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“Nothing Stops This Train” | Lyn Alden on Fiscal Dominance

Bankless

INSIGHT

Tax Dollars and Net Interest

The US government allocates a significant portion of tax dollars to net interest payments.

  • Eleven cents of every tax dollar goes towards net interest.
  • These payments exclusively benefit T-bill owners.
  • Interest allocation dwarfs investment in social programs, defense, or infrastructure.
  • Rising Federal Reserve rates will exacerbate this issue.
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