Domain: tiger-web1.srvr.media3.us Here's a good analysis of the world economic collapse. | Money Talk
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Here's a good analysis of the world economic collapse.

Posted on 6/6/10 at 10:42 am
Posted by tigerpawl
Can't get there from here.
Member since Dec 2003
22628 posts
Posted on 6/6/10 at 10:42 am
World Economic Collapse

This post was edited on 6/6/10 at 8:14 pm
Posted by Tigris
Cloud Cuckoo Land
Member since Jul 2005
13082 posts
Posted on 6/6/10 at 12:26 pm to
That is great.
Posted by lnomm34
Louisiana
Member since Oct 2009
12702 posts
Posted on 6/6/10 at 4:28 pm to
(no message)
This post was edited on 2/5/25 at 5:32 am
Posted by davesdawgs
Georgia - Class of '75
Member since Oct 2008
20307 posts
Posted on 6/6/10 at 5:45 pm to
And the last question is why would China buy any additional U.S. debt knowing we are broke and can't possibly pay them back?
Posted by samisrael
kicking it with Dan Marino...
Member since May 2010
69 posts
Posted on 6/6/10 at 6:05 pm to
Because we have the percieved credit rating that allows us to roll over debt with new issues. Just think about the commercial paper market.

With that being said, the United States is no where near AAA.
Posted by kfizzle85
Member since Dec 2005
22022 posts
Posted on 6/6/10 at 9:13 pm to
China buys US debt to support their export economy and hold down the yuan, not because they are trying to get a return on their investment in dollars. The US isn't ever outright defaulting, we'll just print till there is no more trees left. The only way for China to counteract that is (surprise!), to buy more dollars. Decoupling might be the stupidest theory I've ever heard, the US and China are joined at the hip now.
Posted by tigerpawl
Can't get there from here.
Member since Dec 2003
22628 posts
Posted on 6/6/10 at 9:35 pm to
quote:

the US and China are joined at the hip now.
Don't forget the UAE and the Big Crazy in Venezuela. They are sucking money out of the US at alarming rates and using it to buy large positions in US companies. China and OPEC countries will have us by the gonads soon.

OPEC has already tested the upper limits of our fuel-price tolerance. We will see $5 gasoline sooner than later.
Posted by kfizzle85
Member since Dec 2005
22022 posts
Posted on 6/6/10 at 9:46 pm to
Co-dependence =/= having someone by the gonads.
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