I just spent a few minutes reading some of the comments on ksl.com regarding the collapse of Washington Mutual. I wonder if Americans really understand the extent of the financial disaster we could be facing. To bail out or not to bail out...that is the question, but do we understand the implications of both sides of the issue? Yes, the bail out is a scary proposition...it's an unprecedented move and the outcome is questionable. More concerning to me is that our government doesn't seem to blink at spending money we don't have. The fact that America is so far in debt ($9.4 trillion as of June 26, 2008) doesn't seem to be a concious thought to most people. What happens when those foreign countries that buy up our bonds decide that they will no longer do so, or worse yet, decide that they'd like to cash in? At what point will our government say that we've accumulated enough debt and become concerned with trying to repay it?
I'm not a financial wizard, I'm not a political analyst...just a concerned citizen wondering what's best for America's future, who's willing to make those difficult decisions, and how soon will they act.
Friday, September 26, 2008
Cause for concern
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3 comments:
AMEN! I was just reading some stuff online today and the amounts of money that they're tossing around is unreal. Hundreds of billions. Remember my post about going to the US Mint in Denver? How 1/4 of the nation's gold reserve is kept there and is only 63 billion dollars. That means we only have roughly 250 billion dollars of gold reserve. A pittance compared to what the government is willing to throw into the bailout.
Even though we're fine financially, I've been feeling this general sense of unease in the last few weeks, a desire to be more careful with my money and prepare for troubled times.
My sentiments exactly. Eventhough I live in Canada - we share a global market and what happens to one, happens to all! I'm just as concerned and alarmed at the lack of accountability on the part of those who are holding the 'financial power'. Signs of the times.
This whole thing has gotten so ugly! I'm sure we're not alone in our frustration. Can someone worthy of the challenge please step up? I'm not really feeling warm fuzzies for anyone at the momment.
If the US economy crashes it will have very far reaching reprocussions.
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