Skip to comments.The dollar – and the USA – is toast (China prepping for final collapse of America)
Posted on 05/07/2013 10:50:10 PM PDT by Perseverando
Obama has done it. He has brought America down. It only took him just over four years. The Republicans could have stopped him. They didnt.
How did the nihilistic left succeed in destroying America? Simple. They learned just a little of the capitalism they hate, and they drove your nation into outright bankruptcy.
And here is what the GOP has to say about it: just about nothing.
The once-mighty United States is now the most indebted nation on Earth. In round numbers, here are just some of the vital statistics as the patient dies:
National debt: $17 trillion, or $50,000 per man, woman and child, or $150,000 per taxpayer. Annual federal deficit: $1 trillion. Medicare/Medicaid/Obamacare: $1 trillion a year. Social Security: another $1 trillion a year. Defense: two-thirds of a trillion. Unemployment handouts: $2 billion per working day. Debt interest: $1 billion per working day. Federal pensions, ditto.
Now for the big numbers. Your governments Social Security liability is as big as the national debt: $17 trillion. Its prescription drug liability is $22 trillion. Then theres the Medicare liability of $86 trillion. Total unfunded liabilities of the U.S. government are $125 trillion.
Net assets for each U.S. citizen are $300,000. The net liability of the U.S. government, shared among its citizens, amounts to almost four times that: $1.1 million a head. And the governments debt is growing at $1 million every 45 seconds. To cover its annual deficit, it is printing $1 trillion a year of currency that is not backed by any asset whatsoever.
Here is what will happen next. When the crash comes, dont say you werent given fair and clear warning.
First, the dollar will cease no, make that is already ceasing to be the worlds reserve currency. China, as
(Excerpt) Read more at wnd.com ...
Karl Marx spent some time in London libraries reading Adam Smith only to figure out how best to smash capitalism.
Idiotic article from the fear-mongering Y2K site of 13+ years ago.
When we say FU who will collect? It’s an act of war I know, but who will collect when we can’t pay?
In other news, Congress is giving extra hundreds of billions of dollars to middle-east muslim nations. And still paying farmers to grow excess crops that won't be used. And still spending billions on energy subsidies to green companies for products that don't work. Billions to car companies to make cars in China. Not to mention increased funding for welfare abroad as well as here.
Did the memo not get sent to Congress?
Lord Monckton is pretty smart. His anti-global warming arguments have been quite impressive.
He is definitely no idiot.
I think they just may give it a shot. I doubt if Obama, Kerry, Hagel, etc will put up much of an objection.
Hey maybe Obama could sell China our nukes instead of just destroying them.
Exactly! Who is the collection agency in this case? The Chinese People’s Liberation Army (PLA)? How are they going to get here? Pack them 60 to a conex on a container ship? Half of them would die on the voyage. Then what? Japanese Fleet Admiral Yamamoto is said to have once stated “You cannot invade mainland United States. There would be a rifle behind each blade of grass.” Truer now than the 1940’s. Maybe we could sell them California or New York City.
You think that America has been brought down?!
Monkton is but one of a cast of idiots.
I like Lord Mockton’s stuff on climategate.
And his reading of the debt biz and china would be on target if it were not that the USA has been adding nearly a million barrel’s a day per year in oil production for the last three years and will do the same this year. Further all indications are that another million barrels of oil production will be added annually in each of the coming 5-7 years.
This totally reorients world wide dollar flows—just as the Chinese and others are pulling away from the dollar to transact their trades. In other words —its a wash.
Further, growth in the US economy caused by increased oil production will likely shave 200 billion or so off the US deficits for the each of next couple years. In 2013, this will mean that US deficits will still be just under 1 trillion. But in 2014, the deficit will be likely be just under 800 billion. In 2016 the deficit will be just under 400 billion.
People get this. For this reason the dollar bottomed in 2011. It has been basing for the last two years.
The next likely direction for the dollar is up.
Mockton would be better served if he spent his time advocating that the Brits mine their natural gas reserves —so as to revitalize their economy.
Sadly, yes I do. I am heartbroken about it. But yes. I don't believe that America is too big too fail. I have been fearing our pending economic collapse for at least a decade, but now I see it as unavoidable.
I believe that our government has bankrupted us.
Calling Monckton an idiot is not an argument against what he is saying. He is no idiot.
If you have any reasonable argument to support the idea that America, and Western Civilization can survive, I will be very happy to hear it.
Perhaps it is possible that a sudden awakening of our people and a shakeout of our government (not a revolution, but a new embrace of our founding revolutionary principles) will occur and save us.
But I'm not counting on it.
a lie - else prove it.
At this point I see no financial salvation, not from oil or natural gas - but there is faint hope, if this criminal government would simply get out of the way. But it won't.
This is the third article I’ve read that predicts that a financial crash with occur in the US once the dollar is no longer the international currency of choice.
