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Oh the irony...

Foreign companies will stop lending to the US and your economy will stagnate, basically like most of the developing world, no one is desperate to lend money to South Sudan for example.

I joke about other countries being able to collect, but in utter desperation the U.S. could go on the attack.

I only give that **** like 10 more years. China isn't playing games. They are building up like it's the cold war and no one else was invited.
 
I joke about other countries being able to collect, but in utter desperation the U.S. could go on the attack.

I only give that **** like 10 more years. China isn't playing games. They are building up like it's the cold war and no one else was invited.

Why do you think you are in Iraq? WMD? A human right regime? bwahahaha! CASH! CASH! CASH!!!
 
Why do you think you are in Iraq? WMD? A human right regime? bwahahaha! CASH! CASH! CASH!!!
No. A cash grab would look way different than what we did. It was more long game than cash grab.
 
Foreign companies will stop lending to the US and your economy will stagnate, basically like most of the developing world, no one is desperate to lend money to South Sudan for example.

What happens if we don’t pay like ever?

I know if I don’t pay my mortgage I will be removed from the house and the bank will take it.

Does someone evict Americans from America? Who do we make these payments to as a country?

The thing about someone owing you money... you have to be able to collect.

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You want your money? Come and take it!

China is absolutely working on gaining the ability to "collect" no two ways about it.

Russia will ultimately be an also-ran.

This line of reasoning is so completely backwoods and grossly misunderstanding of basic currency details.

-China can "collect" any time they want under the arrangement they bought UST under.

-US [bold]WANTS[/bold] China to "collect", "dump" or whatever other improper characterization of the action you prefer.

-US doesn't need foreign entities to loan us money. We want them to so we can export inflation. We have gotten a higher standard of living by doing so.

-foreign reserves denominated in USD can be traded in the international market at any point in time for USD. If China were dumb enough to dump their entire holdings all at once the Federal Reserve would simply buy them all to maintain market stability and we would go on with business as usual, for the most part. I mean, our foreign policy stances and economic decisions would get altered, but for you and I there wouldn't be much noticeable difference day-to-day.
 
BTW @Rubashov I'm always interested in an Aussie's perspective on your economy being leveraged to Chinese growth, and how much really. Fortesque alone deciding to build massive ore mines was nutty to many, let alone the entire Pilbara going gangbusters. One company dumping 80 million tons onto the market in such a short time and constantly upping their massive goals? That was beautiful.
 
BTW @Rubashov I'm always interested in an Aussie's perspective on your economy being leveraged to Chinese growth, and how much really. Fortesque alone deciding to build massive ore mines was nutty to many, let alone the entire Pilbara going gangbusters. One company dumping 80 million tons onto the market in such a short time and constantly upping their massive goals? That was beautiful.

Its more of a regional thing, Melbourne and Sydney have seen an increase in cost of living in small part due to the mining boom but i think that has a lot more to do with the relatively low cost of money and the large retail monopolies being able to take advantage of high wages. The two major cities in which most of the population live really didn't see much change from the mining boom, except maybe a higher value on the dollar which made travel more affordable and exports less competitive.

But sure the Western Australian economy is really struggling after their boom time, and parts of Northern Queensland, no one has really acknowledged that we have squandered the mining boom as a nation and failed to address structural issues in our economy. Our next banking crisis will be interesting.
 
An American President not rushing to Australias aid in violation of ANZUS would be extremely damaging to their party and to other treaties the US holds.

Australia is one of 3 nations held in particularly close regard. Right there with Canada and the U.K.

The Anglosphere is real.

As we should but I still don't trust it, Australians have fought next to Americans in all wars since WW II. (don't think Yanks and diggers fought together in france in WW I tho) I'm a firm believer that America will only come to our aid if it passes a cost benefit analysis.
 
This line of reasoning is so completely backwoods and grossly misunderstanding of basic currency details.

-China can "collect" any time they want under the arrangement they bought UST under.

-US [bold]WANTS[/bold] China to "collect", "dump" or whatever other improper characterization of the action you prefer.

-US doesn't need foreign entities to loan us money. We want them to so we can export inflation. We have gotten a higher standard of living by doing so.

-foreign reserves denominated in USD can be traded in the international market at any point in time for USD. If China were dumb enough to dump their entire holdings all at once the Federal Reserve would simply buy them all to maintain market stability and we would go on with business as usual, for the most part. I mean, our foreign policy stances and economic decisions would get altered, but for you and I there wouldn't be much noticeable difference day-to-day.

So what I gather from this post is that the deficit is really quite irrelevant.
 
What happens if we don’t pay like ever?

I know if I don’t pay my mortgage I will be removed from the house and the bank will take it.

Does someone evict Americans from America? Who do we make these payments to as a country?
The biggest issue is being able to borrow more. If we don't pay our debts, we will stop getting credit, and considering that we have never learned how to live without a deficit we would be crippled if we couldn't continue borrowing money. It is essentially the same thing as if you were using a new credit card to pay off your old credit card. When you couldn't get a new credit card anymore, how do you continue to pay it off?
 
You mean:


See, you, the Investor's Business Daily, and I all agree! It's too soon to credit this economic gain to anything Trump has done.

I actually disagree this time around. It normally takes a while but there's no doubt his tax cuts have been a huge immediate boost. I'd have to dig up numbers but it's pretty easy to imagine businesses took a medium term outlook and planned capital expenditures. The low end no doubt got a nice gain and the middle class was helped.

Either way, we're riding the Obama wave.
 
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