The US cannot pay its debts in today’s dollars so hyper inflation is inevitable

Although this economic assessment of the US comes from the Left and the solutions it offers comes from those on the Left. The facts and figures presented are true.Obviously the US has spent itself into economic disaster. Where I would differ is that higher taxes and pulling out of the world is not going to solve the problem. We are way past the point of no return. The future obligations of the US can only be paid in dollars that are worth far less than they are today.

That means the next few decades will see a period of hyper inflation in the US where wages and investments will not keep up with the cost of living. It will not be called a depression because prices will rise. Yet, it will have the same impact as a major depression on everyone. Prices for everything will rise much faster than income. Paper money not backed by something tangible will rapidly lose value worldwide.

The US will not pull out of all the areas of the world to save money. It will pull out of the world because it will not have the money to maintain a profession military anywhere in the world. Even military order at home will be done via conscripts.

There is no easy answer for this debt problem. Smaller government obviously would help if there were even a ray of hope of turning this thing around without the collapse of the dollar but there is no such hope.

The reality is that a collapse of the world economic system is only a matter of time. The only hope will be to start all over again with a new currency and new system. Of course doing that would wipe out most assets as well as most debts. Think about what that will mean to you.

Perhaps under the next economic system we will live within our means but I figure the next system will be globally and dictatorially controlled.

clipped from www.atimes.com the United States finds itself in the anomalous position of being unable to pay for its own elevated living standards or its wasteful, overly large military establishment. Its government no longer even attempts to reduce the ruinous expenses of maintaining huge standing armies, replacing the equipment that seven years of wars have destroyed or worn out, or preparing for a war in outer space against unknown adversaries. Instead, the Bush administration puts off these costs for future generations to pay - or repudiate. This utter fiscal irresponsibility has been disguised through many manipulative financial schemes (such as causing poorer countries to lend us unprecedented sums of money), but the time of reckoning is fast approaching