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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: Kailash who wrote (22434)11/24/2004 7:41:44 PM
From: LLCF  Read Replies (2) | Respond to of 110194
 
< If the US is perceived to be pursuing its own domestic interests at the expense of its trading partners, they're going to be looking for ways to shift the cost back to us. The question is, what's really the smart thing for them to do? >

Of course we're pursuing our own best interests... who doesn't??? Anyone who thinks otherwise is naive.

< The question is, what's really the smart thing for them to do? >

It's obvious... the people of the United States owe the world Trillions more than can be paid. As the U.S. goes into recession and can't make payments as easily as in the past due to lower incomes AND much higher debt levels. Sooooooooo... the answer is you guys have to lend us more money [hold our IOU's... ie. dollars] to pay the interest on what we already owe you [but that's YOUR decision... so far you guys have been REALLY GREAT! THANK YOU]... our decision only comes if you guys won't keep gobbling our debt up rather than us having to pay anything. So whatyougonna do??

Now, assuming you won't continue to gobble more IOU's, then we're gonna persue our best interest of our population. Would it be in the best interest of our population to force them to pay off all those IOU's in constant dollars, or print more?? Sorry to be the mailman, but there's really NO choice.

DAK