Posted on 11/15/2009 3:32:12 PM PST by Pan_Yan
President Barack Obama has promised Asia's creditor nations that Washington will not let US borrowing spiral out of control, vowing a major drive to cut the budget deficit and restore global confidence in the US dollar.
"As the economy recovers, I intend to take serious steps to reduce America's long-term deficit," he told the Asia-Pacific Economic Co-operation (APEC) forum in Singapore. "Debt-driven growth cannot fuel America's long-term prosperity."
The assurance comes amid growing doubts across the world over the wisdom of White House spending plans. The US Congressional Budget Office expects the deficit to remain around $1.8 trillion (£600bn) as far ahead as 2019 under current plans, pushing the US national debt into the danger zone.
China, Japan, and other Asian states with large holdings of US Treasury debt fear that Washington may be embarking on a course that will lead to "stealth default" through dollar debasement and creeping inflation. The public mood in the US has also been shifting as the Republicans score points with calls for a return to fiscal rectitude.
The US deficit reached $1.42 trillion in the fiscal year of 2009 and it is expected to top $1.5 trillion in 2010, roughly 10pc of GDP.
APEC leaders said the world economy would never be the same again after the financial trauma of the last year. "The post-crisis landscape will be different. We need a fresh model of economic integration. We cannot go back to 'growth as usual'," they said.
[snip]
Mr Obama gave warning to Asian exporters that they must stand on their own feet in the future rather than feeding off US markets. "We cannot follow the same policies that led to such imbalanced growth.
(Excerpt) Read more at telegraph.co.uk ...
The president apparently thinks that Asian investors can’t read American political and economic news. Especially the Chicoms. As Arthur Jensen would have said to Howard Beale, what do you think their bond traders talk about in their meetings? The Little Red Book? They look at the trade figures and the money supply just like we do.
The list, ping
U.S. NATIONAL DEBT CLOCK
The Outstanding Public Debt as of 16 Nov 2009 at 12:33:43 AM GMT is:
|
|
The estimated population of the United States is 307,294,010
so each citizen's share of this debt is $39,060.85.
The National Debt has continued to increase an average of
$3.85 billion per day since September 28, 2007!
I seriously doubt he meant those words for the Chicoms. Those were for public consumption. If you recall during the election one of his staff told the Canadians in private "Don't worry about his public statements on NAFTA." I'm sure he is telling the Chicoms something completely different in private.
Then again, maybe he feeds them the same crap in private. Who knows?
So if I can come up with $156,243.40 and pay off my family’s share now can I stop paying taxes on my share of the debt for the rest of my life? And my wife’s life? And the kids?
Thanks for the laugh!
Get ready for the taxes. BOHICA!
Gold spiked up on the open and was last $1123.40/oz, so Asian investors are laughing at him, too.
Will not?
He was on teleprompter. He did not stutter.
We have a global economy. I don’t think they are laughing. If people think the recession that we are ‘coming out of’ is bad just wait until the sucker rally ends. Lots of smart money is already very quietly backing out of the markets. In a day, week or month the little guys are going to watch with horror as their retirement funds give back everything they have gained since March and then some.
Obama knows what he is spending. what this means to me is he plans to raise taxes big time.
APEC delegates must have peed on themselves from laughing so hard. What a mess.
And print money.
And our former financial allies believe this lying sack?
Into the crapper we all go... weeee! weeeeeee!
"I'm pretty sure they'll believe me -- wouldn't you?!?"
Immediately, TOTUS burst into flames from the complete reality shattering ridiculousness of the statement.
You are right...Who could possibly believe anyone in Asia would give a rats arse if we borrow anymore??? They already own us, so who could imagine anyone of any authority in Asia would even pose such a PR type question...
This is a floater being put out to the press to get them to send signals to generate a reaction...
Watch the opening bell tomorrow...
We’ll have a nice little selloff before the end of the day...
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