In part three of our national debt masterclass, we share a simple debt dynamics formula we can monitor to help guide our investment choices. Topics covered include: How much has the national debt grown over the past fifties years, and what are the underlying driversHow the budget deficit, interest rates, and economic growth determine the level and growth in the national debtUnder what circumstances will the U.S. default on its debtHow should we invest to protect ourselves from the uncertainties of the national debt situation Sponsors NetSuite  Yahoo Finance Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Jerome Powell: Full 2024 60 Minutes interview transcript—CBS News Yellen says she disagrees with Moody's outlook on US debt by Ann Saphir and David Lawder—Reuters IMF Steps Up Its Warning to US Over Spending and Ballooning Debt by Christopher Condon—Bloomberg WHEN DOES FEDERAL DEBT REACH UNSUSTAINABLE LEVELS?—Penn Wharton The Long-Term Budget Outlook: 2024 to 2054—Congressional Budget Office PUBLIC DEBT AND LOW INTEREST RATES by Olivier J. Blanchard—NBER Bond vigilantes snooze as Treasury market shrugs off vast US borrowing by Kate Duguid—The Financial Times Term Premium on a 10 Year Zero Coupon Bond—FRED Instantaneous Forward Term Premium 10 Years Hence—FRED See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

In part one of this three part series, we consider why a country that issues debt in its own currency can't default unless it chooses to. We also explore how central banks can control interest rates on the national debt. We also consider whether it is possible for government borrowing to crowd out the private sector. Sponsors Shopify  NetSuite Insiders Guide Email Newsletter Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter Our Premium Products Asset Camp Money for the Rest of Us Plus Show Notes Money In The Modern Economy: An Introduction – Bank of England – Q1 2014 Money Creation In The Modern Economy – Bank of England – Q1 2014 Congressional Budget Office 2017 Long-term Budget Outlook Going for Broke: Deficits, Debt, and the Entitlement Crisis – Michael D. Tanner Bernanke’s Paradox: Can He Reconcile His Position on the Federal Budget with His Recent Charge to Prevent Deflation? – Pavlina R. Tcherneva – Levy Institute (includes quotes referenced in episode by Ben Bernanke and Michael Woodford New Framework for Strengthening Monetary Easing: “Quantitative and Qualitative Monetary Easing with Yield Curve Control” – Bank of Japan Japan’s Debt Burden Is Quietly Falling the Most in the World – Bloomberg The Bone Clocks – David Mitchell Venezuela Is Starving – Juan Forero – Wall Street Journal Curse or Blessing? How Institutions Determine Success in Resource-Rich Economies – Cato Institute Forget Taxes, Warren Buffett Says. The Real Problem Is Health Care. – New York Times See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.