Another report out that the U.S. is in danger of losing our Triple-A status with lenders. The U.S. has always been the gold standard for world finance. If this happens we could see a spiral down of not only world prestige, but world power. This would be devastating to our national security and standard of living.
Also a report out that China is on the verge of a financial disaster. China holds almost $1 trillion of the $14 trillion of U.S. debt. We are not even close to being on an economic rebound. Companies and industry as a whole view the Obama and Congressional economic and tax policy proposals as inept and ill conceived. You can not spend your way out of a recession, especially since there is no hard currency to back up the spending. The Feds can only contain inflation for so long before it breaks loose. A lessen to be learned comes from the German Wiemar Republic after WWI. A collapse of the economic market and high debt caused German money to become worthless. This in turn paved the way for Hitler and his totalitarian regime to gain power. The German people were looking for a savior and he was it.
Does anyone have any idea how a nation can repay a staggering debt of almost $14 trillion, when it only takes in $2 trillion in tax collections a year? Over $250 Billion a year goes to servicing that debt (which is just the interest and will continue to escalate) and the rest is used for all of the Federal programs. We saw a dramatic rise in the deficit since 2002. President Obama likes to keep blaming Bush for these deficit spending. True, President Bush did submit a budget proposal to Congress. Congress with the Democrats in majority not only passed the budget, but added to it. Seems that with all of the finger pointing, the President and Congress would get the hint that we don't want finger pointing, we want sound economic judgment and elected officials that are willing to man up and help fix the situation and not keep buying their way into office.
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