Clayton Morris joins us to discuss the debit ceiling and how it will affect the US Dollar.
The FED has run out of money in this breaking news update. I need to tell you what is going on with the debt ceiling. So I’m going to be honest with you, the situation is ridiculous. So let me tell you what the big problem is. The experts thought that we would not be in a big crisis until August, but this tax season, so this is what’s going on.
This tax season, the IRS has collected less tax money than what was projected. So now they’re saying that the federal government is on track to run out of money in July rather than in August. And Goldman Sachs is saying that the federal government, they might run out of money as quickly as mid-June. So that’s just, that’s less than two months away. That’s a few weeks away. Okay, I’m going to tell you what’s going on. Let me know how you feel about this situation.
The US, so the United States has reached its debt ceiling of $31 trillion in January. So the federal government spends more money than they have coming in. And if the federal government cannot borrow any more money, then they’re going to be incapable of paying their bills. And then the federal government would default on their loans and then it would just be economic collapse. If you understand the situation, then you know that I’m not exaggerating. I’m not sensationalizing. I’m not exaggerating, not even one little bit. You know that.
The government hit their debt limit in January, but they have enough money on hand. So they have enough cash on hand to hold them over for a few more weeks, for a few more months. They thought August, the tax collections have been weak. So they’re going to run out of money sooner than they thought. And I want to say this so that we don’t have to see this in the comments down below. So we’re spared of this comment. The US government cannot just print more money. So please do not say that. They can’t. It’s the federal reserve that prints the money. The federal reserve is not part of the US government. The federal reserve is a private organization. It is a cartel of bankers. And I’m not trying to use the word cartel in a derogatory or in a negative way. I mean, technically it is a cartel, which is defined as an association or a coalition or cooperative arrangement.
So the federal reserve is a cartel. It’s privately owned. They pay dividends to their owners. They are not a part of the government.