Considering the fact that the US collects ten times the revenue it needs to pay interest on the debt, do foreign countries have a safer alternative to US Treasury bonds?
Whether or not the debt ceiling is raised, the federal government collects significantly more revenue than it needs to fulfill U.S. debt obligations," Forbes wrote. "If the debt ceiling is reached, the government will still have ten times as much revenue as it needs to make debt payments. The only way the U.S. will immediately default upon reaching the debt ceiling is if the government actively chooses to do so by not making debt payments."
Forbes' also passed a bill, the Full Faith and Credit Act would require the Secretary of the Treasury (Treasury) to make timely payments of principal and interest when the statutory debt limit is reached. The House passed this legislation since their has been conflicting statements from the Treasury whether they could prioritize payments on the debt.
Additionally, the 14th Amendment requires that the US debt is paid, to do otherwise is unconstitutional.
The validity of public debt of the United States [...], shall not be questioned.
Given all that:
- Do foreign countries have a safer alternative to US Treasury bonds?
- If so, what are they and how much money do foreign governments have invested in that alternative relative to US bonds?