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[INFOGRAPHIC] What Would Happen If The U.S. Went Bankrupt?

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reaver18

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Dec 16, 2005
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Were screwed...

Only option will be for all the countries we owe money to forgive the US debt to keep the global economy from collapsing.
 

Chichikov

Member
Jul 26, 2006
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What does the debt have to do with underemployment, poverty or gas prices?
Also, whoever made this does not understand the US public debt (or more likely, intentionally misleading).

Again, there is no real crisis.
It's manufactured hysteria to create a sense of urgency in order to dismantle our welfare programs.
The Bush tax cuts were designed to starve the beast, and they did.
Now everyone look surprised.
 

Evlar

Banned
Dec 22, 2006
14,387
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reaver18 said:
Were screwed...

Only option will be for all the countries we owe money to forgive the US debt to keep the global economy from collapsing.
That wouldn't help.
 

sangreal

Member
May 19, 2005
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How does the US go bankrupt if its money is denominated in US currency, which it can print?

Oh, I see they just point out the inflation this would cause.

Anyways, most of these numbers seem scary but are unclear. Like 55% have experienced unemployment. So?

While the numbers are large, if you look at things in relative terms things were many times worse during the depression. Our debt load versus GDP isn't historically high either
 

Veidt

Blasphemer who refuses to accept bagged milk as his personal savior
Dec 20, 2008
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Bush really fucked everyone over.

And I don't know how the deficit directly has an impact on the average joe. I'd like to learn though.
 
Feb 26, 2011
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Chichikov said:
What does the debt have to do with underemployment, poverty or gas prices?
Also, whoever made this does not understand the US public debt (or more likely, intentionally misleading).

Again, there is no real crisis.
It's manufactured hysteria to create a sense of urgency in order to dismantle our welfare programs.
The Bush tax cuts were designed to starve the beast, and they did.
Now everyone look surprised.
Yep. Just spend more. Crisis averted.
 

Alpha-Bromega

Member
Dec 24, 2009
3,069
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0
Chichikov said:
What does the debt have to do with underemployment, poverty or gas prices?
Also, whoever made this does not understand the US public debt (or more likely, intentionally misleading).

Again, there is no real crisis.
It's manufactured hysteria to create a sense of urgency in order to dismantle our welfare programs.
The Bush tax cuts were designed to starve the beast, and they did.
Now everyone look surprised.

still doesn't make the very real possibility of the international community no longer funding the dollar any less scary.
 

GillianSeed79

Member
Jan 8, 2009
8,636
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Look at the bright side. It could be kind of fun being a hobo. Riding the rails with one-eyed Pete and his three-legged dog Rusty. Living in hobo camps, eating beans by the fire, drinking cheap wine and The Postman officially becoming a religious text as we all await the second coming of Costner.

Lets here it for the Depression 2.0.
 

Chichikov

Member
Jul 26, 2006
24,764
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Again with the China thing?
Foreigners hold less than half of the US's debt.

Bulbo Urethral Baggins said:
Yep. Just spend more. Crisis averted.
No, but let Bush tax cuts expire, and "crisis" averted.
 

Celsior

Member
Feb 3, 2009
4,611
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People still think the US will default, the other countries will never let that happen. It is also a recession and job growth is always slow coming off a recession, their is nothing new here.
By percent GDP, the US is still in good shape compared to most other countries which what is the driving factor.
 

Alpha-Bromega

Member
Dec 24, 2009
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Chichikov said:
Again with the China thing?
Foreigners hold less than half of the US's debt.
I'm not talking about simply holding, i'm talking about it's use as hard currency. We've been able to go way over our budget since Breton Woods because the world will accept our currency no matter what, but what if they finally stop? they say "hey dudes, this shit is worthless and no printing more of it won't make that any better. good luck!"
 

diddles

Banned
Jan 20, 2011
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Veidt said:
Bush really fucked everyone over.

And I don't know how the deficit directly has an impact on the average joe. I'd like to learn though.
Napoleon really fucked everyone over.

And I don't understand shit about economics or politics. I like to comment in political threads though.
 

Chichikov

Member
Jul 26, 2006
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Alpha-Bromega said:
still doesn't make the very real possibility of the international community no longer funding the dollar any less scary.
Have you look a t-bill yields lately?

(and my post wasn't really directed at you).
 

Alpha-Bromega

Member
Dec 24, 2009
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Chichikov said:
Have you look a t-bill yields lately?

(and my post wasn't really directed at you).
I haven't. What's the implications of their current rate? Can't say I'm knowledgeable on the subject, just a pedestrian understanding.
 

Celsior

Member
Feb 3, 2009
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Chichikov said:
Have you look a t-bill yields lately?

