Thursday, December 16, 2010

Could the U.S. government default on its National Debt?

To read an article by Dominick T. Armentano, professor emeritus in economics at the University of Hartford (Connecticut) click here.

Barack Obama, with his continuation of the Bush tax cuts for millionaires and billionaires, is adding $865 billion dollars more to the U.S. National Debt.

Will the Chinese continue loaning us money to finance a debt that is, right now, at unsustainable levels? What happens if the Chinese say: "Solly, we can't lend you any more money" The stock market will crash faster than you can say supercalifragilisticexpialidocious and Depression 2.0 will be playing at a movie house near you. America would be, in effect, bankrupt.

Thank the politicians of the Republican and Democratic parties for our current state of affairs. We will not be able to blame communists or socialists. It is the capitalists who are bankrupting and destroying the USA.

Related story: House puts Obama tax deal on ice -- for now

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