Our $8 trillion debt is also a national security threat with nations that we do not consider friendly buying up our debt leading to a very real possibility of economic warfare. In the last three years, foreign nations and individuals have bought up 80 percent of the increase in debt to a level of 37 percent of the total debt. China holds about 10 percent of the foreign debt. Those are '03 numbers and the debt hasn't gotten any smaller. I don't consider that a good thing.
The bigger question is how did we get here? How did we get from a country that owned its own money to one that rents it from a private, for profit, unaccountable group of foriegn investors? The Dems who hatched this monster called the "Federal Reserve Bank" did it to facilitate socialist policies of gov't handouts, which are unconstitutional because of the taxing/funding clause in the constitution. With a 'flexible' money system, you can get around this pesky little clause.
Steve you are confusing the national debt (which can NEVER be repaid) with the annual budget deficit, which can be balanced by matching spending with revenues. Two different things. Deficits are a part of a flexible monetary system, which monetizes debt as currency.
To get a grip on how large a deficit actually is, you have to compare it to GNP or GDP. In that context, todays deficits are not very large. During the second world war years, the government spent on average 157% of GDP on the war effort. These were the largest deficits ever, even though by numbers they were smaller.
The national debt (different thing, remember) has ALWAYS been owned by foreigners. Mostly old British and German super wealthy families. Recently (back in the 80's, IIRC) some of the European investors sold out to a group of Japanese investors.
This particular topic can get very deep and scary. It is definitely a 'rabbit hole'. Follow it if you dare. If you do, you'll likely change your views of 'liberals' and 'conservatives' real vs hidden agendas completely and forever.
Jimbo
