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Please excuse my ignorance, but I have a basic economics question to which I do not know the answer. To whom/what is the US Government in debt to? For example, when they say we are trillions of dollars in debt, to whom is that money owed? What would happen if it never got paid? If, for example, the Department of Education just said don’t pay the loans back and forget about it, what would happen to the economy?
Google "US debtors". That should give you a pretty good idea. Lots of pie charges to put it in pictures and articles if you want more details. Basically 70-75% of debt is owned by Americans. The rest foreign entities.
Used to be mostly bondholders like pension funds, foreign governments, individuals, corporations, etc.
Now MMT has shown that they don't need no stinkin' bondholders but ONE: the Federal Reserve, i.e. the Central Bank.
And the FED NEVER has to be paid off because they'll just roll the old debt over into new debt any time they need to.
For ever.
It's an economic miracle!
How cool is that?
Donald, has gotten around to signing yours and mine
Maybe we should help him spell his name so they get rolled out faster.
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