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How exactly should we short US Government debt?

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How exactly should we short US Government debt?
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>>1613354
Keynessian economist here:

You have to increase public spending, even if this means more debt. Now people will have more money, spend more, the economy will skyrocket and people will pay more taxes.
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>>1613382
>people will pay more taxes
>the U.S. citizenry wanting to pay tax

Try again.
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>>1613382
>economy will skyrocket from increase of public spending
>>
buy some tbt
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>>1613354
If since the highest percentage of spending is for gibsmedatwihiteboi programs, you should short companies tied to gibsmedat. Medicare and Social security programs take up most of the budget, so short stocks related to retirement homes and medical.
>inb4 defense spending
short defense stocks if you want.
>>
>>1613405
I'd normally support more public spending, but the way US is now I honestly don't see any other way out of its debt other than lower spending. The US has a 1.11 trillion in discretionary spending, 600 billion of which goes into the military. Slash that by 2/3 for starters.
>>
>>1613354

if US goes bankrupt it'll go to zero

trust me
>>
>>1613354
>short US Government
stupidest idea ever
>>
>>1613382
modern economys arn't that simple.
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>>1613382
This would be funny if it wasn't literally how Keynesian fags thought.
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>>1613354
You don't, debts are only meaningful if there's somebody willing to collect and nobody would dare try and collect their debt from the US.
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>>1613354
Long Russia or China.

Seriously, shorting the US debt is tantamount to wishing for its complete collapse.
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>>1613640
but they also have to be confident to invest more to keep them afloat.
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>>1613645
see >>1613644

Even if you could successfully short the US debt you really wouldn't want to, especially if you live in the US or any country heavily reliant on the US for one reason or another. (ie. 90% of the fucking globe)
>>
>>1613382
>Keynessian economist here:
no need to say you don't understand 1st grade mathematics.
>>
>>1613388

More money in the hands of people who will spend money equals more income to be taxed, but it's clearly a losing proposition as only a portion will be taxable. You have to create jobs and revenue.
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>>1613728
>only a portion will be taxable.

Most americans don't really have personal savings and if they spend all of their income, doesn't VAT draw more money into the budget?
>>
here's what will happen. Rates will rise, government will print money to buy it's own debt to keep rates low. inflation will skyrocket.
>>
what the government needs to do (but probably won't do) is cut spending immediately by 75%.
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The US should just buy a whole bunch of loans from canada and then annex canada
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If longterm bond yields go up, how do I make money of it??
>>
>>1613913
Yields and prices are negatively correlated so short a bond etf
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>>1613776

Right, private debt is high and people don't save money (their banks would just gamble it away anyway), but there is no VAT. Sales tax is local and state, not federal. Federal is all income tax and unless there are better, higher paying jobs which enable more spending then infrastructure projects will be short term debt-based solutions.
>>
>>1613354
Buy gold and bullets.
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>>1614154
Ah yes, forgot that sales tax is more prevalent in the US. You're right though.
>>
>>1613354
Shorting US debt was done by buying US treasury bonds with high leverage. Too bad that party is over. Time to drain the swamp.
>>1613799
Very plausible.
>>1613801
Spending only has to be cut around 10% to trick out the economy. The problem is for some reason there's this obsession with debt-gdp ratio when really gap should have nothing to do with it. It should be all about the deficit-spending ratio. As long as the federal deficit is less than 3% of expenses there won't be any risk of stagflation or hyperinflation. Right now the deficit-spending ratio is around 10%, this poses risks and makes the US vulnerable to financial exploitation.

Basically China's getting some really terrific prices to liquidate their USD reserves and if that number dips below $1T you can bet the USD will start tanking.
>>
>>1614349
>Shorting US debt was done by buying US treasury bonds with high leverage. Too bad that party is over. Time to drain the swamp.
no it would be borrowing us bonds and selling them and buying them back at a lower price when their price falls and pocketing the difference. do you even know what short means?
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>>1613382
And soon after the malinvestments caused by the careless spending will see the economy crash again and be back where we were, or possibly worse off.

How about we find solutions that cause real growth not artificial growth.
>>
>>1613354
could give it all to me. im a in debt neet that ows a shit ton and has no plans or way of paying it back.
>>
>>1613382
>introduce $100 into the economy
>if you're lucky you get $30 back
Great job!
Thread posts: 31
Thread images: 3


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