Does America Have A Financial Calamity Coming?

[No DUplicitous DUpe]

Does America Have A Financial Calamity Coming?
posted with permission from: http://sane-ramblings.blogspot.com/2011/07/raising-us-national-debt-ceiling-for.html

In 2001 when George W. Bush became President, the U.S. National Debt was $5.7 trillion. 8 years later when Barack Obama became President, it had skyrocketed to $10.6 trillion. Now it is $14.3 trillion and growing fast.

When the President and Congress raise the debt ceiling, it will be for the 10th time in 10 years, which is not unusual for it's been raised 74 times since 1962. But what is unusual is the explosion in the growth of the debt. This explosion is caused by a runaway military industrial complex that directly or indirectly employs millions of Americans building weapons that endanger the world and have led to endless U.S. wars and over 1,000 military bases throughout the world.

Because of all the American jobs it creates, there is no serious dialogue about ending the wars, closing the bases and cutting the military spending at least in half, which is what it will take to get expenses under control. And make no mistake, we will have higher taxes and not just on the rich to pay for all this out of control military spending and its debts we've already incurred, for all of this spending has been put on the taxpayer's credit card.

What is America's fiscal policy? Borrow until it can't borrow anymore? For 30 years, U.S. politicians have been financially reckless but now our nation so deeply in debt, that if China or other major lenders close their check books the U.S can't pay its bills! The U.S. would default and our nation would be in chaos. We are doing things to ourselves that no Osama bin Laden could ever do.

Is this leadership? Who is protecting the people? What kind of future will we and our children have when our nation is bankrupt? This is not a time to posture for the next elections, but time to tell the Americans how bad the situation really is and what you as office holders are going to do about it not over the next 10 years, but now. We are all in this mess together. If we work together, we can solve it.

[sloughtermark]

1. You haven't seen anything yet...Moodys Downgrade

You haven't seen anything yet. I read on Yahoo news that Moodys is getting ready to downgrade the United States credit rating which would raise interest rates on the money that the US government borrows to pay for everything. If that happens, it'll be the beginning of the end. Check it out:

http://news.yahoo.com/moodys-warns-may-downgrade-us-credit-rating-214447495.html

[No DUplicitous DUpe]

4. From that Yahoo link you provided…

A downgrade would raise interest rates on U.S. treasury bonds, increasing the interest paid by U.S. taxpayers. It would also push up rates for mortgages, car loans and other debts, which are linked to Treasury rates.

Yikes, that would really suck if that happened.

[Fire Walk With Me]

2. Who could possibly profit from such a thing?

Those who helped create it on purpose, to own and sell the remains.

Gotta break a few eggs to make an omelette, the capitalists would say.

[originalpckelly]

3. People who've placed bets against everything.

Remember all the people who made a shit load of money back during the downturn?

That could be happening as we speak.