USA and Chapter 15 International Bankruptcy Law ...If not now in the near future, when and why.
When USA, is adjudicated insolvent and two or more creditors file for dissolution of assets to get payment 0f principal plus discounted values and/or accrued interest.
Why the creditability is in question compounded by Federal Reserve actions to prevent such a strategic move for political gain. i.e., China, Russia, Iran, North Korea, Japan and other exporting countries, using credit ratings to wait for payment of Treasuries and the future interest yield.
Likely such an event will happen. During 2024 as a factor in the Presidential race and midterms for Congress. Such action is in the distortion of, not the economy but the survival of the American free market enterprise standing in global trade.
Outcome: acceleration of OPEC then China and Iran deciding to de-dollarize trade by refusing to accept America's credit ratings and ability to liquidate its cost of capital and trade. Global stock and bond markets will begin to react with hedge funds starting to disclose their position on USA’s ability to overcome defaulting on the debt ceiling 79 times. And continuing gridlock between the two-party system failing to solve problems the make.
While not using GAAP current debt of $34 trillion due next year is 135% of annual GDP and long-term obligationsfor Medicare, Medicaid, Social Security, government pensions and 13
entitlements, of $200 trillion due in the next decade is 201% of worldwide GDP.
And politically Congress continuing gridlock between the two-party system failing to solve problems they make. Have divided the country into fractals that play the blame game while Washington D.C. burns like Rome did in 45 B.C. because of open borders, proxy wars and cost of living in America.
