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bio website wrongnotes.blogspot.com
location Atlanta, GA
age 38
visits member for 3 years, 4 months
seen Oct 22 at 14:23

Jul
14
awarded  Yearling
Jun
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awarded  Critic
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revised Please Explain the Debt to China
Factual error corrected
Jul
14
comment Please Explain the Debt to China
The pegging of the yuan to the dollar thing complicated the answer because you have to explain foreign currency differences and how that affects prices on goods. I couldn't tie it up into a simple explanation so I left it out. Plus this is just a short primer if you really want to learn more you need to do more investigation. I think though this answer let's everyday people roughly understand the topic to follow along with global financial news.
Jul
14
comment Please Explain the Debt to China
Fair enough. It's a very simplified explanation. I'll give you that Joshua. We would be getting poorer if the moneys America owned were fixed. But they aren't. In fact our GDP continues to grow despite having all this debt. The debt we have reduces potential growth by a little, but we continue to grow by 2-3% / year. So if we're growing we aren't really getting poorer right? The real problem with debt is the sustainability of it. How long can we keep selling debt to pay our debts without raising taxes on its citizens? Nobody knows, but we are reaching close to owing what our GDP is.
Jul
14
comment Please Explain the Debt to China
Here is an interesting article about how this game of chicken is playing out. They've both screwed themselves by pandering their constituencies and whipping up the troops over something that shouldn't be this big of a deal. Don't get me wrong we really need to stop raising the ceiling, but now is not the time to think about standing our ground. This is a long term thing that has to be planned. articles.cnn.com/2011-07-11/opinion/…
Jul
14
comment Please Explain the Debt to China
Well it has to happen and that creates a perfect place to get what you want. They have to raise the debt ceiling therefore holding it hostage and you can demand a lot of shit. Because they have to pass it they are acting like they aren't going to let it happen so they can take out federal funding for abortion, the national parks, education, and other ideological funding cuts that don't really fix the real problem of US overspending. If they really wanted to stop over spending they'd have to cut things that will hurt their chances of being re-elected. No one Repubevil or Democrap will do it.
Jul
14
awarded  Teacher
Jul
14
revised Please Explain the Debt to China
added 11 characters in body
Jul
14
awarded  Editor
Jul
14
revised Please Explain the Debt to China
added 11 characters in body
Jul
14
answered Please Explain the Debt to China