Putting U.S. Debt into Perspective

The issue of debt is often discussed in the same context as physical gold, and with good reason in our opinion. While the U.S. debt situation comes up now and again among investors, it is amazing how the issue is most often simply swept under the rug.

It seems that the only time it really becomes a concern with the public is when the government is facing a possible shutdown over budgetary disagreements.

Debt is one of those types of problems, however, that will not simply go away. It has to be dealt with-head on and aggressively in order to be overcome.

According to a recent article on Marketwatch.com, the U.S. National debt is approaching $20 trillion dollars.

$20 trillion dollars

A number this high is almost difficult to fathom. You can only imagine the interest payments involved with such an amount of debt. And you thought the juice you are paying every month to your credit card company is bad…

According to the article, the math looks like this:

$20 trillion dollars is the same as $20-million million or $20-thousand billion. It’s difficult to get your head around it. The article went on to say that if you lived to be 80 years old, you’d have to spend $700 million per day to run out of money.

According to fixthedebt.org, the U.S. spent $223 billion dollars in 2015 on debt interest payments, an amount that represents six percent of the federal budget.

Although some of the factors that have increased the national debt have diminished, like the Iraq war and war in Afghanistan, there are other issues that may potentially increase this debt further if not dealt with. Some of these issues include:

  • An aging population
  • Rising healthcare costs
  • Lower revenues
  • Interest costs

What makes the amount of interest paid last year even more interesting is the fact that the globe is awash in low to zero interest rates!

Imagine what those interest payments might look like if global rates were to rise substantially?

Hopefully, any significant effects of national debt can be minimized and these issues are dealt with sooner rather than later.

Some have also argued that the only way out of such a massive debt is currency debasement…

Don’t you think that it makes sense to include some assets in your overall investment strategy that could potentially provide a hedge against declining paper currency values and economic uncertainty?

Fortunately, such assets do exist. Hard assets like physical gold and silver have stood the test of time as a store of value and protector of wealth. They carry no counterparty risk, and are recognized and valued all over the globe.

Acquiring them and holding them has never been easier. With an uncertain economic future, don’t you think it’s time you started allocating some capital to these tangible, hard assets?

Speak with an Advantage Gold account executive about the potential benefits of physical gold and silver ownership. Our professionals are here to answer your questions, and can even show you how simple it is to buy and hold these key precious metals using your IRA account.

Don’t wait for the next stock market crash or for paper currency values to erode further. Take action now to help secure your financial future. You can get started by just picking up the phone. Call us today at 1-800-341-8584 to learn more.

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