Overview
- In a Bloomberg interview aired Oct. 10, the Bridgewater founder said U.S. polarization is evolving into nonviolent tests of power he describes as a developing civil war.
- Dalio compared fast-rising government liabilities to plaque that chokes off spending and warned that investors may demand higher yields or sell if real returns look poor.
- Official figures show total gross federal debt around $37.8 trillion, with debt held by the public near 99% of GDP and CBO projections rising to roughly 116%–118% by the mid‑2030s.
- He urged a mix of tax increases and spending restraint, echoing GAO and CBO warnings that rising interest costs risk crowding out other priorities.
- Investor commentators, including Nassim Nicholas Taleb, advised hedging against a visible debt risk as Dalio likened today’s backdrop to 1937–38.