JPMorgan Chase is well-known in the American corporate world, which is a complex of banking, investment, ** and other financial businesses. Of course, the words of the people who are in charge of this kind of business carry a lot of weight. The current CEO of JPMorgan Chase is Jamie Dimon, and he recently discussed the federal debt problem in the United States.
The list of high-quality authors Dimon called it the "most terrible crisis" in history, which would leave Americans without houses, money to spend, and money to raise such a large army. In fact, this truth is well known to the world, and I have talked about it more than once before. However, from the lips of the heads of major US banks, the nature is different.
Some foreign ** searched for the views of other heavyweights in the financial industry, and found that there are really many people who have the same view as Dimon. The term "the most achievable crisis" was not actually invented by Dimon, but by Paul Ryan, the former speaker of the US House of Representatives. Taleb, a well-known American financier, said that the US economy is in a "death spiral".
The reason why these financial giants can't sit still is that the US federal debt is already as high as $34 trillion, and it is still jumping upward. This figure is already 120% of the GDP of the United States, and the average American can get a share of $100,000. Of course, there are many people who wash the ground for the debt problem of the United States, and Widkamp, a professor of finance at Columbia University, insists that the average annual interest on federal debt is now 4%, and the annual interest that needs to be repaid is only 5 percent of GDP based on the principal amount of 34 trillion2%。
Federal tax revenue is about 18% of GDP. In this way, the interest is less than one-third of the income, which is not a high debt. However, Widkamp ignored the question of repaying the principal. The fact is that everyone on earth knows that the debt problem of the United States is already in the terminal stage of cancer.
The reason why the United States has accumulated so much debt is to a large extent to maintain the hegemony of the US dollar and the US military. Therefore, Americans are also very sensitive to debt problems. More than 10 years ago, the US federal debt reached $19 trillion, although it is a drop in the bucket compared to today, but Michael Mullen, who was the chairman of the US Joint Chiefs of Staff at the time, said that debt is the biggest threat to the US team.
Now, his fears have become a reality, and the annual debt interest expense that the United States federal ** needs to repay has reached $1 trillion, more than $110 billion more than military spending. Correspondingly, American financiers are also very sensitive to military hegemony. Dimon said that the United States needs a stronger army, and the bankers need a stronger America.
However, the problem that has arisen in the last 20 years is that the military hegemony of the United States has shrunk. The last military victory of the United States was the destruction of Saddam Hussein's regime in Iraq and the hanging of Saddam Hussein himself. But since then, the United States has never achieved decent victories in Iraq and Afghanistan, but has been mired in the quagmire and forced to withdraw its troops. In the face of China, Russia, and even Iran and North Korea, the US military does not even have the courage to use force.
Once the military hegemony is weakened, the US debt will not be sold, and there will be no money to support industrial upgrading and no money to raise troops to fight wars. If we can't win the war, it will be even more difficult to sell US bonds, and there will be no way to maintain the huge social welfare and military spending, and the positive circle will become a vicious circle. This is the problem that the United States is facing today. As Gomez, a professor of finance at the Wharton School of the University of Pennsylvania, said, the United States could have counted on Chinese and Japanese investors to buy Treasury bonds. But these buyers are slowly selling out, and U.S. Treasuries are becoming less and less popular.
In analyzing the relationship between US debt and the US military today, we are not looking at the jokes of the United States, but to issue a warning. If the US debt problem reaches the point when it will eventually explode, the US financial and military circles will never sit idly by. They will surely seek crazy military adventures to try to escape the fate of defeat. It is necessary for not only China, but peace-loving people around the world to unite and oppose the United States blaming the whole world for its own crisis.