Government's unpayable debts?

Discussion in 'Economics' started by vrothenberg, Jun 12, 2009.

  1. It looks like the U.S. government keeps borrowing money from foreign investors with no intent or ability to pay it back.

    My question is: how would I capitalize on this notion? Would I short bonds? T-bills? I'm relatively new to trading so I'm not aware of all the nuances and intricacies of the loan market. But it seems logically impossible for the U.S. to keep this up forever. The only way I can see this as not happening is for Congress to balance the budget (which is impossible for the next few years under Obama's 'rescue' plan) or China keeps lending indefinitely.

    Have investors already reached a consensus on this?
     
  2. what about O's pay as you go plan???

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    now for every minute you talk on the pay as you go plan, 30% of the fees charged on your account will be donated to non profit organizations that are active in fighting testicular cancer, go green now, help save animals specially household dogs by coloring your balls green so your dog stays away from licking them
     
  3. From Obama's pay as you go plan on MSNBC as of June 9: "The House and Senate already have their own PAYGO rules, but have routinely found ways around them. For example, a bill to effectively double GI Bill education benefits was enacted last year because of a loophole in congressional rules."

    Wow, I laughed way too much at that.
     
  4. how can you not have faith in O's plans

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    wtf, it wasn't supposed to be funny, I'm just sick of all the stupid nonsense they put together to push the meaningless 'go green' shit
     
  5. I'd like to see the criteria for "Going Green". Of course that's impossible, cuz it's just like a degree in Education.
     
  6. Buy TBT.
     
  7. Here are the rules...The government is allowed to benefit from their own ponzi scheme. You are not....well you are...but not if the government loses big. There are things you can do that seem like they will make you alot of money from an economic collapse, but do not think the government is above taking your brokerage account if you made too much money from the collapse. Dont think that the government can not take your house, bank account, or whatever else suits them. Just ask any rich man that lived in cuba in 1959 when they went communist (like the way we are heading) Or dont think bank wont shut down one day so you cant take your money out of the country. (like in argentina 10 years ago) Or that your cash wont become worthless (like in the soviet union 20 years ago)

    Physical silver and gold are the only things that can hold their value, that can be easily hidden, that cant be taken away with any great ease by the government.

    We are all playing a game of chess with uncle sam right now. You can look at him and think he is only thinking 1 or 2 moves ahead, but he is thinking 4 moves ahead of you...thats why you gotta think 5!
     
  8. Government interference with contract law in this administration is unprecedented. Beware, the above OP comment is not something to be dismissed.
     
  9. Okay... Well, let's assume the U.S. still has a financial market when shit hits the fan. What would I invest in to capitalize on weakness in Chinese or Japanese demand for Treasuries?