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Elon Musk warns America will ‘1,000%’ go bankrupt, ‘fail as a country’ due to crazy debt — protect your finances
Yahoo Finance· 2026-02-06 22:13
Economic Concerns - The U.S. national debt currently stands at $38.56 trillion, with federal spending significantly outpacing revenue, leading to a fiscal deficit of approximately $602 billion in fiscal year 2026 [3][4] - Interest payments on the national debt are projected to exceed $1.5 trillion by 2032 and reach $1.8 trillion by 2035, surpassing the military budget of $1 trillion [2][3] Investment Insights - Prominent investors like Ray Dalio and Elon Musk have raised alarms about the potential for a "debt death spiral," where the government must borrow to pay interest, creating a self-perpetuating cycle of debt [1][2] - Gold has been highlighted as a safe-haven asset, with prices increasing over 70% in the past year, and JPMorgan CEO Jamie Dimon suggesting it could rise to $10,000 an ounce in the current economic environment [7][8] Alternative Investments - Real estate is noted as a strong hedge against inflation, with the S&P Case-Shiller U.S. National Home Price Index increasing by over 87% in the past decade [11] - Art as an alternative investment has gained attention, with platforms like Masterworks allowing investors to buy shares in high-value artworks, which have historically outperformed traditional assets [20][23]