[Rebelbase]

Can you explain the implications of this in better detail? The comments up to now see to imply that massive debt is no issue and is of no concern.

[TheDon]

[taxed2death]

"Can you explain the implications of this in better detail? The comments up to now see to imply that massive debt is no issue and is of no concern."

The simple version goes something like this:

The people / governments buying up US debt can not call in the debt. If they do, it will bust our bank. If that happens, they won't get paid. The best they can do is to make money off of the interest, thus prolonging the inevitable. See the beauty of this ponzi scheme?

"Elegant simplicity" at it's best.

Uncle Sham is Da Man!

[Drammach]

Short and Sweet..

The Fed is doing what it does best..
Spending "Other People's Money"..

The Debt, of course, is no issue and of no concern..
Congress doesn't have to pay back anything, just spend..
Their spending (and borrowing) is based on imaginary estimates of future productivity...
None of those estimates are necessarily realistic or accurate..
One can assume that productivity will increase in at least some sectors of the american economy in line with advances in technology..
But failure to educate the citizenry well enough to actually hold down those jobs means more work visas for properly educated foreigners to come in and do the work, or outsourcing the work to places like India..
Result: Rising Unemployment, larger Welfare Rolls, and less contributions to Social Security funds..
Debt increases.

But like was pointed out already, we owe so much to so many, they can't afford to let us go bust..
It would take down the entire world economy...
So, for now, we're "safe"..
But not forever..