Economist Peter Morisi breaks down what the national debt is, why it has ballooned to more than $34 trillion, and what it means for Americans.
FedEx founder and executive chairman Fred Smith added his name to the list of business leaders who are sounding the alarm on the soaring U.S. national debt, telling Fox News this week that the national debt is “unsustainable.” He said there is.
In an interview withspecial reportOn Tuesday evening, host Bret Baier asked Smith for his thoughts on the level of federal debt held by the U.S. government, which currently exceeds $34 trillion.
Frederick Smith, Chairman and Chief Executive Officer of FedEx, speaks at the U.S. Chamber of Commerce Aviation Summit in Washington, DC, Thursday, March 7, 2019. Smith joined “Special Report” host Bret Baier on Fox News on Tuesday. . (Photographer: Anna Moneymaker/Bloomberg via Getty Images / Getty Images)
“Federal debt held by the public is projected to reach 97% of GDP in 2022 and 195% of GDP by 2050,” Baier noted. “Eventually we have to reorient the carrier a little bit.”
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“Well, I think a lot of people are saying that,” Smith replied. “The chairman of the Federal Reserve said this a week ago Sunday evening. Jamie Dimon, the president of our largest bank, JPMorgan, has said the same thing repeatedly. Even in addition to the chorus, I want to say that this is “unsustainable.” ”
The FedEx Express logo is reflected on an airplane at Paris Charles de Gaulle Airport in Roissy-en-France, May 25, 2020. (Reuters/Charles Platiaux/Reuters Photo)
| ticker | safety | last | change | change % |
|---|---|---|---|---|
| FDX | fedex corporation | 236.81 | +0.42 | +0.18% |
Mr. Baier then pointed to remarks made by Mr. Smith during a speech at the Calvin Coolidge Presidential Foundation in December, in which he said the FedEx founder “avoids a catastrophic financial crisis. “I really hope that the process produces leaders who recognize extreme and extremist behavior.” We face unprecedented risks of political and financial instability, not to mention military challenges around the world, requiring grand compromises and solutions to these problems. ”
US debt tops $34 trillion: How much debt is too much?
The host asked Smith if he had met with the leader as of today.
“No, quite the opposite,” he replied. “The political process is really focused on the extremes of both parties.”
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“Since President Roosevelt and Secretary of State Hull passed the first major trade bill in 1934, no one has supported the trade that made America great,” Smith said. Eliminate your enemies and seek prosperity through trade and America’s alliance system. In addition, our fiscal ability to print money at will depends on whether the dollar remains the reserve currency. ”
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“The so-called BRIC alliance of Brazil, Russia, India and China has embarked on a deliberate course to dethrone the dollar,” Smith continued, adding, “If that happens and we can no longer sell our bonds… , I can assure you,” he warned. The standard of living that we all enjoy today will be a thing of the past. ”
