Debt, and a boatload of crooked deals on Wall Street, is what brought us to our current financial dilemma.
People have tapped out everything they can on credit cards, home-equity loans and everything else they can get. Some say American business is now at the edge of a similar debt cliff and may soon drop off.
If so, that would largely be a result of consumers who have borrowed to the max and can’t afford to buy anything else.
So, the businesses — auto manufacturers today, who-knows-who tomorrow — are lining up for government bailouts.
And the U.S. government: What’s their limit? My evaluation is, they’ve pretty much maxed out their “credit cards,” too. China and Japan have been Visa and MasterCard for the U.S. government for a long time.
What will the U.S. government do when its credit is cut off, when China and Japan either cannot or will not lend the U.S. government another nickel?
I believe we’re about to find out.