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So terrifying!
The news just came from the American icon!
Elon Musk icon warned in the media that the United States is rapidly heading towards de facto bankruptcy. He emphasized that bankruptcy itself is not the biggest problem; the real crisis lies in the government's direct spending on enterprises, leading to the phenomenon of 'state enterprises advancing while private enterprises retreat', which poses a huge threat to the long-term healthy development of the market economy.

First, the issue of the U.S. government's fiscal deficit is becoming increasingly severe, with the budget deficit for 2024 reaching $1.833 trillion, an increase of 8% compared to the 2023 fiscal year. This continuously growing deficit is causing the level of U.S. debt to rise, posing a significant threat to the country's economic health.

Second, the total U.S. debt has soared to $35 trillion for the first time, equivalent to the combined economic output of China, Germany icon, Japan icon, India icon, and the United Kingdom icon. This figure not only sounds the alarm for uncontrolled debt but also poses a challenge to the stability of global financial markets.

Third, Federal Reserve Chairman Jerome Powell icon admitted that the growth rate of U.S. debt is faster than the growth rate of the economy, which is unsustainable. This mismatch between debt growth and economic growth signals a potential economic crisis in the future.

Fourth, the U.S. government's excessive spending is considered one of the reasons for inflation. In the current global economic situation icon, inflation puts pressure on the cost of living for ordinary people and the operational costs for businesses.

Fifth, the U.S. is also showing signs of economic downturn in other aspects, such as retailers falling deep into financial crises, the manufacturing industry remaining sluggish, and rising unemployment rates. These signs indicate that the U.S. economy may be facing the risk of recession.

Sixth, the U.S. government has been blinded by short-term political interests over the past few decades, neglecting to implement necessary structural reforms. In an election year, the disputes between the two parties have intensified, and the severe reality of uncontrolled debt is also ignored, further exacerbating the risk of a fiscal crisis.

Musk's warning is not alarmist; the economic problems in the United States have indeed reached a point that cannot be ignored. Government fiscal policy and debt management need to be more prudent and effective to avoid a potential economic crisis. At the same time, the U.S. also needs to reach a political consensus to jointly face and resolve these deep-rooted economic issues. After all, the healthy development of the economy is related to everyone's future.