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


To: GST who wrote (47250)12/13/2005 11:41:51 PM
From: Broken_Clock  Read Replies (1) | Respond to of 110194
 
GST
The problem has very little to do with taxes. It is all about spending beyond one's means. Higher taxes have never helped simply because the government leads the way in spending what they don't have in the till. Other than that, I totally agree with your post.



To: GST who wrote (47250)12/14/2005 1:22:34 AM
From: John Vosilla  Respond to of 110194
 
Great thread. Who will blink first? Seems the foreign creditors need us even more than we need them in today's environment. When are the creditors finally going to demand an increased credit risk premium or inflation premium?

Perhaps the answer is here:
If China 2005 = USA 1929 and USA 2005 = Great Britain 1929 won't China suffer even more initially than the US next downturn and force a massive liquidation of US treasuries taking interest rates sky high no matter what the fed does?