MMT US Debt & Economic Growth Do Not JiveExposing MMT Since 2019 US GDP has risen by 4% or $800 billion. At the same time, US Debt has risen by 33% or $8 trillion. If MMT worked as advertised GDP would have also grown by 33%. It didn't! Why? bc Gov't debt is not productive. It is as plain as day. by RealMacroUpdated 14
Reduce risk in portfolios without hampering returns Asset allocation is ultimately about balancing returns with risks. While it is relatively easy to reduce risk in a portfolio, it is harder to do so without diminishing its return potential. Diversification, that is, adding uncorrelated assets to the portfolio, is one of the main tools available to iby aneekaguptaWTE3
The Real Economy Is In TroubleThe real economy (Inflation adjusted) has barely grown by $1 trillion in almost 4 years. Let's take a moment and go back in time and read what the Congressional Budget Office was forecasting in 2019. "At $16.8 trillion, debt held by the public at the end of 2019 was equal to 79 percent of gross doby RealMacroUpdated 2222
REAL GDP/DEBT KEEPS COLLAPSING!!One of the best ways to think about public debt is to think of oil extraction. How many barrels of oil are required to extract 1 barrel? Right now we are extracting only $0.64 cents of GDP for every new $ of added public debt. This is a horrific ROI. Can you imagine using 1 barrel of oil to extract Shortby RealMacro12
GDP is Bad and You Should Feel BadThe GDP number of 2.7% growth is being propped up by net exports, while consumption is at a cycle low. This is horrible for earnings expectations and risk assets. Net exports were at a low in prior quarters, making the economy look worse off than it was. Now the economy is actually worse off than itShortby coinhoIioUpdated 4
U.S. Real GDP (Inflation-Adjusted) has only grown $296 BillionU.S. Real GDP (Inflation-Adjusted) has only grown $296 Billion in 2 years. After adding $8 trillion public liabilities Helicopter money $5 trillion in QE ZIRP (Zero interest rate policy) The "cares Act", "Stimulus" etc.. horrible ROI. Here is why No Gov't can print VALUE (productivity) for a curby RealMacro4