U.S. bankruptcy on the horizon unless…

This article is about how our government has gone mad, and how to fix our financial problems before Washington destroys our nation. Even al-Qaeda and other groups, that hate our foreign policy, want to destroy us and have failed, are thankful that our government is doing it for them.

This will all occur while Washington squabbles about who is sitting in first-class seats, while the nation’s airplane plummets into the ground. The public is sitting way in the back. Don”t worry, they have parachutes. You don’t.

On August 26th, just thirty-seven days ago I wrote an article about our race to bankruptcy. At that time, our national debt continued to rapidly increase.

In those thirty-seven days, it has continued to balloon.

Why does that matter? Because our government has had to borrow that $221 billion to stay afloat! That’s two hundred and twenty one thousand million dollars, in a little over a month! Your individual share of the national debt has increased by $1,311 in a month. In a year, you’ll each owe $13,000 more as your share, without even agreeing to the loan terms. Actually you did agree, as you voted again and again for the incumbents.

At this pace, rather than the previous run rate of about a trillion dollars a year, it’s over doubled to $2.183 trillion, $6 billion a day, $250 million an hour, $4.2 million a minute and over $69,000 a second. Is it any wonder that we’re in trouble?

So what does Washington do? It squabbles, postures, and poses for the press. Why? Because the public likes to point fingers, and so does our (alleged) “leaders.” The Democrat voters point at the Republicans being the cause, and vice versa. So the squabbles go on.

Our naive, posturing president, who knows not what he is doing is squabbling with the preening Republicans. Both sides are more interested in getting publicity for future races than solving problems.

The Democrats are in lock step with their “leadership,” as if Lemmings ordered to march off the cliff. They will, as long as they can keep their faces in the public trough for as long as possible. The longer at the trough, the bigger the pension and chance to make deals with special interest groups.

It’s as though our national financial engine is seizing up for lack of oil. Rather than putting oil in the engine, our government is pressing harder on the borrowing and benefits gas pedal. Eventually the engine will seize up completely and our nation will be ruined. I give us five years of simmering chaos while our economy turns brittle… and then breaks. Our goose will be cooked.

In a few weeks, while our government’s theatrical shutdown is squabbled about by Congressional children pointing fingers at each other, we’ll hit the national debt ceiling. Again. Debt is our government’s heroin. They can’t get enough.

That will be a cause for another squabble, but eventual authorization increase. That increase, presupposes that China and other creditors will keep buying our Treasury securities. They will, for a while, but eventually they’ll demand higher interest rates and we’ll be forced to offer them.

Even the Federal Reserve will start to increase its quantitative easing purchases (in spite of the silly announcements that it’s about to reduce them) in a desperate effort to hold down interest rates and stop our financial destruction. It will not work.

Their balance sheet is piled unbelievably high with debt, and they’ll go under as well. It’s like a pressure cooker that’s about to explode; you can prevent it for just so long and then… bang! We’re hurtling towards the “bang.”

If you want a good scare, read this PDF. You’ll have no trouble staying awake at night.

That will be the beginning of the end. Our currency will fall in value as our cost of debt service will soar; inflation will start to accelerate and they’ll be talk of ending the dollar’s supremacy as the global reserve currency. The Chinese will be next in line, having defeated us without firing a shot. They’ll be celebrations in Beijing, Pyongyang and the Middle East.

If our currency fails, it’s our government’s fault that our nation will fail with it. It doesn’t have to. Our days of being the global policeman and superpower will end. We’ll be done, and China will take over.

You’ll be eating Mac & Cheese as a special treat wondering where you’ll live, once your worthless house is repossessed as you’ve lost your job. You’ll be thinking how life was great during our current recession starting in 2007.

The key points to fixing our problems are –

1   Reduce corporate tax rates to zero to make the United States a tax haven. That will flood our country with new jobs, which will help grow us out of our deepening mess. We must increase manufacturing here, not in Asia.

2  Block or slow down as many government give-away programs as possible, to reduce or stop the rate of spending increases.

3  Stop the massive overspending by removing sitting politicians. How? It’s not with a Term Limits Amendment; it’s by voiding congressional pensions if they don’t quit after eight (House) or twelve years (Senate). They’ll quit in droves so they can suck as much money out of the system as possible, by keeping their fat pensions.

A few terms is more than enough at the public trough. We need new blood and sane people in Congress, not the old hacks beholding to special interests.

We have to sound the alarm. It’s not too late.

It will be soon.