Judy Shelton: It's "Day 1" Of The Reckoning As US' Unsustainable Fiscal Path Runs Out

Are we finally arriving at the end of the road?

From tariffs to tax cuts to de-regulation to budget reductions to a potential sovereign wealth fund, the new Trump administration is moving aggressively to redesign the way America finances itself.

Are these much-needed reforms that will put the American economy on a more secure & sustainable footing?

Or could they risk resulting in misguided chaos?

To find out, today we have the great fortune to welcome to the program Dr Judy Shelton, economist, author, Senior Fellow at the Independent Institute and the author of Good as Gold: How to Unleash the Power of Sound Money.

She's a particularly qualified expert on today's topic because she served as an economic advisor to President Trump during his first term, and was nominated by him in 2020 for the Federal Reserve.

For decades, experts have testified to Congress that the US' fiscal path is unsustainable in the long term. Well, Dr Shelton warns that "Day 1 of the long term" has finally arrived…

To learn why & what she think should be done about it, click here or on the video below.

This is an important one, folks.

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Adam’s Notes: Judy Shelton (recorded 2.27.25)

EXECUTIVE SUMMARY:

• The United States has reached a critical juncture in its financial sustainability. She references repeated warnings from Federal Reserve Chair Jerome Powell and other officials about the country being on an "unsustainable fiscal path." With unexpectedly high interest rates, the U.S. is now spending more on interest payments for its national debt than on national defense. Judy emphasizes the urgent need for "radical changes" to move toward a balanced budget before the economic consequences become unmanageable.

• Judy assigns the Federal Reserve a "D" grade, asserting that it has failed to adjust its monetary models to real-world economic conditions. She criticizes the Fed for initially misjudging inflation as "transitory" and then overcorrecting by aggressively raising interest rates, despite signs that growth and employment remained strong. She argues that the Fed’s high interest rates have disproportionately harmed the private sector while rewarding big investors, large corporations, and government borrowing. According to Judy, the Fed’s refusal to acknowledge its mistakes and adapt its policies has further destabilized the economy.

• Federal Reserve policies, particularly quantitative easing (QE) and artificially low interest rates, have exacerbated wealth inequality in the U.S. She references Fed data showing how wealth has disproportionately flowed to large corporations, institutional investors, and affluent individuals, while small businesses and working-class Americans struggle with rising costs and limited access to capital. Judy warns that