It seems to me that other countries with huge deficits(e.g. Greece, UK, etc) have accepted the inevitable decline in their citizen’s relative wealth and have already decided to “tighten their belts” by increasing taxes and reducing spending/services.
It seems common sense to me that we can’t “spend our way out of the deficits” here, so eventually we’ll need to increase taxes and reduce spending/services, too.
Surely the only question is when and how this might come. Will it be over the next 12 months or the next 12 years?
Whatever happens, maybe I’m naive, but I feel like it’ll most likely be a long slow decline than some huge sudden drop. Statements like “hyperinflation” and “worthless [US] currency” in the original article are attention-grabbing exaggerations which are highly unlikely imho and distract from discussions on the more likely occurences.
Perhaps the undue sense of entitlement Americans have is the reason why few politicians are brave or stupid enough to publicly take this stance (i.e. increase taxes and reduce spending/services) today.
Hmm, if so, then my guess is over the next 12 years…