30 million immigrants would reduce our per citizen debt burden by 10% or $5,000 per person.
I am in!
“Monkton is but one of a cast of idiots.”
Monkton is no idiot, but you are obviously a turkey
with head in the sand.
Yes, America HAS BEEN brought down to a level that I never imagined five to ten years ago.
God only knows where the USSA will be in another four years of Obumbo.
I’m no economist but he has a point. Why is China subsidizing us? Compare the returns on treasury notes with the rate of inflation.
They may be commies, but they knew how to use an abacus centuries ago.
Ever heard the expression, “So-and-so is a nice guy. But he wouldn’t buy a drunk a drink.”
And as Mark Steyn reminds, ‘He who owns your bonds owns your soul.’
No, this can’t end well. You can only live on credit and your looks so long.
Good post, makes people think
These days I much prefer the name of this/my Country to be known simply as the US as the Constitution declares. Attaching the A has brought much confusion as to the extension of the Nation.
Perhaps now that men Like Lord MOnkton are sounding the alarm more will get 'in the prepper mood'. ... And the negative naybob regime drones will do their best to convicne US that things are getting better under little barry bastard goon.
they can go eff themselvesif they try to collect anything from me. their gross overspnding is something i railed againstthem doing. all i got was excuses.
Let's review the collapse step by step. By the end of it we will know who the winners are.
Let's say, on day X China does some magic trick and the US Dollar ceases to be an international trade instrument. This is a very crude approximation, of course, just for sake of triggering the collapse.
Next, China holds US obligations for billions of dollars. They are not due yet, and the USA can easily repay them just with more computer-generated money. The obligations are essentially worthless at this point.
But China - and the rest of the world - suddenly declare that they won't sell anything new to the USA, except for gold. The USA has some gold, but not as much as to finance all our external purchases. You can be sure that the gold will not be used to buy frying pans in China, so that you can then buy them at Wal-Mart for your worthless USD. Probably you will never see the US gold; in best case it will be used to buy strategic supplies; in worst case it will be stolen by simply being paid to fake foreign creditors. Nobody would ever know the truth and live to tell about it.
This results in collapse of the US society. We cannot exist without oil - it drives tractors at farms, it fuels coal and natural gas mining. This collapses production of energy. The whole society briefly struggles, but then collapses. The government falls apart, with most bureaucrats leaving the country.
China and other major international players are observing the collapse. As the USA is no longer a decisive force in the international politics, new power blocs are quickly formed. They are already sketched and tacked together, by the way. They can be converted into supra-national governments after just one summit and a few signatures. Thus, the world becomes reshaped overnight, and the USA has nothing to say here. This is already a HUGE win for China, for example. What do you think will happen to Taiwan? IMO, it will surrender immediately - it has no chance. Every other country will also do what they need, and nobody will be objecting.
While all that fun is happening in the world, the USA experiences mass hunger and localized armed conflicts between smaller groups of survivors. However the country still posesses the nuclear weapons. How will the new world government(s) see that? As a threat, of course. Since there is nobody in the US territory to secure those weapons, they will be secured by adequate forces of foreign multinational troops. If those limit ourselves to the bases with nukes, nobody in the USA will even know. If a few people do learn, what can they do about a well equipped army that is holding a small territory? Not much; they don't have too much ammo, and they don't have weapons that can attack the invaders from a distance, or high in the air. With nukes secured, the USA is effectively dismantled as a world power. That is yet another gain to other members of the nuclear club.
In the next phase foreign governments start providing humanitarian assistance to the US population that remains by then. Such assistance is always coming with strings attached. The alternative is to essentially die out. Only a few farmers know how to live off the land and can convert to using animals instead of machines. Cities will not survive for long without food, water, and sanitation. So the help will be accepted - and beggars are not choosers.
So, let's summarize. For example, China worked for ten years for free, making plastic toys for the US market and being paid with worthless things. But that labor is in the past, it's water under the bridge. (Besides, China has diversified its investments; the USD is exactly where China wants it to be in their balance.) Anyway, at the zeroth second of the post-American age we have a strong and healthy China that has most of Earth's industry, lots of skilled workers, no particular liabilities, and is self-sufficient. China is also on good terms with mostly everyone. If Chinese investments into USD disappear overnight, it will only affect future profits - that will never materialize. But today nothing will change for China, except that it loses 20% of its industrial output that today goes to the USA. Since it was not paid for, this loss is actually a gain.
What will it get in return? It will become the most developed industry of the world. Not conditionally, as it is today - but unconditionally. China has workers and factories; India has workers and programmers; Russia has territory and raw materials... there is a lot of potential between those major players, if only they don't wage a war against each other. And they won't.
