‘The Debt Spiral Crosses the Point of No Return’
(Unsplash photo)
The governments of the USA and UK continue to increase their official debt. Interest on its debt is now the USA’s second biggest expense (Social Security payments on its top expense).
The ‘Continuing Resolution’ that was tentatively approved Sunday, that much of the mainstream press has encouraged, basically continues to extend and raise more debt.
Regarding the overall debt situation, Nick Giambruno wrote the following:
The Debt Spiral Crosses the Point of No Return …
Drowning in a Stadium
Imagine you’re sitting in a large sports stadium that is completely watertight. A single drop of water is placed in the middle of the stadium, and the amount of water then doubles every minute.
At first, the growth seems slow. You won’t even be able to notice the water until it’s almost too late.
Let’s say it takes 48 minutes for the stadium to become full of water. At 47 minutes, the stadium would only be half full, and at 46 minutes, it would only be a quarter full, and so on.
By the time you become aware of the water’s presence, you are only a few minutes away from drowning.
The stadium and chessboard examples are metaphors to illustrate the power of exponential growth.
With exponential growth, things can seem under control or manageable for a long time. Then, an inflection point is reached, and the situation rapidly becomes overwhelming, growing to unimaginable scales.
Exponential growth is a concept that is initially deceptive because humans are more accustomed to recognizing linear growth rather than exponential patterns.
That’s precisely why many people are missing what could be the most important financial trend of the decade.
The Debt Spiral
Ray Dalio is one of the world’s most successful hedge fund managers.
His success is due to his consistent ability to get the Big Picture right.
He recently said this:
“We are at a point in which we are borrowing money to pay debt service.
When you keep having debt growth faster than income growth, that means you have debt service encroaching on your spending, and you want to keep spending at the same time.
As that happens, there is a need to get more and more into debt. It accelerates.
We are at the point of that acceleration. We are near that inflection point.”
Dalio is warning about the explosive nature of the US government’s compounding debt situation. …
The financial position of the US government has been gradually deteriorating for decades, so it’s not surprising that many people are complacent. They’ve long heard about the debt problem, and nothing has happened.
However, it is now reaching the tipping point.
That’s because the US government is now borrowing money to pay the interest on the money it has already borrowed, as Dalio noted. Politicians are adding more debt to solve the problems of prior debt.
It’s creating a self-perpetuating doom loop.
It will result in the total debt growing not linearly but exponentially.
The debt increases at a faster rate over time because it is compounding.
Each calculation period adds more interest to the total amount owed, which requires more borrowing and causes a larger interest expense. …
Dalio says the US is near the inflection point where the debt growth will accelerate and explode into previously unimaginable levels.
I think he is correct, and that has enormous implications. …
But I’m not just talking about a stock market crash or a currency collapse…
It’s something much bigger… with the potential to alter the fabric of society forever.
It’s created an economic situation unlike we’ve ever seen before, and it’s all building up to a severe crisis on multiple fronts.
It could all go down soon… and it won’t be pretty. 09/10/24 https://internationalman.com/articles/the-debt-spiral-crosses-the-point-of-no-return/
Yes, the US debt is rising faster and faster–and most see no real problem. But there is one.
Notice also the following:
There is no escape from debt. Paying for the government’s fictitious promises in paper money will result in a constantly depreciating currency, thereby impoverishing those who earn a wage or have savings. Inflation is the hidden tax, and it is very convenient for governments because they always blame shops or businesses and present themselves as the solution by printing even more currency. …
Kamala Harris promises tax deductions for start-ups and first-time homebuyers, as well as families with children. It is hilarious. Inflation, a hidden tax, consumes their earnings and savings, while high direct and indirect taxes absorb the remaining funds. Despite this, she promises a tax deduction that most small businesses will never take advantage of, as they will shut down before generating any profit.
The Treasury expects a $16 trillion increase in public debt between 2024 and 2034, without taking into account any recession risk. The enormous government debt of $35 trillion, along with its subsequent additions, has the potential to destroy the currency. 09/19/24 https://quoththeraven.substack.com/p/an-unprecedented-monetary-destruction
Yes, the currency of the USA will be destroyed.
Back in 2009, then US President Barack Obama stated that the deficit spending at that time was “unsustainable” (https://joewilson.house.gov/media-center/press-releases/president-obama-do-as-i-say-not-as-i-do May 15, 2009) yet the USA has continued down that path.
Debt will end in disaster for the USA.
The time will come, according to Bible prophecy, when the nations of the world will no longer accept the pledges (US Treasury Bills and Notes) of the indebted one:
2 Then the Lord answered me and said:
“Write the vision
And make it plain on tablets,
That he may run who reads it.
3 For the vision is yet for an appointed time;
But at the end it will speak, and it will not lie.
