China or US wouldn't gain anything from a mutual war. Now China and Russia, that is something else. Overcrowded China with depleteing resources, almost totally empty resource rich Siberia. Gainers would include China, US and just about any neighbor of Russia, all of whom have a very violent and oppressed history with Russia. Pity about the russians, but they're drinking themselves to death over 500,000 per year, they can do with less land. The eurasian continent could be a much more balanced place afterwards.
Did SA inspired you to write this non-sense? No future (worse than for the US) entitlement obligation problems for Europeans whatsoever. Europe-bastion of fiscal responsibility.LOL. Why are Brazilians so fucked up in a head??? Could it be the frustration over impotence of Brazil relatively to its size???
Cesko, nice to hear you are so optimistic about delivering on the US national debt. You certainly have the working spirit... Actually, I am European - just living in Brazil for the moment. As such, I remember quite a few European countries struggling with debts, but turning it around. Hard work, but it was doable. It will be interesting to project how long or how the US are going to pay their debt. What do you think is realistic, and have you given it some thought?
NYT 1999: Fannie Mae Eases Credit To Aid Mortgage Lending The New York Times | 1999 | By STEVEN A. HOLMES In a move that could help increase home ownership rates among minorities and low-income consumers, the Fannie Mae Corporation is easing the credit requirements on loans that it will purchase from banks and other lenders. The action, which will begin as a pilot program involving 24 banks in 15 markets -- including the New York metropolitan region -- will encourage those banks to extend home mortgages to individuals whose credit is generally not good enough to qualify for conventional loans. Fannie Mae officials say they hope to make it a nationwide program by next spring. Fannie Mae, the nation's biggest underwriter of home mortgages, has been under increasing pressure from the Clinton Administration to expand mortgage loans among low and moderate income people and felt pressure from stock holders to maintain its phenomenal growth in profits. In addition, banks, thrift institutions and mortgage companies have been pressing Fannie Mae to help them make more loans to so-called subprime borrowers. These borrowers whose incomes, credit ratings and savings are not good enough to qualify for conventional loans, can only get loans from finance companies that charge much higher interest rates -- anywhere from three to four percentage points higher than conventional loans. ''Fannie Mae has expanded home ownership for millions of families in the 1990's by reducing down payment requirements,'' said Franklin D. Raines, Fannie Mae's chairman and chief executive officer. ''Yet there remain too many borrowers whose credit is just a notch below what our underwriting has required who have been relegated to paying significantly higher mortgage rates in the so-called subprime market.'' Demographic information on these borrowers is sketchy. But at least one study indicates that 18 percent of the loans in the subprime market went to black borrowers, compared to 5 per cent of loans in the conventional loan market. In moving, even tentatively, into this new area of lending, Fannie Mae is taking on significantly more risk, which may not pose any difficulties during flush economic times. But the government-subsidized corporation may run into trouble in an economic downturn, prompting a government rescue similar to that of the savings and loan industry in the 1980's. ''From the perspective of many people, including me, this is another thrift industry growing up around us,'' said Peter Wallison a resident fellow at the American Enterprise Institute. ''If they fail, the government will have to step up and bail them out the way it stepped up and bailed out the thrift industry.'' Under Fannie Mae's pilot program, consumers who qualify can secure a mortgage with an interest rate one percentage point above that of a conventional, 30-year fixed rate mortgage of less than $240,000 -- a rate that currently averages about 7.76 per cent. If the borrower makes his or her monthly payments on time for two years, the one percentage point premium is dropped. Fannie Mae, the nation's biggest underwriter of home mortgages, does not lend money directly to consumers. Instead, it purchases loans that banks make on what is called the secondary market. By expanding the type of loans that it will buy, Fannie Mae is hoping to spur banks to make more loans to people with less-than-stellar credit ratings. Fannie Mae officials stress that the new mortgages will be extended to all potential borrowers who can qualify for a mortgage. But they add that the move is intended in part to increase the number of minority and low income home owners who tend to have worse credit ratings than non-Hispanic whites. http://www.freerepublic.com/focus/f-news/2086781/posts
<object width="425" height="344"><param name="movie" value="http://www.youtube.com/v/81qgOzEnVXM&hl=en&fs=1"></param><param name="allowFullScreen" value="true"></param><embed src="http://www.youtube.com/v/81qgOzEnVXM&hl=en&fs=1" type="application/x-shockwave-flash" allowfullscreen="true" width="425" height="344"></embed></object> new$, John W. Whitehead is a conservative Christian who founded the Rutherford institute - and he mention the dangers of "fascism with a smile" and a necessary police state - as warned by Bertram Gross as early as 1980 in his book "Friendly Fascism - The New Face of Power in America". http://en.wikipedia.org/wiki/Bertram_Myron_Gross Of course with the Iraq veterans being posted for "domestic use" in the US, he was grossly mistaken... There is no totalitarian or authoritarian government in the United States - land of the free and home of the brave ... right? http://en.wikipedia.org/wiki/Ingsoc We know that no one ever seizes power with the intention of relinquishing it. Power is not a means, it is an end. One does not establish a dictatorship in order to safeguard a revolution; one makes the revolution in order to establish the dictatorship. The object of persecution is persecution. The object of torture is torture. The object of power is power.
US can pay back the debt any time they want. They only owe China like 1 trillion dollars, and i think US annual revenue is > 9 Trillions.
IMO that's the wrong way to look at it. Neither side is a "chump", they're joined at the hip by opposite sides of the same coin. With the close ties in export and the pegged currency, China is in practical terms the 51st state. We imported consumer goods and exported jobs and inflation, which for a while there worked quite well at masking the ludicrous growth in money supply. Both sides got what they wanted - win-win while it lasted. But there is no question that for the near-term US and China economies are extremely tightly linked. It's not a coincidence their market has gone down the crapper since Bear...