[smallpoxgirl]

$this->bbcode_second_pass_quote('Bytesmiths', 'S')o you approve of reneging on your obligations? You enter into debt freely, then refuse to accept the consequences? You live high on the hog on someone else's resources, then declare bankruptcy when the bill is due?

Remind me never to do business with you!

[lotrfan55345]

While I was away for like a week, why does everyone now think that China wants to invade? Did something happen that I am not aware of? The seemingly anti-Chinese sentiment?

[Kingcoal]

Reading the posts of our friends in the UK, I have to comment on something. What the hell happened to GREAT BRITAIN? What is the fatalistic crap? China conquering the world? Yeah right! China has a hard enough time keeping order in its own country. I really wish the UK would snap out of this passive attitude and go back to being snotty, arrogant and aggressive. We Americans get tired of being the only ones anymore!

Ruling the world is not a simple process and requires a hell of a lot more than just lots of soldiers and a lowest common denominator mercantilist economy. All great empires were built not only on military dominance, but also financial and technological superiority. You need the whole package; otherwise you end up like Nazi Germany.

[Bytesmiths]

$this->bbcode_second_pass_quote('smallpoxgirl', '.').. you seriously think anyone is going to allow themselves to be occupied by a hostile foriegn government simply out of obediance to their fiscal obligations.

[lotrfan55345]

Ya mean those TERRORIST/HEATHEN moslem ppeople! OMGA!!!!1111 And some injuns and slit-eyes comin' to take ovr Amuruca! Never!!!!11!111!!!111

[Bytesmiths]

$this->bbcode_second_pass_quote('Raphael', '[')b]Uncle Sam Wants Ewe!

Baaaaaaaaaa

[spear]

Heres another scenario.Maybe the US govt in order to pay its debt to China will send the Chinese debt ridden US citizens to work in the chinese sweatshops.Something like American boat people.AKA slaves.
Maybe whoever owes money better get their act together pronto.lol.

[Bytesmiths]

$this->bbcode_second_pass_quote('spear', 'M')aybe whoever owes money better get their act together pronto.lol.

[Bytesmiths]

$this->bbcode_second_pass_quote('Raphael', 'H')elen Caldicott is a fine example of someone who uses their wisdom to direct their intellect.

[smallpoxgirl]

$this->bbcode_second_pass_quote('spear', 'H')eres another scenario.Maybe the US govt in order to pay its debt to China will send the Chinese debt ridden US citizens to work in the chinese sweatshops.Something like American boat people.AKA slaves.
Maybe whoever owes money better get their act together pronto.lol.

[Schneider]

$this->bbcode_second_pass_quote('smallpoxgirl', '')$this->bbcode_second_pass_quote('spear', 'H')eres another scenario.Maybe the US govt in order to pay its debt to China will send the Chinese debt ridden US citizens to work in the chinese sweatshops.Something like American boat people.AKA slaves.
Maybe whoever owes money better get their act together pronto.lol.

[Bytesmiths]

$this->bbcode_second_pass_quote('Schneider', 'A')rgh..why did i immediatly thought about a Canada invasion for natural ressources 8O !?

[Keith_McClary]

$this->bbcode_second_pass_quote('Schneider', '')$this->bbcode_second_pass_quote('smallpoxgirl', '')$this->bbcode_second_pass_quote('spear', 'H')eres another scenario.Maybe the US govt in order to pay its debt to China will send the Chinese debt ridden US citizens to work in the chinese sweatshops.Something like American boat people.AKA slaves.
Maybe whoever owes money better get their act together pronto.lol.

[Kez]

Ok I have thought about all the possibilities (I think) that the U.S. government will do if there is a big economic collapse. For example, if unemployment hits 10%, some banks start failing, foreclosures really start going on, and people start really complaining. I think the only thing they can do at that point is print money, give it to themselves, and hire people like they did during the great depression.

If they don't keep the economy going somehow, they won't get taxes coming in, and they won't be able to pay any benefits, social security, etc. They won't be able to convince other countries to keep buying the bonds because they are already heavy in debt and are having trouble paying everyone. They will raise interest rates, but that means they will pay more in debt payments. Since the trade deficit is huge and getting bigger, they won't be getting income from other countries. Less people out of works mean even less taxes coming in, causing a big downward spiral in everything.

So I think the only choice they will have is to print money, which means inflation is guaranteed. Is there something else the government can do to get things moving again? How else can they raise the money needed? It seems like printing money is the only card they will have left to play.

[RonMN]

IMHO they have 1 card to play before printing massive amounts of dollars. The last thing they did was create the right environment to make a housing bubble...Now they can make the environment right for a massive bull market (in the stock market, creating a stock market bubble of all time).

They way i see it...that will be the last thing they can do to buy time before turning the (dollar) printing presses to full steam!

[MicroHydro]

The collapse of the NASDAQ is too fresh in public memory. Creating another multi-trillion dollar equity bubble will not be possible for another generation. The Fed has no choice except hyperinflation.

[rogerhb]

You will find they have already been doing so. Look at the market wrapup "The Greenspan Legacy" by Rob Kirby at www.financialsense.com.

[rogerhb]

I think that a collapse has already occurred and the gov is simply printing money to keep the show on the road for as long as possible.

The handouts have been going on for ages, however you may not have noticed, they go to the corporations, not the people.

[marko]

$this->bbcode_second_pass_quote('MicroHydro', 'T')he collapse of the NASDAQ is too fresh in public memory. Creating another multi-trillion dollar equity bubble will not be possible for another generation. The Fed has no choice except hyperinflation.

[Kingcoal]

"Collapse" happened during the first energy crisis and the US adjusted to the new reality. The ace in the hole was persuading the Saudi's to keep asking for dollars in exchange for their oil. That kept the dollar from becoming worthless. Ever since that we've had a series of asset based, bubble economies. In the early eighties there was a real estate bubble that turned into a stock equity bubble that turned into another stock equity bubble that turned back into a real estate bubble.

What drove it all was the return of cheap oil during the mid eighties and the return of super cheap oil during the late nineties. Today's higher oil prices are being thrown right on the backs of third world production workers (costs are up, work harder!) Without them, America would have sky high inflation. How much longer it can all go on is beyond me.