Policy Populists in DC Seek Asset Price Crash to Reset US Economy, Debt Ceiling as Vehicle
According to analysis, policy populists in both parties believe the US needs a large asset price crash to re-establish federal government dominance over the economy to compete with China. The upcoming debt ceiling fight is seen as a potential vehicle for triggering such a crash.
The thing that few people in tech or even politics get is that the policy populists in DC in both parties think China has a superior system of government to the US and want a huge asset price crash & rejiggering of how ROI works in investing. I’m not sure many Members get that.
This is important to understand because if you think (as chunks of both Trump WHs and Biden WH do) that the only way to beat China is to establish federal government dominance of how the economy works, a necessary first step is a big asset price crash to break political economy.
There will be a debt ceiling fight next year and for the first time, the Dems are likely to be pressed to do hostage taking on it. That may become vehicle for making asset prices crash to reset playing field in the US & restore the ability of the Fed govt to direct the economy.