Thursday, January 31, 2008

Why?


I met a guy at work. He is about my age. He was born in Cuba and came to the United States in 1980. He has never been back to his home. We chatted about the U.S. and it's bizzare problem with Cuba. For fifty years we have made Cuba off-limits. We have trade sanctions. We have severed diplomatic ties. We have them on "full shun" mode. They are dirty rotten communists. Fidel is a bad person and that is that.

While we currently are indebt to "COMMUNIST" China to the tune of 400 billion dollars. The trade disparity is of epic proportions. Their human rights policy is disgusting. Yet if they chose to they could destroy our economy. Not by calling in the debt, but merely by turning off the "loan faucet". Mortgage rates would explode. Money would become very expensive.

Or they could shut off the amount of goods they sell to the U.S. and the laws of supply and demand would cause significant inflation. Granted they are making so much money from the U.S. that these scenario's are highly unlikely. But shouldn't it be a concern that another nation could literally crush us from within by destroying our economy? Granted we are trying pretty damn hard to destroy our own economy right now.

Question?: didn't we drive the Soviets bankrupt by driving them to spend beyond their ability?

No comments: