Why I'm Pessimistic About the Debt Problem
Principles by Ray Dalioยท2025-10-08 13:52
Economic History & Fiscal Policy - Fiat currencies historically fail due to political pressure preventing spending cuts and tax increases [1] - Market forces may address fiscal issues in a "very ugly crude way" if proactive measures are not taken [2] - A reduction in exemptions is a possible solution [2] Political & Legislative Outlook - Post-2026 midterm elections, a bipartisan commission might address fiscal questions [3] - The best outcome is a bipartisan commission after 2026, but commissions often fail to implement plans effectively [3]