STEVE SCHWARZMAN: Something Terrible Will Happen To The US If We Don't Deal With Our Deficit

Steve Schwarzman

Photo: CNBC screenshot

Private equity tycoon Steve Schwarzman said this morning on CNBC’s “Squawk Box” that if we keep racking up our deficit “something terrible” will happen.”If you keep doing this something terrible will happen to the United States.  Something terrible will happen to us,” Schwarzman said.

The billionaire private equity exec added that he thinks the U.S. can solve its problems. 

One solution he proposed is that the U.S. will probably need some type of tax reform to deal with the deficit. 

“Today we have half of America not paying income tax. It’s sort of, I find that somewhat odd,” the Blackstone Group CEO said.  

He explained that there will have to be some “shared sacrifice in the society” to get away from these “enormous deficits.”  

He also added that there should be some simplification to the tax system. 

“You need to be a nuclear scientist to fill out a tax form,” he said. 

Donald Trump chimed in during the segment that he thinks Schwarzman is “absolutely right.” 

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at