Interesting short lecture on government debt

Video published on Oct 16, 2017

Gold and Silver

Prof. Antony Davies explains: Myth 1 is that the government owes “only” $20 trillion. (In reality, it’s much more.) But luckily, Myth 10 is that there’s no way to fix this problem…

The video is in regard to the United States federal government.

For example, the Professor opines (paraphrased):

'Unfunded obligations' is promised funds that the federal government does not have and will not have available to pay. The Professor suggests the overall federal government debt is actually approximately 150 trillion.

US government (s) debt obligations, federal, separate government agencies, state and local governments is approximately 165 trillion.

When the federal government prints too much money, it creates inflation.

Printing too much money erodes the value of savings. Quote: 'Inflation is a tax on savings.'

The Professor claims that with taxation and the government paying people back, only the top 40% of income earners on average are net payers of federal tax.

The federal government is bankrupt, already. The debt could not even be serviced at a 2.5 % interest rate. The federal annual income is slightly too low to even service the debt.

Borrowing from the Federal Reserve, creates inflation.

Spending needs to be actually cut. The yearly budget must be balanced. The professor seems to suggest that federal government surpluses in funds for 50 to 100 years could make the debt 'not matter.'