Ray Dalio's Update on U.S. Government Debt

Economic Outlook - The US may face economic challenges in approximately three years [1][3] - Moody's downgraded US debt, becoming the third ratings agency to do so [1] - Failure to address the debt issue could lead to an "economic heart attack" due to supply-demand problems [3] Fiscal Policy - Cutting the deficit to 3% of GDP is possible by adjusting spending and tax income by 4% each [2] - Achieving a 3% GDP deficit could lead to lower interest rates [2] - A balanced approach, where everyone contributes, is necessary to achieve fiscal stability [2]