Bridgewater Associates founder Ray Dalio says the US could be headed to a financial crash because political leaders are cautious against taking aggressive actions to address America’s budget deficit. In a post on the social media platform X, the billionaire says senior members of both the Democratic and Republican parties agree that the US needs to reduce its deficit to 3% of the GDP (g ross domestic product). But he says the so-called absolutist policies prevent the adoption of measures such as tax increases and cuts to benefits that can address the debt problem. “They explained the absolutist policies that must exist and those are that you must make statements like I will absolutely pledge not to raise your taxes or I will absolutely pledge not to reduce your benefits.” Dalio says it is clear that the US is unlikely to change its debt trajectory and could face painful consequences. He says political leaders may be thrown out by their constituents and face pressure from their parties, so they find it impossible to make compromising statements and actions that can balance the revenue and expenses to produce a good budget. “That’s the equivalent of saying I will absolutely pledge not to change the trajectory we’re on in order to have a better set of circumstances than the likely financial crash that we’re going to have.” Follow us on X , Facebook and Telegram Don't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post Billionaire Ray Dalio Says US Unlikely To Change Debt Trajectory and Avoid a Financial Crash – Here’s Why appeared first on The Daily Hodl .
