Ray Dalio again warns of ‘economic heart attack’ if US doesn’t cut deficit

The billionaire investor Ray Dalio issued another warning about the US government’s financial problems, saying that the country’s escalating debts are heading towards a “economic heart attack”.

Dalio, founder of Bridge Water Associated, said that the increased deficit in the federal budget and more than 36 trillion national debts can adhere to the American economy in the coming years unless the legislators take steps to reduce the deficit as a economy.

“The basic image has not changed – if the United States does not reduce the deficit to 3 % of GDP, and soon, we risk facing an economic heart attack in the next three years,” Dalio wrote in a post on X.

“The good news is that these cuts are possible. If we change spending and income (tax declarations) by 4 % while the economy is still good, the interest rate will decrease as a result and we will be in a much better position,” he said.

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Dalio pointed to efforts to reduce the deficit in the previous deficit as evidence that it can be accomplished, saying, “We know that this type of balance is possible because it happened between 1991-1998.”

However, he has warned that political considerations are likely to hinder efforts to reduce deficit, which leads to a budget deficit, the increasing national debt and the cost of interest on federal budget resources that pressure debt.

Dalio wrote: “My fear is that we will likely not abandon these necessary cuts for political reasons, and we will face more debts and debts that go beyond our spending, which will ultimately lead to a serious problem in the show,” Dalio wrote.

Nearly a third of the 36T 36T debt needs to be referred to with discounts in Trump rates

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The beautifully -year -old bill, which was expected to add $ 3.4 trillion to debt over the next decade. (Samuel Corome / Getty Emokires / Getty Emociz)

The total national debt currently exceeds 36 trillion dollars, and is close to $ 37 trillion, while the national debt that the public maintains as a percentage of GDP – a measure that economists prefer to measure the burden of the nation’s debts in relation to the size of its economy – is about 99 %.

This number is expected to rise to about 156 % of GDP in 2055, according to the CBO.

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The current annual budget deficit is about 6.2 % of GDP and is expected to grow to 7.3 % of GDP in 2055 as spending on social security and medical care, as well as interest expenses on national religion, in the coming decades.