Devil Debt Will Have His Due

[MannyIsGod]

I cannot s[peak for any neocons that might be here, but as a conservative. I thing we were right to go in and spend that money.

I don't know if $700 billion is accurate, but remember, that's over 6-1/2 years now. The democrats in congress and president are trying to enact a health care plan that will be between a $1 trillion to $2 trillion deficit annually!

I have said it before. The only time we should have deficit spending is during war or recession. The government should never plan to keep us in deficit. We should pay the debt down during the good years.

The health care plan will save money - try again.

[MannyIsGod]

You really zeroed in on the chopped liver line. It just says stocks and commodities are going up and the dollar is getting clobbered. Hard to argue with what is happening right now. Did you not read the next sentence?

Did you not read the rest of the article? That line didn't mean the devil as a good thing.

[MannyIsGod]

That's only because oil is still traded world-wide in USD. It isn't a given that it always will be. True, the Euro is week as long as it has no political unity behind it, but it still trades for 1.5 dollars today. Why are central banks long and heavy on gold this year?

No, its only becasue countries back their currencies with the US dollar. Gold may seem more attractive and it probably is but its a very limited commodity and you're not going to see it become the world's reserve currency because of the very thing that makes it valuable - its limited quan y.

No other currency is even close to being the world's reserve currency. The euro got pounded harder than the dollar this past fall.

[MannyIsGod]

Not to mention that if you ever want some of those trade deficits lowered appreciation of other currencies against the dollar is a damn good thing.