Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: bentway who wrote (267723)	1/9/2006 10:56:26 PM
From: combjelly	Read Replies (1) \| Respond to of 1574103

"They hold 800 billion of our debt NOW. They'd be NUTS to keep buying our bonds." It is a complicated dance. If they stop buying, then the US economy crashes. Think stagflation. Think misery index. But if the US economy crashes, we stop buying. So China's house of cards comes down. The leadership loses the mandate of heaven and China breaks up and the warlord model becomes their future. Personally, I think that they are using their control over our debt to push back those who want to reform China's economy to favor the US more. Of course, at some point, it will be time to fish or cut bait, but that time isn't yet. Bush has put us into this game of brinkmanship. The only touchstone we have for this is the 1920's. And that didn't turn out so well...