What are the risks of an exploding U.S. public debt?
The Chinese, Japanese and Arabs still buying that debt will begin to suspect they are holding onto paper on which the United States will default, or will cheapen by inflating its currency—as the Germans did in 1923 to avoid paying war reparations.
When they do, they will stop buying U.S. debt and start dumping. The Fed will then have to raise interest rates to attract borrowers, throwing the economy into a tailspin.
Is Congress even aware of what is happening?
No. Congress does not have a clue - either that or they are whistling past the graveyard.
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