The Chinese Debit
The Untied States and China have a very sick relationship that needs to be fixed. What should scare the U.S. is China will fixing it first. The U.S. owes a crap load of money to the Chinese, but we are the biggest importer of Chinese goods. By loaning the U.S. government money to fund it's projects, it doesn't have to raise taxes. Not raising taxes leaves more money for U.S. citizens to spend on Chinese imports.
China is working hard in other parts of the world, trying to development new markets. When they hit the point where more goods are being shipped everywhere but the United States expect them to come due with the bill.
Oh yes. With interest and your government, like ours, will have already sold off the silver to gamble on something else.
Posted by The Gray Monk on January 27, 2010 at 10:31 AM PST #