Argentina Here We Come!
(00:00.95)
Argentina here we come. What am I talking about? Well, you take a look at our fiscal situation and do I see Argentina as a possibility? The United States eventually having to default on our debt? Yeah. I mean, again, you could have gone back.
I think, you know, ages and ages and ages ago, and Argentina was one of the wealthiest countries on the planet. No one would have thought that they would have defaulted. But how many times have they defaulted on their debt now? But again, you know, you look at that country and their situation and what they have to deal with. I want to get to Mike Shedlock from MishTalk put out a piece about the San Francisco Federal Reserve.
and how concerned they are here. They did a report talking about spending and interest on the national debt and where we’re at right now and the size of our national debt compared to our GDP. And we’re basically back at a level where it was, you know, it was this large back in 1945, 1946, the end of World War II, but it fell. One of the reasons why it fell again, we
became a little bit more prudent fiscally was a baby boom here in this country, the boomers. And we also, you know, as well became more productive here in this country. You take a look at our current long run fiscal outlook right now. It’s, it’s ugly. Where the direction that we’re heading in right now, the numbers are again,
It’s insane. It’s insane. It’s unsustainable. Again, the thing is we talk about cutting spending. The only way you’re going to go about doing this is you’re going to have to cut into entitlement programs, as I stated before, as I’ve been talking about, not just the past year or two, but the past 25 years. That’s when I first started writing my newsletter.
(02:22.702)
I talked about it back then. I warned people back then. I said, hey, listen, you know, people my age, younger people out there don’t plan on getting social security because the numbers don’t add up. And guess what? I’ve gotten older and, you know, 10 years out from now. Yeah, there’s going to be there’s going to be cuts. We’ve already gotten right now we’re hitting about peak boomer retirement, and that is going to put more pressure on Medicare.
and social security. One of the things that the San Francisco Fed put in their reports, hey, you know, we’re maybe productivity gains will help out. Maybe artificial intelligence will help with that. Right, right. Sure, sure. Especially when we’re still trying to, you know, pay for military outposts all over the globe. We’re still Team America, World Police got to get involved in everything.
foreign aid. We just had Republicans think that we’re going to expand welfare in the form of child tax credits. So no, no, no, I don’t see, I don’t see us balancing any anything anytime soon. And this goes back to Trump versus Biden. Two guys, two guys, you got the leading candidate elephants and leading candidate, donkeys at this point in time. None of them give a rat’s buttocks.
about this problem. None of them. They don’t care. They don’t care. This is Donald Trump warning, warning US House Republicans not to touch Social Security Medicare. And I quote, under no circumstances should Republicans vote to cut a single penny for Medicare Social Security.
Social Security, which provides retirement, disability payments, accounted for 17 % of federal spending in the 2021 fiscal year. Medicare, the health insurance program from seniors accounted 13%. And again, they’re both gonna grow, but Trump doesn’t want to do a darn thing about it. Biden has actually campaigned on the fact that that’s what Republicans are going to do. He says the Republicans are gonna cut benefits by 30%.
(04:39.282)
and he is not going to touch it. Both Donald Trump and Joe Biden agree. I guarantee you I will protect Social Security and Medicare without any change, guaranteed. That’s Biden. Donald Trump, I will do everything within my power not to touch Social Security, to leave it the way it is. Okay, doing nothing. If you do nothing,
There’s going to be a 23 % cut in 10 years. That is the cost of doing nothing.
Again, they’re waiting that voter block that’s continuing to get Social Security and Medicare that don’t want to see cuts and obviously they don’t want to do a damn thing about it. So again, I mentioned Argentina. Here we come. This is what will happen. If we don’t get our act together at some point in time,
You know, I’ve had this question posed to me. I said, could we default on our debt? Sure.
Sure, why not? But then, you know, you go in that direction, it ain’t easy to come back from that.
(06:04.92)
It’s not easy to come back. Look at Argentina. All the natural resources in the world. Everything going from, they haven’t been able to come back from it. Try and try and try. Once again, you get so many people addicted to handouts and giveaways. Malay there right now is trying to make some changes. You think that’s going real smooth for him there? No.
No, it’s not. Again, I present the terrain, people. This is the reality. You know, do you want to become Argentina? And we won’t even have that as good of a soccer team as they have on top of that. I’d rather not. Watchdogonwallstreet .com.
