nopie
24d ago
My view is slightly different. Sometimes debt is good, you would buy a house on mortgage, for example. But the current debt is purely for buying trinkets, not good. The US is also a very strong economy, the best in the world. Some more debt is not going to bankrupt it. However, excess debt can reduce growth. The fact that the US was growing faster than other developed countries, is no reason to limit this potential. Therefore this debt should be eliminated as it would allow the US to grow even faster.
Now, Musk wants more growth. Everything depends on it. It is a long game he is playing, some moves might be wrong, but it all makes sense.
What? You interpret what I said in the worst way. What about a different interpretation – the US reduces borrowing. The borrowing is only a small part of the budget which means that by small reduction, let's say 10%, you could even not only stop borrowing but also pay off some of the debt (the numbers are as example only), and in 5 or 10 years, the US has no debt at all or very insignificant one.
As apposed to in 20 years the US debt is 100% or 200% of the GDP and interest payments comprise 20% of the GDP.
nopie
23d ago
I am sorry, I had seen this usage in some writings and thought that it is a standard English. But I am not a native speaker and make a ton of mistakes in every sentence.
nopie
25d ago
You probably are better with numbers and can provide better estimates. Tyler Cowen has analytical blog post about this issue: https://marginalrevolution.com/marginalrevolution/2025/06/claims-about-debt-and-productivity-growth.html
My understanding is that it is a time to become “fiscally responsible”, i.e., try to cut expenses. The current growth is not enough to stop interest payments to skyrocket.
nopie
25d ago
Yes. When I hear “fiscally responsible” on news I have no idea what it means. I just tried to offer a better phrasing that could resonate with people. If something wasn't clear, now I have provided interpretation above: https://www.themotte.org/post/2015/culture-war-roundup-for-the-week/332917?context=8#context
nopie
24d ago
Not true. There have been times when printing money was correct policy, for example, after big crises of 2008.
nopie
24d ago
Inflate? It doesn't work mathematically. Sorry, you are not making any sense.
nopie
24d ago
In all those cases I was totally on Musk's side. Lockdowns were terrible and now even Scott Alexander quotes studies that they didn't do anything, only destroyed economy even more and increased mental problems of people. This is where both democrats and republicans dropped the ball on science.
Elon deserved at least some recognition for EVs.
Elon's transkid? The UK banned puberty blockers for a reason. It turns out that most “transkids” stop being “trans” by reaching adulthood, but if they are given puberty blockers, then it is almost 100% guaranteed that they will continue this transpath. Not good outcome at all and only the most ideology obsessed people cannot see why this is a problem.
The only thing I don't like about Musk is his over promises, for example, selling self-driving cars (was promised to be ready in 2024)? Clearly a fantasy although the idea to develop them is good. Of course, sometimes I don't like his talk (calling some a pedo etc.). But that is not important in the great scheme of things.
To be sure, I was saying how I would act and it would be a similar tantrum like what Elon does. But I am no politician nor a successful man and I don't know if Elon's actions will be ultimately victorious or destructive. The later is more likely. But his track record shows the opposite. Obviously, we don't understand the world well enough to predict the outcome. But from what we know, the world has a potential of unlimited growth. We are in a different era now, the humanity in all of its history was static, with no growth or very little growth over centuries, but then something changed and rapid growth appeared. It started with the industrial revolution and the world has never been the same since.
Musk vs Trump is the new world vs the old one. The new world will win for sure but expect many battles.
Thank you. That was exactly my thought. In my formative years I learned English from writings by Indians. I am well aware that many expressions I learned from them are unfortunately archaic or used only in India and not in the standard British or American English. I try to avoid them but it is not always easy in a second (actually my third) language.
nopie
25d ago
I don't know why people are so upset. Trump was awful, Elon tried to use him for his purposes, it failed, so he is now against him. There is no point for Elon not to be against Trump now. It all seems totally normal to me, that's how I would act in his place.
nopie
25d ago
Not staged, it is real.
Obviously, many things said in anger now, can and will be taken back. Don't take them too seriously. But the fight is real.
nopie
23d ago
In such situation the US would indeed just print the money to save itself from bankruptcy causing immense inflation. It will cause worldwide financial crisis. It is possible that the GDP for many countries will fall by 50% or even more.
That will not be good neither for the US, nor the world peace. Possible some other countries will arise more arise more powerful, especially China, Russia or Iran. The countries who have learned to become more resilient due to constant sanctions.
To me it seems that if you have to pay 10% on interest payments for the debt, you could easily reduce spending by 10% and not to pay this interest payment and be in the same situation. Obviously, that would cause short term pain but long term benefits.
I personally can easily spend 4-5 years at college and/or training and live frugally to get better job or whatever. Everybody can.
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