Part 4/6:
The discussion transitions to the U.S. public sector, which Darius claims is consuming an increasingly large share of global capital. He provides statistics showing that the U.S. public sector debt constitutes 35% of global public sector debt, a significant rise from 24% two decades ago. This reliance on foreign investment raises significant concerns over the sustainability of such a debt.
Darius emphasizes an alarming debt-to-liquidity ratio, showing that the U.S. sits at 114%, compared to 61% in Europe and Japan. He argues that while the world focuses on issues like inflation and geopolitical conflicts, the U.S. is on a risky path with its current fiscal policies.