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@BichlerNitzan Hello, I just found out about your existence and I have to say, I am a massive fan. In one of your older lectures, you mentioned that you had a student under you who did a detailed study of who owns the US debt.
I wonder whether anyone in your organization has looked into Canadian federal debt. I ask because Canadian federal debt is very unique. To me, it appears to be the best example of capital extraction through compounding interest. Its chart literally looks like a hockey stick.
1938-74 gov't used to borrow from BoC at 0% rates to finance public projects and to cover the shortfall in meeting cost of government programs. However, after 1974 it started to borrow from private lenders, especially when the fed raised rates to 20% in the 80s.
In 1993, with debt sitting around $423 billion, Auditor-General’s report revealed that accumulated shortfall in the cost of government programs since confederation was just $37 billion while remainder $386 billion represents the amount government borrowed to service the debt.
According to Paul Hellyer, from 1975 to 2010 Canadian taxpayers have paid one trillion, hundred billion dollars in interest on the federal debt to private lenders. According to the Department of Finance, 10% of every tax dollar is used towards interest.
I wonder if anyone in your organization has done any research regarding this topic? Who exactly received the trillion, 100 billion? Who are the lenders? Possible solutions? Impact on the wellbeing of Canadians? etc. Thank you kindly and looking forward to exploring works from CAP
