Tuesday Topic: COVID-19, One Year Older and Deeper in Debt

From my non-expert opinion, I think the national debt is a disaster.  Worse is the growing mindset that we can and should give everything to everybody.  We are doing a dis-service to people when we don't require them to take responsibility for their choices, decisions and actions, and we are punishing those who do take responsibility for theirs. It may take a large swing of the pendulum to turn it around, and by then it will be awfully hard to dig out of what has been created.  We're "sticking it to the man"....and our children and their descendants are "the man".

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Mary Fowler
Chief Executive Officer
The Peoples Bank
Magnolia, AR
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Original Message:
Sent: 03-08-2021 14:23
From: Barb Rehm
Subject: Tuesday Topic: COVID-19, One Year Older and Deeper in Debt

A year ago this week, we realized the coronavirus would change our lives. We weren't sure exactly how, but we knew we'd have to adjust our behavior and our businesses. While I hope we're through the worst of COVID-19, we're not in the clear yet. Congress is expected to finalize a $1.9 trillion package designed to deliver aid to people, businesses, and state and local governments. (The Wall Street Journal is out Monday with a concise summary of the bill.) As you no doubt know, there was a ton of debate over the size of the government's relief package, with Democrats supporting a bolder strategy and Republicans favoring a more targeted approach. Since the Democrats have more votes, the package is big. And that leads me to the main story I want to share with you today: "The National Debt is Big and Getting Bigger. Does it Matter?" This American Banker story is excellent – deeply researched and well written. It doesn't take sides; it just lays them out for you and explains the intricate relationship between debt, interest rates, and inflation. I'm a risk-averse person by nature so I see $28 trillion and think "Holy Cow, this is unstainable and stupid." But I know plenty of people with more knowledge on this topic disagree.

What do you think? Does the $28 trillion in national debt worry you? Why? Please share your thoughts.

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Barb Rehm
Senior Managing Director
IntraFi Network
Arlington VA
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