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yes it is worrying
I read various articles in Asia Times talking about the USA' financial situation, and it was grim reading.
Essentially USA GDP is $10trillion.

National debt is going to be $8tn soon. Consumer debt is $8tn. In addition to that there is a $51tn hole in Government Pensions schemes / Medicare / MedicAid.
The US prints $1.5 tn of new money per year (deflationary and another foolish way for governments to 'generate' money when the tax isn't enough), and including 'off-budget' items, the annual defecit is closer to $1tn than the much talked about $470bn.
US corporation debt I think is something like $38tn.
So total US debt (inc medicaid etc) = 8+8+38+51 => $115tn. 11.5 times GDP, which is a lot in my book.

On another disturbing note, $180tn is invested in derivates, a notoriously unstable market. If the dollar or interest rates do something unexpected this "wealth" could disappear. The economists seemed to think this was a bad thing. I'm not sure really why, but I'm guessing they are right.

Apparently in recent months Central banks across the globe have been selling dollars and buying euros, to reduce their exposure. Russia's central bank used to have a reserve 100% in dollars, now they're moved to 50% euros.

China and Japan have the largest dollar reserves. Either one could destroy the US economy by selling just a fraction of their dollars. The economists thought that both countries buy so many dollars, that if china or japan were simply to stop buying dollars, this would be enough to collapse the US economy.

If any of this is true (and it appears to me that it is all true), then the US is on an absolute knife-edge economically, and this therefore goes for the rest of the world.
I wonder what genius thought that the Iraq oil reserves would pay for the war? (maybe the guy who's run off with $9billion of it).

In the context of the overall US financial situation, it seems to me that the Iraq war was probably not the best thing to do in the circumstances.

How prudent Bill Clinton looks now, paying off the national debt.
Posted by: hipparchus2000   Posted on: 01/31/05 You are currently: a Guest | Members login | Terms of Use
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You never know  Bill4 | 01/28/05
Los conquiscadores!! (NT)  Hugh Jass | 01/28/05
Bwahahahaha!! Precisely dude!  Jeff Spicoli | 01/29/05
Just more evidence  frgough@... | 01/29/05
Yeah, just like temp troop takeup, temp "Patriot" Act..  Jeff Spicoli | 01/29/05
ENOUGH IS ENOUGH!!!  Linux User 147560 | 01/28/05
RE: "ENOUGH IS ENOUGH!!!"  ajapierce | 01/28/05
So kill the rich  Linux User 147560 | 01/28/05
Carp happens!  Roger Ramjet | 01/31/05
I like the flat tax idea also.  el1jones | 01/29/05
Look at the numbers  seosamh_z | 01/29/05
Bill Gates SS  maxo_z | 01/29/05
Isn't that what SS does to the rest of us?  enduser_z | 01/29/05
Thanks for making my point  seosamh_z | 01/30/05
Some points.  maxo_z | 01/30/05
As long as its a TRANSACTION tax  Roger Ramjet | 01/31/05
And you took statistics from where?  AbsolutelyNot | 01/31/05
http://fairtax.org/  sullivanjc | 01/31/05
Yes, but NOT a sales tax  Roger Ramjet | 01/31/05
sales transaction income  hipparchus2000 | 01/31/05
Not Exactly  Roger Ramjet | 02/01/05
Flat Taxes  John Carroll ZDNet Moderator | 01/31/05
TRANSACTION tax  Roger Ramjet | 01/31/05
"tax management industry is a multi-billion industry, and vested interests"  hipparchus2000 | 01/31/05
YOU WILL NOT TAX MY DATA  Jim@... | 01/28/05
Expect more taxes like this  mvaar | 01/28/05
Inevitability.  Letophoro | 01/28/05
its through indirect taxes that governments control behaviour  hipparchus2000 | 01/29/05
I agree  alan-white | 01/31/05
Yes, interesting!  Roger Ramjet | 01/31/05
You obviously have no military experience  Linux User 147560 | 01/31/05
Missed the point  Roger Ramjet | 02/01/05
set up an alternative web through WiFi  hipparchus2000 | 01/29/05
Great idea except...  Linux User 147560 | 01/29/05
huh?  hipparchus2000 | 01/29/05
I guess this is the Iraq War Tax now?  BitTwiddler | 01/29/05
No, the unborn have to pay for that (NT)  seosamh_z | 01/29/05
Yes and no my friend....for "IF" you think in SANE  Laff | 01/30/05
Realistically  seosamh_z | 01/30/05
Heh heh heh....reality? Silly....:)  Laff | 01/31/05
yes it is worrying  hipparchus2000 | 01/31/05
Go Figure...  DragonBRockin | 01/29/05
DON'T WORRY--THIS ARTICLE IS BOGUS  zippety | 01/29/05
Not gonna pass  CobraA1 | 01/30/05
What ever happened to REAL Republicans?  Laff | 01/30/05
They became Libertarians  Linux User 147560 | 01/30/05
And libertarianism is unrealistic given any concentration of wealth.  maxo_z | 01/30/05
One single tax  Roger Ramjet | 01/31/05
Would that also get rid of all fee's as well as Taxes?  Laff | 01/31/05
Nope  Roger Ramjet | 02/01/05
The tentacles of totalitarianism [NT]  Omch'Ar | 01/30/05
Internet Tax ... more indirect taxes...  gmmonko | 01/30/05
Just in time for the steamroller  Roger Ramjet | 01/31/05
Huh? What is that?  Laff | 01/31/05
The MESH  Roger Ramjet | 01/31/05
Anything that keeps Big Brother out of my life is COOL!  Laff | 01/31/05
Let's be honest here ...  mwagner@... | 01/31/05
Outside of the Liberal box  Progress_z | 01/31/05
Funny...I always thought that  Laff | 01/31/05
look at the whole picture ladyes!  webblogger | 01/31/05
we want honesty. Not these damn stealth taxes  hipparchus2000 | 01/31/05
It had to eventually happen  jwschull@... | 01/31/05
Tax What???  alan-white | 01/31/05
Congress doing a tax raise.  Ernest of Canada | 01/31/05
3% communication tax  unknownmee@... | 01/31/05
Taxing the internet?  James Mitchem | 01/31/05
When is this Tax supposed to end  D93328 | 02/01/05
Federal Excise Tax  manitto | 05/30/05

What do you think?

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