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The John Batchelor Show

#MrMarket :The Federal debt and "deficit fundamentalists." . Veronique de Rugy Mercatus Center

The John Batchelor Show

John Batchelor

News, Arts, Books, Society & Culture

4.52.8K Ratings

🗓️ 3 November 2023

⏱️ 9 minutes

🧾️ Download transcript

Summary


#MrMarket :The Federal debt and "deficit fundamentalists." . Veronique de Rugy Mercatus Center
https://www.creators.com/read/veronique-de-rugy/11/23/responsible-government-isnt-just-for-the-tough-times


Transcript

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0:00.0

This is a

0:05.0

is CBS Iron the World. I'm John Bachelor.

0:08.0

Spending the Federal Reserve, the interest rates,

0:12.0

the Federal Reserve hikes that have slowed the markets to sideways for two years.

0:17.7

Doubts about inflation.

0:18.8

All this comes down to a four-letter word debt. I welcome Vernic de Riji of the Mercata Center writing a

0:27.7

creator syndicate about debt and then I go to a remark from a Goldman Sachs trader, Jacob Gordon, seems increasingly alarmed.

0:38.6

Mr Gordon says, catching investor's eyes is the surge in

0:43.0

net and gross of government bond issuance,

0:48.0

particularly in the US, which is set to increase 60% year over year.

0:54.0

In other words, we're going to go from issuing debt of 727 billion now

1:00.3

to issuing debt of 1.166 trillion net supply next year.

1:06.0

The puzzle here is what is to be done.

1:10.0

Verinika, a very good evening to you.

1:12.0

Borrowing and borrowing and borrowing, counting on that

1:17.3

oversupply to be absorbed by the marketplace.

1:21.4

That is increasingly the way we spend money.

1:25.9

When do we have to pay for it?

1:27.9

Is there going to be a reckoning day?

1:29.7

Good evening to you.

1:31.6

Good evening, John. Well, we have to pay for it. to you

1:35.0

and John well we have to pay for it very often and and much faster than people actually think

...

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