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Politics : Moderate Forum -- Ignore unavailable to you. Want to Upgrade?

To: jttmab who wrote (19795)	10/5/2005 11:27:32 AM
From: Bucky Katt	Read Replies (1) \| Respond to of 20773

The simple answer is no one will EVER pay it, all that matters is can the sick patient continue to pay the juice (INTEREST) in a timely manner. The principal just keeps getting rolled over. You are right, no one seems to grasp the reality of this situation, but if you have ever caught Jay Leno and his Jaywalking segments, you can understand just how stupid many are.

To: jttmab who wrote (19795)	10/5/2005 11:50:17 AM
From: Sun Tzu	Read Replies (1) \| Respond to of 20773

Excellent! You can run a marketing campaign for me any time. I have sometimes wondered if at a point in future those who 'know' will first move their assets out of USD and then get out themselves, leaving the lower social classes with the bill for the national debt. Someone could write a futuristic horror story about a world in which thanks to the magic of globalization US has become a developing nation on par with India and China and nobody wants to live or migrate in US because he'd be burdened with too much national debt. The basic story line would go like this: Meanwhile, big multinational corporations on whom this debt was spent on in the first place have decentralized and with workers in all the 'wage competitive' nations and their executives and HQ in tiny tax haven islands...this is of course already happening, but few people have woken up to it yet. The missing link in all this is that US can always pay its debt because it is denominated in USD. So the Fed can simply print more paper. I don't think this will go on for much longer after developing nations, specially oil producers, start selling oil in other currencies, say EU or JPY or RMB. What will the Fed do then? What will it do when foreigners stop financing the debt? For a while, it can raise interest rates to make it more attractive. And for a while, Pentagon can invade any country who 'declares an act of war' by not taking in USD. Both of these have been going on for while too, but they can't go on forever. So my guess is that eventually a 'national campaign' against foreign debt will ensue and some politician will start 'buying' our foreign debt. That will be a euphemism for printing more paper for the poor Americans who did not leave the country. This will make the country very unstable. Which in turn would bring about some "strong" leader who'd claim the world owes the US for saving it against the Nazis and Commies and the Jihadists and whoever else it will be after the Islamists are 'defeated'. And so now is the time for the world to pay back the empire...this is also known in the trade as asking for protection money. Where we'll go from there, I will leave up to you to fill the rest of the story. just some thoughts... ST