The countries in the AAA debt club

Amid the contentious debt ceiling debate, the United States is at risk of being booted out of a prestigious group of 17 countries that boast a spotless credit rating. Triple-A rating enables nations to borrow funds at a low cost, because their governments are considered stable and their bonds safe. Germany, Canada, France, Norway, Sweden, […]

Social and civil unrest coming to the US?

Unfortunately, the American economy has two predators. Number one is the banking sector; they are a third to 50 percent of the economy, depending on how you calculate. They do nothing to add anything to the economy, they are leeching money from the economy. Then you have the Pentagon which is fighting yesterday’s war, funding […]

Solving the Debt Crisis is Easy

As one who teaches Economics 101 and, as a professor and international consultant who makes a career out of giving macroeconomic advice to other countries, I find the current impasse in the United States both appalling in its potential risks and frustrating in the simplicity of the solutions that are hardly even talked about. The […]

The United States Defaulted Long Ago

The mainstream media acts as if not raising the debt ceiling by August 2nd will result in America defaulting. This is a crock. America chose to proceed on a path to default decades ago. We are just finally reaching our destination. Below are the choices we made as a people and a country to default […]

Downgrade of the US AAA credit rating

A downgrade of the United States’ stellar AAA credit rating seems likely. The White House had been alerted repeatedly over the past month by rating agencies that without a strong, long-term plan to restructure the country’s debt, they would lower America’s credit rating as soon as today, according to two officials familiar with the process. […]

US funding of the Afghan Taliban

A year-long military-led investigation has concluded that U.S. taxpayer money has been indirectly funneled to the Taliban under a $2.16 billion transportation contract that the United States has funded in part to promote Afghan businesses. The unreleased investigation provides seemingly definitive evidence that corruption puts U.S. transportation money into enemy hands, a finding consistent with […]

IMF warns US debt ceiling delay will damage world economies

The International Monetary Fund urged the United States to swiftly raise the debt ceiling to ward off risks of a credit downgrade that could damage the global economy. Facing an August 2 deadline after which the United States may not be able to issue more debt, both sides have so far refused to compromise on […]

10 sad facts on the financial condition of American families

The financial condition of average American families continues to decline. #1 Only 58 percent of Americans have a job right now. #2 Only 56 percent of Americans are currently covered by employer-provided health insurance. #3 The median yearly wage in the United States is $26,261. #4 The average American household is carrying $75,600 in debt. […]

The US will default because the debt is unsustainable

“The US will default because the debt is unsustainable.” So says Rep. Ron Paul (R-TX) on the House floor: “When a country is indebted to the degree that we’re indebted, the country always defaults. We will default because the debt is unsustainable.”

Americans own most of US government debt, not China

Many people — politicians and pundits alike — prattle on that China and, to a lesser extent Japan, own most of America’s $14.3 trillion in government debt. But it’s really Americans who hold most of America’s debt. Here’s a quick and fascinating breakdown by total amount held and percentage of total U.S. debt, according to […]