Though it tarries, wait for it;
Because it will surely come,
It will not tarry. (Habakkuk 2:2-3)
Notice that the word of God states it will tarry, take a while, but the results will surely come. And that the result is that people should run (flee) because of it.
Here are some details about what is coming and why:
6 “Will not all these take up a proverb against him,
And a taunting riddle against him, and say,
‘Woe to him who increases
What is not his — how long?
And to him who loads himself with many pledges’?
7 Will not your creditors rise up suddenly?
Will they not awaken who oppress you?
And you will become their booty.
8 Because you have plundered many nations,
All the remnant of the people shall plunder you,
Because of men’s blood
And the violence of the land and the city,
And of all who dwell in it. (Habakkuk 2:6-8).
Please pay attention to the fact that that above is a prophecy for the appointed time of the end–essentially the time of the Great Tribulation (Matthew 24:21; watch also Great Tribulation: 2026 or 2027?). The USA has been accumulating pledges in the form of US Treasury bonds and notes, and is the most indebted nation of all time. It is descendants of Israel, like the USA, that are prophesied to have debt issues with foreigners if they turn from God’s laws (cf. Deuteronomy 28:43-44)–that is consistent with Habakkuk 2:6-8. The above prophecy is NOT a reference to the nation calling itself Israel as it has nothing compared to USA debt. Notice also something about UK debt:
UK state debt now equals the country’s annual economic output, data showed on Friday, with the government warning that tough choices needed to be made. …
“Debt is 100% of GDP, the highest level since the 1960s,” Chief Secretary to the Treasury Darren Jones said in a statement. …
Prime Minister Keir Starmer has warned that the budget announcement on October 30 will be “painful”, with tax rises and spending cuts expected.
Chancellor of the Exchequer Rachel Reeves, the UK finance minister, has also warned of tough decisions ahead of her announcement about the country’s fiscal plans to parliament at the end of next month.
Reeves has said she will remove a £200 annual winter fuel subsidy from 10 million pensioners. She also warned that taxes were likely to rise by more than had been judged necessary just weeks before the election.
In the longer term, a government watchdog last week forecast that UK state debt could almost treble over the next 50 years. 09/20/24 https://www.dw.com/en/uk-debt-hits-high-ahead-of-painful-budget/a-70281052
Notice that the prophecy in Habakkuk says what will happen is so bad, that people should run who read it. That is, they should seriously consider what this means and take the appropriate steps.
Foreign creditors will rise up.
The Bible clearly warns that an indebted people will be destroyed by people whose language that they do not understand, and that the destruction will be fairly total:
43 The alien who is among you shall rise higher and higher above you, and you shall come down lower and lower. 44 He shall lend to you, but you shall not lend to him; he shall be the head, and you shall be the tail. 45 Moreover all these curses shall come upon you and pursue and overtake you, until you are destroyed…47 “Because you did not serve the LORD your God with joy and gladness of heart, for the abundance of everything, 48 therefore you shall serve your enemies, whom the LORD will send against you, in hunger, in thirst, in nakedness, and in need of everything; and He will put a yoke of iron on your neck until He has destroyed you. 49 The LORD will bring a nation against you from afar, from the end of the earth, as swift as the eagle flies, a nation whose language you will not understand, 50 a nation of fierce countenance, which does not respect the elderly nor show favor to the young. 51 And they shall eat the increase of your livestock and the produce of your land, until you are destroyed; they shall not leave you grain or new wine or oil, or the increase of your cattle or the offspring of your flocks, until they have destroyed you. 52 They shall besiege you at all your gates until your high and fortified walls, in which you trust, come down throughout all your land; and they shall besiege you at all your gates throughout all your land which the LORD your God has given you (Deuteronomy 28:43-45,47-52).
7 The rich rules over the poor, And the borrower is servant to the lender. (Proverbs 22:7)
13 And the Lord said, “Because they have forsaken My law which I set before them, and have not obeyed My voice, nor walked according to it, 14 but they have walked according to the dictates of their own hearts…16 I will scatter them also among the Gentiles, whom neither they nor their fathers have known. And I will send a sword after them until I have consumed them.” (Jeremiah 9:13,14a,16)
12 One-third of you shall die of the pestilence, and be consumed with famine in your midst; and one-third shall fall by the sword all around you; and I will scatter another third to all the winds, and I will draw out a sword after them. (Ezekiel 5:12)
Most will not believe, but that was expected:
6 “Don’t say such things,” the people respond. “Don’t prophesy like that. Such disasters will never come our way!” (Micah 2:6, New Living Translation)
16 … You say, ‘Do not prophesy against Israel, And do not spout against the house of Isaac.’ (Amos 7:16)
People will not want to hear or believe! See also Preparing for the ‘Short Work’ and The Famine of the Word.
