The Looming Debt Crisis: Is America Following the Path of Collapsed Empires?
- johnwick
- Dec 4, 2024
- 4 min read
Updated: Dec 7, 2024

History has shown us that excessive debt can topple even the most powerful empires. From Rome to the Soviet Union, the downfall of these great powers was marked by unsustainable debt that led to a financial collapse. As the US government faces an unprecedented debt crisis, many are asking: Is America following the same trajectory? Are we heading towards the collapse of the US Empire in the same way past empires have fallen?
In this blog post, we’ll explore how the US is rapidly approaching the tipping point of financial instability and how debt is playing a central role in this looming crisis. With the government’s debt reaching unimaginable heights, it’s becoming increasingly difficult to sustain the military, social programs, and other essential services. The question isn’t whether the US will collapse—it's when and how.
The Historical Path to Collapse: Debt and Decline
The pattern of collapsing empires is remarkably consistent. It typically starts with:
Success and Overconfidence: Empires rise to power, often achieving success through conquest, economic growth, or political dominance.
Excessive Spending: Once at the peak, empires begin extravagant spending on luxuries and wars, believing their power will remain unchallenged.
Debt Accumulation: To finance this spending, they turn to debt. The government borrows heavily to fund its military and other ambitions.
Unsustainable Debt: As debt levels soar, the empire begins to struggle under the weight of its obligations. The government resorts to currency debasement and taxation to finance the growing debt burden.
Internal Instability: Rising taxes and inflation create unrest among the populace. With government spending bloated and the financial system unstable, cracks begin to appear.
Weak Military: Eventually, the empire cannot afford to properly fund its military, which is critical for maintaining power and defending against external threats.
Collapse: The combination of internal instability, underfunded militaries, and external pressures leads to collapse—often resulting in foreign invasion, revolution, or both.
America’s Debt Crisis: The US is at the Tipping Point
The US is now at a critical juncture. The federal debt has surpassed $30 trillion, and the annual interest payments on this debt are now higher than the defense budget. Interest on the federal debt alone has already exceeded $1 trillion, a figure set to grow at an exponential rate. Soon, it is expected to surpass Social Security, becoming the largest item in the federal budget. This is a clear indicator that the US is entering the same cycle that led to the fall of past empires.
Historian Niall Ferguson warns, “Any great power that spends more on debt service than on defense will not stay great for very long.” The US is now in this dangerous territory, where the debt burden is threatening the nation’s ability to maintain its military and meet the needs of its citizens.
The Breaking Point: Debt, Inflation, and Military Strain
America is nearing Stage 6 of the empire collapse pattern, where high debt and internal instability begin to take a toll on military funding and social programs. With soaring inflation and a rising tax burden, the US populace is becoming increasingly disillusioned with the government’s ability to manage its finances.
As more Baby Boomers enter retirement, the strain on programs like Social Security and Medicare will increase. The government cannot continue to pay for these entitlements and defense at their current levels. The only option left is to debase the currency—essentially printing more money to meet these obligations. However, this only worsens the situation, leading to hyperinflation and a devaluation of the dollar.
The problem is compounded by the current geopolitical instability, with tensions rising globally. The US is unable to afford both its military commitments and domestic obligations, and defense spending is unlikely to be reduced. As a result, the US will likely resort to currency devaluation to pay for both, but this will further fuel inflation and instability.
The End of the US-Led World Order?
As we’ve seen with other empires throughout history, when an empire is financially crippled by debt, its ability to project power diminishes, and it becomes vulnerable to external threats. The US dollar, once the world’s dominant reserve currency, has already lost over 98% of its value against gold since 1971. The US is now caught between rising debt, inflation, and a military that is underfunded and overstretched.
The US Empire, as it has existed since World War II, is on the verge of collapse. With mounting debt and a military that is too weak to sustain America’s global dominance, the world order led by the US is shifting toward a multipolar world order—with rising powers like China, Russia, and Iran positioning themselves as key players.
Preparing for the Collapse: What You Can Do
While the collapse of the US Empire may seem inevitable, there are steps individuals can take to protect their wealth and position themselves for the coming financial shift:
Diversify Your Assets: Relying solely on the US dollar or US assets is increasingly risky. Gold, Bitcoin, and real assets are key hedges against inflation and the collapse of the dollar.
Protect Against Inflation: As the US government continues to debase the currency, the purchasing power of the dollar will continue to erode. Investing in tangible assets like precious metals will help preserve your wealth.
Be Prepared for Geopolitical Shifts: As the US loses its global influence, other countries are preparing to step into the power vacuum. Staying informed and understanding the changing geopolitical landscape is crucial.
Embrace Self-Sufficiency: As the government’s ability to provide services weakens, individuals and communities will need to be more self-reliant. This includes financial independence, food security, and local resilience.
Conclusion: A Financial Crisis Is Looming
The signs are clear: the US Empire is on the brink of collapse due to its unsustainable debt, inflation, and military overstretch. Much like previous empires, the debt burden will eventually overwhelm the nation’s ability to maintain its global dominance and provide for its citizens.
As individuals, we must recognize the signs of this impending collapse and take steps to protect ourselves and our wealth. Diversifying investments, investing in gold and Bitcoin, and preparing for geopolitical instability are essential strategies in navigating the uncertain times ahead.
The US debt crisis is not just an economic issue—it’s a global transformation that will reshape the world order as we know it. Will you be prepared for the coming storm?
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