(and my post wasn't really directed at you).
What you expect them to be sky high?
China will buy US debt because they export so much shit to us
 

Chichikov

Member
Jul 26, 2006
24,764
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Alpha-Bromega said:
I haven't. What's the implications of their current rate? Can't say I'm knowledgeable on the subject, just a pedestrian understanding.
(oversimplifying things here a bit)
The rate reflects the level of risk that investors think owning US debt carry.
The more risky the investment, the higher the return investors will demand.
The yield is still very low.
 

HylianTom

Banned
May 3, 2007
21,074
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Loving life in Uptown NOLA.
Jokey comment:
I like how the "food" panel has the visual representations of pizza and burgers. How very American.

Serious/doomy comments:
No easy way out on this one, fellas. No matter whom we elect from here on out, we're in for some "interesting" times. Best start thinking more about how you live, where you live, etc.
 

remnant

Banned
Feb 7, 2011
5,248
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Chichikov said:
Again with the China thing?
Foreigners hold less than half of the US's debt.


No, but let Bush tax cuts expire, and "crisis" averted.
Uh it not really that simple. Even with the bust tax cuts the u.S. brings in a lot of revenue. Letting the bush cuts expire won't bring in a ton of cash. We will still be operating in the red.
 

reilo

learning some important life lessons from magical Negroes
Feb 23, 2007
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Has anyone checked out the links that they use for a source for this infographic? Judging by the URLs alone, they sound like conspiracy websites.
 
Sep 25, 2006
16,332
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riverside, CA
www.youtube.com
reilo said:
Has anyone checked out the links that they use for a source for this infographic? Judging by the URLs alone, they sound like conspiracy websites.
he's probably sourcing those because they aggregate lots of stats there. they are probably nutty sites but that doesn't mean this stuff isn't real. This is the same stuff that Ron Paul says every time he's on TV.
 

Gruco

Banned
Jun 10, 2004
5,250
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My favorite part was where they looked at a bunch of different options and concluded that terrible, horrible things "could" happen from any one of them.

COMPELLING ANALYSIS
 

Pie Lord

Member
Jun 3, 2010
1,075
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I suspect the people who lived through the great depression are laughing at the current economic conditions when compared to what they lived through.
 

XMonkey

lacks enthusiasm.
Jun 10, 2004
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MiniBossBattle said:
Weird, my rich friends have made even more money since 2007.
Par for the course. The rich often get richer in recessions, even without the government on their side.
 

andthebeatgoeson

Junior Member
Jun 7, 2004
23,037
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GillianSeed79 said:
Look at the bright side. It could be kind of fun being a hobo. Riding the rails with one-eyed Pete and his three-legged dog Rusty. Living in hobo camps, eating beans by the fire, drinking cheap wine and The Postman officially becoming a religious text as we all await the second coming of Costner.

Lets here it for the Depression 2.0.
Misleading. Hobo Pete has a friend named Hobo Jim who likes man-rape. Hobo camp doesn't sound like fun, more like a pain in the ass.
 

jamesinclair

Banned
May 13, 2005
26,057
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reilo said:
Has anyone checked out the links that they use for a source for this infographic? Judging by the URLs alone, they sound like conspiracy websites.
the economic collapse blog sounds like a moderate, well balanced website. Right up there with the truth .com
 
Feb 26, 2011
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jay said:
Just post witty retort. Question avoided.
C'mon. Do you really believe that the worry over the massive amount of accumulating debt is nothing but a scare tactic used to cut welfare programs? Have you seen the projected debt numbers In 10 years?
The interest payments alone will be hard to manage.
 

Vox-Pop

Contains Sucralose
Mar 4, 2006
11,377
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bound to happen this century. I'm more interested in what happens after a global recession.
 

Scrow

Still Tagged Accordingly
Jun 6, 2004
16,583
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Australia
Jamesfrom818 said:
Might as well detonate a nuke underneath Yellowstone and trigger the eruption of the supervolcano.
please wait until my parents are back from their holiday over there :/
 
Feb 26, 2011
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Chichikov said:
Again with the China thing?
Foreigners hold less than half of the US's debt.


No, but let Bush tax cuts expire, and "crisis" averted.
Letting Bush tax cuts expire may help things, but unless we have meaningful entitlement reform it wouldnt make much of a difference. I would hope that we can all agree that things can't continue on the current course.
 

Ace Harding

Member
Mar 29, 2009
6,120
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Philadelphia, PA
If you got your data/analysis from blogs, don't even bother sourcing it.

Thing is, you probably could come up with the same gloom and doom scenarios by doing some actual research into credible sources.

Also, America will be fine. Relax. Yeah, we need to fix some things. But we've been through worse.
 

AntoneM

Member
Jun 9, 2004
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Phoenix AZ
You know who get's hurt with inflation? the wealthiest 10% who hold 98.5% of securities owned by Americans. You know who benefits most from inflation? The middle class who hold 70% of their assets in debt. And you wonder why the conversation in DC has shifted from crating jobs to stopping inflation. Table 9, page 51 - http://www.levyinstitute.org/pubs/wp_589.pdf
 
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