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U.S. Debt Default, Dollar Collapse Altogether Likely

One thing no one has covered: democratic capitalism (small d) as practiced like no where else in the world, an educated, voting middle calls (though strained), rich naturally defended lands, and a mild climate are the foundations of our wealth. Not our brains. We are not the smartest. Not our hard work. We are deffinately not the hardest working. And not luck. The Irish got that.

These are the things that, through good fortune and a couple of good decisions by those before us, got us to where we are.

Most of this will not change. But we are cutting it really close.

Meanwhile because of these things and time to build an unbeliveable amount of wealth through this good fortune, we become the engine of production of excess value. ie. profit, and an unbeatable standard of living which, along with all the above, allows the rule of law to continue.

The other thing it has done is allow us to become the worlds consumer. Most of the other nations on earth still cannot produce the excess value we produce which powers our middle class and our consumerism (which admitted got a little out of hand).

That consumerism is now the engine that drives the economies that cannot produce the excess value we produce and cannot power a strong middle class.

Unfortunatly for them, that means we buy their stuff.

As long as they want us to keep bjuying their stuff, they have to give us time payments. ie Treasuries ( and the stock of Citigroup).

Everyone has a vested interest. Unless the globe wants to call it a day and we all can go back to living in caves, we will muddle through, though they may raise our payment terms -:)