Federal Interest Payment


What you need to know

Federal Interest Payments are on an exponential growth trajectory. (See the Module 1 Lesson Here on why this is important)

This is unsustainable.

Thanks to the Federal Reserve’s manipulation of interest rates, rates are at unprecedented low levels making the carrying of this enormous debt possible. However the total amount owed, the Principal is being added to daily, so even with low rates this is unsustainable.

As explained in Module 1, currency is debt, and there must be expansion or there is contraction, so the U.S. Government with Federal Reserve are ‘force feeding’ debt currency into the system, but this can only last so long.

Think of a getting new credit card being issued just to pay for the older credit cards interest payments! At high rates you will immediately be shut down. At very low rates this can last for a bit longer.

Federal Interest

IMG_0261

IMG_0442

 

0044_interest-costs-proj-full 0111_interest_revenues-full 0188_interest_costs_econ-full 0204_net-interest-costs-full 0208_growing_interest-full 2016_analysis_presidentsbudget_fy2017_chart5  IMG_0252  IMG_0262 IMG_0264 IMG_0265 IMG_0336 IMG_0439 IMG_0441   IMG_0461 Interest Payments Interest Rate 1950--fredgraph Interest_On_Treasury_Debt_2016_to_2026