politics

Did you know that countries the US gives foreign aid too are allowed to use that money to buy US treasuries to then earn interest on the money we gave them? What kinda fucking scam is this? They give our tax money to other countries and then make us pay interest on it too!

As a devil advocate, having a clause like that allows them to at least protect against inflation with 0 risk of losing initial investment. Nothing wrong with using bonds, treasuries, money market accounts to get interest on cash. 

If there was a scam, it occurs when money is sent for a purpose that isn’t in the best interest of taxpayers, or audit failures on how that money was actually spent once received (with predefined rules in place)

But it’s not an investment. It’s foreign aid supposedly intended for defense. Not then using to suck even more money out of the people who gave them the money in the first place.

I guess it depends. If it’s a random lump sum payment, that money may need to last for a bit and also can’t be spent all at once. In that case , buying some treasuries seems okay to protect that money sent from inflation by buying treasuries. 

I agree with you high level tho. Govt Spending in general is out of control.