The Whole U.S. Economy Is Based On Debt

Our whole economy in the U.S. is based on debt. Its based on borrowing to consume, borrowing to speculate. The government is financing itself based on debt, all these checks they are mailing out are based on debt.

The rates need to be practically zero in order for anybody to afford servicing the debt. That is how enormous the debt is and when the FED eventually lets interest rates rise, everything comes crashing back down, much worse than 2008.

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.

The Fundamentals Of The U.S. Economy

The fundamentals of the U.S. economy are much worse than they were when the FED began QE1. And you still have this idea that the FED can remove these supports and that the economy can somehow continue expanding on its own. It can`t. It is all a function of all that cheap money and artificially low interest rates that come with it.

Peter Schiff is an American businessman, investment broker and financial commentator. Schiff is the CEO and chief global strategist of Euro Pacific Capital Inc.