Comments by "TJ Marx" (@tjmarx) on "DEA: Chinese organized crime laundering money for Mexican drug cartels" video.

I'm not sure you understand what the debt ceiling and defaulting mean. The debt ceiling is the legislated maximum the country can borrow. Defaulting is failure to pay existing loans. You don't default on the debt ceiling, you CAN default because of the debt ceiling if your only means of paying existing loan repayments is by taking new loans. That's what they're patting themselves on the back for. Agreeing to increase the amount of money the country can borrow in order to make this months payment on existing loans. Ironically, guess where they borrow that money from? China. The DEA agent is talking pure fiction.
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@Philusteen Wrong. When nations print more money that isn't debt, that's just more money printed. You don't make repayments with interest on extra printed currency nor can you default on it. The money is borrowed from China through the world bank and by issuing additional currency bonds. More than 85% of US federal debt is to China.
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@Philusteen The Chinese economy is not unstable at all. 🤣 China continues to own more than 85% of US debt. When a country defaults it doesn't flow back to the lender in the way you are suggesting. Instead more interest is added. Continued defaults result in lowering of national credit rating which limits future borrowing options, can result in demands from all lenders that the country repay the whole of it's debt which usually means austerity measures for the country as they cut programs and spending to free up tax revenues to pay down debt. It devalues currency and rockets inflation. The US defaulting would not harm China, it would however impact petrodollars lifting inflation across western nations. What you described is not how any of this stuff works. You don't appear to understand what "alarmist" means.
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That DEA agent is talking pure unadulterated fiction.
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