The Tom Woods Show Ep. 2664 Why Bother Worrying About the Debt?
21 snips
Jul 5, 2025 Economist Bob Murphy, with a PhD from NYU and host of The Bob Murphy Show, joins to tackle the often-ignored issue of national debt. He emphasizes the urgency of fiscal reforms and critiques political inaction, suggesting bold spending cuts could resonate with voters. The conversation also explores the shortcomings of the Federal Reserve’s interest rate policies and advocates for a return to sound money. Additionally, Murphy discusses the innovative potential of blockchain technology in finance, particularly in tokenizing life insurance assets.
AI Snips
Chapters
Books
Transcript
Episode notes
U.S. Debt Growth Worries
- The U.S. debt as a share of GDP is rising rapidly due to unfunded liabilities becoming explicit debt.
- There's no easy fix since spending growth continues with no significant cuts on the horizon.
Big Bill Increases Deficit
- The so-called "big, beautiful bill" claims record spending cuts but actually increases the deficit by $2.4 trillion over 10 years.
- This is because it cuts revenues more than spending, mainly by extending Trump's tax cuts and avoiding tax hikes.
Missed Moment for Spending Cuts
- The opportunity for radical spending cuts aligned politically during Trump’s term was unique and likely won’t come again.
- If significant cuts aren’t made now, future efforts to restrain debt growth will face even greater challenges.