At the same time the USA ceases to be a force, and becomes just a remote, undeveloped territory that is up for grabs in a decade or two, when the survivors of the civil war die out. How exactly will it be shared is not so important. The remnants of the population, who may be as large as 10 or 20 million, will not be a factor in those calculations. The world will be permanently changed. Who wins from all that? Just about everyone, except perhaps Israel - but today Israel doesn't tie its future to the future of the USA. It will be OK.
Why the rest of the world will be better off? Just because the USA borrows too much wealth of the world without repaying for it. These days the USA doesn't even return what we borrow because the mass printing of the dollar devalues the existing mass of money. With the USA cut off, the world will have to invest into something else, into something that actually has positive ROI, instead of feeding tens and hundreds of millions of people on social security who do not work, do not want to work, and who cannot work even if they wanted. A formal default of a bad debtor will be not such a bad scenario.
“Attaching the A has brought much confusion as to the extension of the Nation.”
OK, I will settle for USS.
I did not, however, see anything wrong with the previous United States of America.
It IS still part of North America, but no longer resembles
the country that I grew up in.
Your fears aren't evidence that the U.S. has somehow collapsed already.
Frankly, I find your defeatism and depression to be disgusting.
Buck up, Men!
A) If China, Europe or anyone else demand gold for all US purchases, who’re they going to sell their products to? The suddenly wealthy middle class in Africa, Bangladesh and Egypt? The moon colonists? (B) China would collapse more quickly and in a worse way than we would. They have a lot more people to feed than we do.
You have a fundamental misconception of geopolitics and industry.
In 1993, the U.S. was importing 13 million barrels of oil per day.
Today, the U.S. is on track to import less than 6 million barrels of oil per day for 2013.
Work hard. Grasp that trend.
In 5 years North America no longer imports oil.
In 2013, Tesla is selling 100,000 electric cars. The U.S. has been exporting Liquid Natural Gas (LNG) since 2009.
The world is entirely different today from 2007 or before, and so is the future which you have entirely mis-predicted.
Just started raining here in New York.
If they weren't sucking as hard on the teat as they could and were actually contributing something, maybe, but when they come here to scam welfare and live off our largesse while they sit on theirs, it isn't going to work out in our favor.
Many of those readily deployable nukes are in silos, and those would be the ones to grab--but that ignores SLBMs which could 'dust off' the occupiers outside while the hardened facilities would survive to fight. The wild card is at sea.
Wow, the weathermen (and their descendants) are ecstatic beyond their dreams, as their culling of 25-millions turns out to be more than 10 times higher. And to think that their dreams were initiated in one of their living rooms.
Frankly, I do too. I wish I could see things differently. I hope I am wrong. But what I see every day tells me I'm not.
I remember this same hysteria when Japan was buying up all the real estate in Los Angeles and New York.
Ok, I buy that. But what about the growing unfounded liabilities and the cost of Obamacare.
I think the Chinese are in as much trouble as us—we are Thelma and Louise...going over the cliff together.
Any one still supporting Free Trade with Communist China....yep this is on you....
I see...would you prefer we just post from PMSNBC or the HuffinGlue Post?
Can you not post in your own words?
My 2 yr old uses U-tube for his kiddie programs, but I am not interested in political post there.
I probably was not as clear as I should have been. I do not object even at this time to calling my Country the United States OF America as this is geographically accurate. I do with negative feelings these days hesitate to calling the USA just simply America for the reason given. It makes my heart very sad and conflicted when as a veteran of WWII and with an only brother killed on Okinawa in WWII to refer to the USA as America for the reasons given. ‘America the Beautiful’ has been compromised by all those other people of the other Americas countries who have only hatred and disdain for the USA.
In discussions like this everyone forgets China would starve half its populace without hesitation.
What form of growth, here in the U.S., will cause the dollar to go up?
Hey, come on - Obama knows that purchasing votes to stay in power is very, very expensive.
It’s not about America - he couldn’t care less about America - it’s about bringing the country to its knees to generate sufficient social unrest to foment his Marxist revolution, as his idol Lenin did in Russia so many years ago.
Massive corporate taxation, limitless legal vulnerability, crushing environmental regulation and pro-Union arbitrary Government: these are why industry chooses to locate away from the USA.
Protectionism would be the final nail in the coffin. The last vestiges of American industry would be turned into feather-bedded welfare cases, and freeborn Americans would be forced to buy their stuff from the Government store.
Protectionism would also increase Government power. The Democrats will collect all of that lovely tariff money and spend it on union pension bailouts or some damn thing.
America has tied its own hands behind its back with a ludicrous knot of EPA regulations, crushing taxation and arbitrary Government (just ask Gibsons guitars).
America needs to untie those knots - not wrap itself up in more of them in a fit of misplaced faux-patriotic anger.
Its not all bad news. You guys really do have a way out. Natural gas is going to save America. But will America turn into an immoral extraction economy like Saudi, or will it wisely return to its can-do anti-statist roots?