Money For the Rest of Us17 Touko 2023

What Happens If The U.S. Defaults On Its Debt? Here's Why It Won't

What are the grave consequences if the U.S. debt ceiling isn't increased and the government defaults? What would the Federal Reserve and the Executive Branch do to prevent default if Congress doesn't act?

Topics covered include:

What are the potential impacts of a U.S. default on the stock and bond markets, and the overall economy
What causes the U.S. to have a perennial debt ceiling crisis
Why it is uncertain when the U.S. government would run out of money to meet its obligations
What the Biden Administration could do to prevent a default
What the Federal Reserve could do to prevent a default
Given the ongoing crisis, should you shift assets from stocks to cash?

For more information on this episode click here.

Sponsors

Use code MONEY10 to get 10% off on your NAPA Autoparts online order.

Masterworks – invest in contemporary art

Masterworks Disclosure:

“net IRR” refers to the annualized internal rate of return net of all fees and costs, calculated from the offering closing date to the sale date. IRR may not be indicative of Masterworks paintings not yet sold, and past performance is not indicative of future results. See important Reg A disclosures: Masterworks.com/cd

Masterworks’ offerings are filed with the SEC, view all past and current offerings here.

Insiders Guide Email Newsletter

Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter.

Show Notes

The Debt Limit Since 2011—Congressional Research Service

7 doomsday scenarios if the U.S. crashes through the debt ceiling by Jeff Stein—The Washington Post

A debt ceiling default would send the U.S. housing market back into a deep freeze by Jeff Tucker—Zillow

Why is federal spending so hard to cut? — Recurring debt ceiling fights will only be solved by budget reform by Linda Bilmes—Brookings

Debt Limit Default Is Default, Even Under a “Prioritization” Scheme by Richard Kogan—Center on Budget and Policy Priorities

Why I Changed My Mind on the Debt Limit by Laurence H. Tribe—The New York Times

The Trillion-Dollar Coin Might Be the Least Bad Option by Annie Lowrey—The Atlantic

If U.S. again risks default, Fed has 'loathsome' playbook by Ann Saphir—Reuters

Related Episodes

169: The Debt Ceiling—What Happens If the U.S. Defaults

416: Your Nation’s National Debt: 5 Things You Need To Know

See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Tämä jakso on lisätty Podme-palveluun avoimen RSS-syötteen kautta eikä se ole Podmen omaa tuotantoa. Siksi jakso saattaa sisältää mainontaa.

Jaksot(579)

Is Inflation Manipulated? If So, What to Do About It

How inflation numbers are manipulated to appear lower. How to change your mindset about inflation to get ahead of it.Topics covered include:How Inflation (PCE) Calculations Are ChangingWhy the CPE Cha...

15 Heinä 25min

A Listener's Path from Zero to Millionaire in 10 Years - Nine Lessons to Get You There

David shares nine lessons a listener followed to become a millionaire.Topics covered include:The benefit of underspending on housingWhat rate of return and how much would you need to save to grow a po...

24 Kesä 29min

Will You Be Forced to Own SpaceX and Other AI Stocks?

SpaceX, Anthropic, and OpenAI are all going public. Why now? And what will their weight be in index funds? What other U.S. ETF options are there if you don't want to have such a high concentration in ...

10 Kesä 25min

Don't Fall Into the Dividend Trap. How Investors Misunderstand Covered Call ETFs

We explore the free dividend fallacy and how it applies to option income strategies. We break down the return drivers of covered call ETFs and examine the long-term performance record and volatility. ...

27 Touko 25min

We Are All Wayfinders

Why we have to navigate investing, business, and life with a compass rather than a GPS. David also provides an update on what he has learned from hosting live portfolio cohorts and letting AI analyze ...

13 Touko 23min

Five Practices That Have Shaped My Career

I share five business practices that have carried me through asset bubbles, financial crises, business pivots, and now the rise of AI.Topics covered include:Recommended note-taking app and practicesRe...

29 Huhti 27min

Invitation to Our Live Portfolio Review and Rebalancing Special Webinar

Please attend our live webinar on portfolio construction and rebalancing scheduled for Thursday, April 30th, at 12PM Eastern, 9AM Pacific time. I will cover the five steps to constructing and rebalanc...

22 Huhti 3min

There Is No Perfect Portfolio. Just Good Enough

Why portfolio construction is messy, personal, and never perfect. We compare the pros and cons of several portfolio strategies, including target-date funds, risk parity, and role-based portfolios. We ...

15 Huhti 27min