Watch also the following:
Here is a link to our video: And the Debt Goes On…
The amount of debt increase has been accelerating.
But just like people in the stadium analogy, things will look relatively well until they are not.
The Bible is clear that the USA will be taken over (cf. Daniel 11:39) and debt will be a factor per Habakkuk 2:6-8.
The Bible tells of a time when the most faithful will flee (Revelation 12:14-17)–but also that people should be “gathered together” before that happens (Zephaniah 2:1-3).
More on that can be found in the article: There is a Place of Safety for the Philadelphians. Why it May Be Near Petra.
Some items of possibly related interest may include:
The End of US Dollar Dominance Is the USA losing its economic status? What about the petro-gold-yuan? A related video is also available: US Dollar being challenged by Gold-Petro-Yuan.
Is God Calling You? This booklet discusses topics including calling, election, and selection. If God is calling you, how will you respond? Here is are links to related sermons: Christian Election: Is God Calling YOU? and Predestination and Your Selection. A short animation is also available: Is God Calling You?
Spiritual Samaritans: Old and New Who were the Samaritans? Do the represent true Christianity or something else? Here is a link to a related sermon: USA in Prophecy: Samaria.Who is the King of the North? Is there one? Do biblical and Roman Catholic prophecies for the Great Monarch point to the same leader? Should he be followed? Who will be the King of the North discussed in Daniel 11? Is a nuclear attack prophesied to happen to the English-speaking peoples of the United States, Great Britain, Canada, Australia, and New Zealand? When do the 1335 days, 1290 days, and 1260 days (the time, times, and half a time) of Daniel 12 begin? When does the Bible show that economic collapse will affect the United States? In the Spanish language check out ¿Quién es el Rey del Norte? Here is a link to a video titled: The Future King of the North.
USA in Prophecy: The Strongest Fortresses Can you point to scriptures, like Daniel 11:39, that point to the USA in the 21st century? This article does. Two related sermon are available: Identifying the USA and its Destruction in Prophecy and Do these 7 prophesies point to the end of the USA?
Who is the King of the West? Why is there no Final End-Time King of the West in Bible Prophecy? Is the United States the King of the West? Here is a version in the Spanish language: ¿Quién es el Rey del Occidente? ¿Por qué no hay un Rey del Occidente en la profecía del tiempo del fin? A related sermon is also available: The Bible, the USA, and the King of the West.
Lost Tribes and Prophecies: What will happen to Australia, the British Isles, Canada, Europe, New Zealand and the United States of America? Where did those people come from? Can you totally rely on DNA? Do you really know what will happen to Europe and the English-speaking peoples? What about the peoples of Africa, Asia, South America, and the islands? This free online book provides scriptural, scientific, historical references, and commentary to address those matters. Here are links to related sermons: Lost tribes, the Bible, and DNA; Lost tribes, prophecies, and identifications; 11 Tribes, 144,000, and Multitudes; Israel, Jeremiah, Tea Tephi, and British Royalty; Gentile European Beast; Royal Succession, Samaria, and Prophecies; Asia, Islands, Latin America, Africa, and Armageddon; When Will the End of the Age Come?; Rise of the Prophesied King of the North; Christian Persecution from the Beast; WWIII and the Coming New World Order; and Woes, WWIV, and the Good News of the Kingdom of God.
Could God Have a 6,000 Year Plan? What Year Does the 6,000 Years End? Was a 6000 year time allowed for humans to rule followed by a literal thousand year reign of Christ on Earth taught by the early Christians? Does God have 7,000 year plan? What year may the six thousand years of human rule end? When will Jesus return? 2031 or 2025 or? There is also a video titled: When Does the 6000 Years End? 2031? 2035? Here is a link to the article in Spanish: ¿Tiene Dios un plan de 6,000 años?
Might the U.S.A. Be Gone in 2028? Could the USA be gone by the end of 2028? There is a tradition attributed to the Hebrew prophet Elijah that humanity had 6,000 years to live before being replaced by God’s Kingdom. There are scriptures, writings in the Talmud, early Christian teachings that support this. Also, even certain Hindu writings support it. Here is a link to a related video: Is the USA prophesied to be destroyed by 2028? In Spanish: Seran los Estados Unidos Destruidos en el 2028?
Biden-Harris: Prophecies and Destruction Can the USA survive two full presidential terms? In what ways are Joe Biden and Kamala Harris apocalyptic? This book has hundreds of prophecies and scriptures to provide details. A Kindle version is also available and you do not need an actual Kindle device to read it. Why? Amazon will allow you to download it to almost any device: Please click HERE to download one of Amazon s Free Reader Apps. After you go to your free Kindle reader app (or if you already have one or a Kindle), you can go to: Biden-Harris: Prophecies and Destruction (Kindle) to get the book in seconds.
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