Ray Dalio issues its most wonderful warning to America so far: The large amount of $ 37 trillion will lead to a “economic heart attack”

Dalio, the founder of the world’s largest hedge box, described the Bridgewateer Associats, the vortex of deficit in America in dramatic and brutal degrees. “We spend 40 % more than we take, and this is a chronic problem,” he said. The last appearance on Fox Business. “What you see is the debt service payments … in pressure away, so the plaque is like the arteries that press the purchasing power.”

The measurement confirms a dark fact: Debt service payments have been swollen As a share of government spending, the money flourishes for other priorities. Dalio warns that the United States is near the turning point where it must issue new debts just to pay the benefit on the current obligations – a course that it may only lead to financial shock, but a systematic discharge that reminds us of a heart attack. We must return, as it argues – in the nineties.

Recovery

Dalio claims that there is still a way to go out – as long as the country is working with unity and its solution. It refers to the nineties of the last century as a model for solving problems from the two parties, financial restrictions, and balanced economic growth. “If we change spending and income (tax declarations) by 4 % while the economy is still good,” he wrote on twitter“The interest rate will decrease as a result, and we will be in a much better position.” He added that we know that this type of balance can happen because it happened before, from 1991 to 1998, with reference to how to restore all of the controls to spend and tax measures targeted in the nineties.

Dalio suggests that by reducing the federal deficit to 3 % of GDP – the last time levels during the Clinton era – the United States can stabilize markets, tame the interest payments, and avoid the crisis. in CNBC appearance In early July, Dalio put the possibilities of more than 50 % that the financial “shock” will result from not properly dealing with the debt.

Past warnings

This is far from the first Dalio warning in the case of the American economy. In the past five years, he expressed his concerns about the debt that has been created to combat the financial effects of the epidemic, both inflation and stagnation, and even the recession that is looming on the horizon. Although the recession has not been launched since the Covid collapse for 2020, Dalio warned that high asset prices did not create a real wealth, because inflation was eating the purchase power.

There is a consistent topic for Dalio’s warnings that the disease may be worse than treatment, as policy makers are likely to be behaved only when inflation has become embarrassing and that the value of the dollar has eaten financially. He has expressed differences in criticism of a “heart attack” and “painting” since 2024.

Although a clear prescription is provided, Dalio expresses doubts that the current political dynamics will allow the median solution or the required difficult options. He wrote on Twitter: “My fear is that we will likely not abandon these necessary cuts for political reasons,” warning that tyranny in Washington can.

Dalio says that the consequences will be severe and long -term: the continuous government in spending, the high burden of debt service, and the loss of confidence between the US Treasury buyers. He says that this scenario can escalate to what he calls a “serious demand”, as the market refuses to finance American borrowing habits at sustainable prices, stimulate a financial crisis with global shock waves. April decreased in the Treasury Sanitary Market for 10 years The tremor of such refusal was foreign investors, who seemed to be beating President Donald Trump’s tariff, planned more aggressive than expected.

Dalio’s repeated calls in the 1990s are more nostalgia to the past – it is an invitation to partisan pragmatism and common sacrifice. It warns that failure to act now, as the economy continues in full swing, will not only raise the costs (pain) of inevitable reforms. Although Dalio did not comment on this, the debt mode has already worsened throughout 2025, as legislation passes through Congress that is scheduled to expand debts for years to come. The Grand Great Buds Law for TROMP will add $ 3.4 trillion to the deficit over the next decade, according to what he said Congress Budget Office.

For this story, luck The artificial intelligence is used to help with a preliminary draft. Check an editor of the accuracy of the information before publishing.