Unchecked Debt Threatens US Security - Nov. 19/2010 (4min.)

[LargoWinch]

"The best looking horse in the glue factory"


BTW, who said we needed to "finance" the military. Here is a novel idea; cut all of it first. - LW

Runtime: 4min.

[oddlots]

Re: Unchecked Debt Threatens US Security - Nov. 19/2010 (4min.)

Yeah that's a killer phrase. But the joke, of course, is that the Chinese are still relatively screwed while the US still has an ultimate advantage: it can regulate the value of past Chinese actions while the Chinese area already committed (they've already thrown their weight) and so can only have an incremental "edge" to wield, so to speak. So I don't take seriously the scare tactic of "China sells bonds."

What causes the cognitive dissonance for me is how people like this will discuss the situation as if the dollar is any other currency. Of course there's no advantage, in the context of a discussion of basic fiscal responsibility, for such a fact to surface. But there's a bizarre surreality to the whole thing. I'd sort of like to see a headline like: attendees of conference on American fiscal responsibility suffocate in ballroom as QE2 releases cloud of debt they are allergic to.