As of 2003, the average household debt in the United States was $17,283. According to the Census Bureau, the average household contains 2.58 persons. This equates to ~$6,698.84 per capita of personal debit The national deficit is currently estimated at $7,528,860,969,255.79, (and growing at the rate of $1.79 billion per day), which equates to about $25,525.67 per capita. According to the
US Census Bureau, $22,966 is the average income during the year of 2003. Combined, the total debit per capita is ~$32,224.51. This is 140% greater than the per capita income When a person exceeds their income level with expenses, that person is bankrupt. If a corporation exceeds their income to expense ratio, that corporation is bankrupt. A nation is no different. For an example, look at the collapse of Argentina. That very scenario appears to be more probable every day.
If, (when), the several nations that we have borrowed against demand payment, we will be no better off than Argentina was in early 2001. This added to the devaluation of the US dollar, the incredible housing bubble that has yet to pop, and a fuel supply only increasing in expense, and you have an economy more volatile than nitroglycerin. All indicators are pointing to collapse, it will only take a relatively small event for the largest economy in the world to suffer the largest recession in the world. It appears that the 1929 Great Depression is just around the corner, and this time, it will be worse due to the larger population base, larger debit, and a low value dollar.
The American economy is playing Russian roulette with a semi-automatic pistol, and the trigger is now being squeezed ever so slowly. Are you ready for the fatal shot that will kill "Mr. American Dream"? Peak oil or not, the American economy is about to collapse, and collapse with a very large impact to the rest of the globe. If the saying, "when America sneezes, Australia catches a cold", is true, then what will become of Australia when the bottom of America's economy falls out?
Here Lies the United States Of America.
July 04, 1776 - June 23 2005
Epitaph: "The Experiment Is Over."
Rest In Peace.
Eminent Domain Was The Murderer.