The US government now spends more on interest payments than on national defense. That threshold has not been crossed since before World War Two, and every empire that crossed it before responded the same way. This video introduces the Debt Spiral Threshold, a framework for understanding when government debt stops being manageable and becomes self-reinforcing. The key metric is not total debt in dollars. It is interest payments as a percentage of federal revenue. That ratio just crossed 23 percent and is projected to climb toward 30 percent within the next five to seven years. Four empires hit this same range before the United States: Rome, Spain, the Dutch Republic, and Britain. Each debased its currency. The mechanisms differed. The outcome did not. We walk through each historical parallel with specific data, explain the feedback loop that makes the spiral self-reinforcing, and connect the pattern directly to your mortgage rate, your savings, and the purchasing power of every dollar you hold. Subscribe for weekly analysis connecting macro patterns to your money. Next up: what happens when this spiral forces the Federal Reserve to choose between three options, none of them good. What percentage of federal revenue do you think goes to interest right now? Drop your estimate in the comments.
from Volumes Untold https://www.youtube.com/watch?v=-qrkCFNBFcE
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