which is equivalent to reducing the actual output of American society while consuming the accumulated resources of the United States, or even overdrawing, which again increases the US debt. Trump’s economic policy of encouraging traditional industries is reasonable because it is traditional industries that actually feed people. Traditional industries are not only the pillars of maintaining the economy, but also the economic foundation of the social structure.

You can clearly see that the American middle class is shrinking, which is usually caused by a country’s policies and economic problems. Another country that can be used as a reference is China. Tax cuts and stimulating economic growth are the only means. The Trump team’s governing plan is good, but I doubt how much they can implement in the United States today?

If the US does not have fundamental political reforms and relies solely on economic means, it will not be able to solve the current problems. Because most of the problems in the United States today are caused by the US government, courts and Congress, what kind of power can force them to make changes?