[LifeTrek]

Got your point - but as long as investors continue to buy bonds this analysis is flawed as well.

The true danger - the threat of investors (non US Citizens even) having more power over government policy then the electorate. After all these are loans and although they can't be called the refinance of these could be "contingent" upon policy changes.
DKK

[PersonalLiberties]

I am in the process of trying to educate myself regarding these matters; i.e., debt, deficits, inflation/deflation, etc. (hey a FReeper who admits to not knowing everything) . . .

anyway I do not normally quote from the bible by there is a Proverb that says the rich rules over the poor and the borrower becomes the lender's slave. Debt has to be paid off eventually and while one is working to service that debt he is basically working for the lender.Congress continues to spend. The US continues to be financed by foreign countries. More and more of the wealth of this country will be paid to service the debt and at some point things will no longer be sustainable. Then what? I don't see they end result being very good.