Global Financial collapse

[TexasSP]

Originally Posted by PBO

What was so pathetically obvious pre-sub prime collapse is now like a perpetual nightmare...you cannot keep borrowing to service debt. Finance 101 !!!!

or to service deficit. If I borrowed to service deficits in my spending I would never get out of debt.

Unfortunately I don't think many will be immune to these issues. While the US is the biggest piece of the pie it's not the only. People tend to lay blame on the US quite freely but EVERYONE has been a part of this.

The really interesting part to me is I believe that China is going to take the biggest hit themselves. No different than the banks financing bad debt except for the fact no one will be bailing China out.

The problem is in our country is the people need to stop paying attention to the partisan rhetoric on both sides and start using common sense. Finances are not anywhere near as complicated as people want to make them out to be. You also simply cannot have the government bigger than the private sector and it sustain itself. This goes for all spending types. Nothing should be off the table for spending cuts. Everything can be cut to some degree.

This will take sacrifice. However, a government cannot also talk taking more revenue (tax hikes) without first proving to it's customers (the citizens) that it can get it's spending under control. No business in the world can do this and keep it's customers and a government is no different.