Ray Dalio Talks with CNBC’s Squawk Box About How the System Breaks Down Once a Lifetime

2025-07-15

In 10 years, the US government will be $55-60 trillion in debt (which will be 7-7.5 times government revenue) because there will be $25-30 trillion of additional borrowing. That amounts to about $425,000 of debt per American family.

When I calculate the supply and demand for this debt, I don’t see enough buyers to buy the debt the US needs to sell, which will cause big problems.

We can avoid the worst-case scenario, but we need to act now.

To learn more, I encourage you to read my new book, How Countries Go Broke: The Big Cycle.

#raydalio #principles #economics #debt

2025-06-09

If you study the patterns of history, you find interrelated cycles in which global economic and political orders rise and inevitably break down due to specific cause-effect relationships playing out through time.

In my research, I’ve found that when you have the combination of the monetary order breaking down — like a debt crisis — and the internal political order breaking down, you have a very serious situation.

I believe we are facing one of these inflection points today. With our current levels of prosperity, it can be difficult to see this happening in real-time. But when you step back and look at the mechanics, the broader picture begins to emerge.

I recently had the opportunity to discuss this perspective with the IMF. And for those who are interested, I dive into what these