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Old 11-07-2008, 09:14 AM   #21
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The United States is "too big to fail".

Right, everybody?
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Not as long as we cling to our guns and religion...
Uh, oh :confused: - I have no religion - is there something else I can cling to instead? I have a copy of the complete works of Thomas Jefferson - will that do? How about if I go out & buy twice as many guns as I have now?
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Old 11-07-2008, 09:15 AM   #22
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.......my fear is that the US could cease to be able to meet its debt obligations......
Didn't this happen several trillion dollars ago?
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Old 11-07-2008, 09:25 AM   #23
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2/3 of the national debt is for SS and between government agencies. only a small portion is public debt. when the banks and AIG repay the stock interest and the government sells the stock it owns we'll repay close to a trillion of the debt. for the rest we just cut SS and medicare costs to control it
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Old 11-07-2008, 12:09 PM   #24
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for the rest we just cut SS and medicare costs to control it
Try it.

Ha
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Old 11-07-2008, 12:29 PM   #25
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If you really believe the US might default, I would suggest CDS on US Treasuries.
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Old 11-07-2008, 03:47 PM   #26
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While I can imagine a situation where the US become a dead beat borrower. I think it would take the form of some creative loan restructuring rather than outright bankruptcy. For example if you owned a 30 year T bond, rather than give you money. The government would let/force you to exchange this for enhanced future social security payments. Thus partially cushioning the blow. Of course this does the Chinese government very little good
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Old 11-12-2008, 02:12 PM   #27
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Still think I'm nuts?

US May Lose Its 'AAA' Rating - General * Europe * News * Story - CNBC.com
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Old 11-12-2008, 02:28 PM   #28
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This is just one person's opinion on the usual CNBC Scaremongering Circuit. The headline makes it sound like there's some official "bond rating service" for the federal government considering a cut in the bond rating.

Irresponsible journalism, IMO -- doubly so because it just adds more to the panic and the FUD out there, and more FUD is the last thing this economy and these markets need.
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Old 11-12-2008, 04:14 PM   #29
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in answer to the question, i'd suggest 50% in b3av3r ch33s3 and 50% in bangladesh waterfront realestate.
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Old 11-12-2008, 06:36 PM   #30
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If the USA loses it's AAA rating, then Europe and the rest of the world will too. For goodness sake, even the Swiss banks have developed some difficulties.
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Old 11-12-2008, 06:52 PM   #31
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With the continued bloating of the national debt, talk of another bailout bill/stimulus package, a new administration coming in with many promised new programs, my fear is that the US could cease to be able to meet its debt obligations and go bankrupt in the next decade.
Any thoughts on an investment portfolio designed to protect yourself in case such an event happens?
now here's a cheerful thread.
i'll go 100% hypothetical...if the US went bankrupt, then current financial instruments don't mean squat. currency becomes meaningless. banking system closes down.
so it's back to the basics...food taking priority. i would invest in some seeds, fertilizer, and a tractor + equipment so i can till my lawn and grow my own food. i would barter my crops and possessions for ammunition so i can learn to shoot and hunt the wild critters that abound here. i would teach myself some basic trade so i can barter for other people's production items.
sound screwy? maybe...but think about what people did before the market existed? they traded in basic commodities.
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Old 03-13-2009, 02:58 PM   #32
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Yet another log on the fire

China 'worried' about US Treasury holdings
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Old 03-13-2009, 05:14 PM   #33
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Yet another log on the fire

China 'worried' about US Treasury holdings

I don't think China is being crazy. I'll repost this link to Harvard study about countries defaulting on debt. Page 10 gives a (partial) list of countries, I think it is worth noting that the countries that have never defaulted on debt (e.g. US, Canada, Belgium, Norway) are out numbered by the countries (e.g. Germany, Japan, China, Russia, France, India) that have defaulted by a wide margin.

When Newfoundland defaulted Canada took over the province, so perhaps China will take over .

Cheery thought I know but the market was up 10% this week, no reason not inject more fear.
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Old 03-13-2009, 05:38 PM   #34
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LOL you're kidding right? If The USA goesbankrupt? Best pack your Bags and go allthe way to China.. for all and any other countries will bein shambles as well..
China , China Won't befar behind depending on the USA,but None the Less..

Nothing /noInvestment , especially Ins.Annuities or anything else will be worth the paper they're printed on and only Gold will buy you toilet paper..

BTW > Insurance Co.'s are asking for a Bail out now..
They made be insured, but who's Re-InSuring them?
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Old 03-13-2009, 05:53 PM   #35
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US is not going bankrupt. It's the dollar that's going to be under attack. I realy believe this. All my equities dollars are going into international funds. IMHO there is just less risk outside the US, than inside.
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Old 03-13-2009, 06:56 PM   #36
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only Gold will buy you toilet paper..
In this scenario, TP will buy you just about anything as well - through barter. Skip the gold, go straight for the TP It is more "divisible" than gold
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Old 03-13-2009, 07:02 PM   #37
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In this scenario, TP will buy you just about anything as well - through barter. Skip the gold, go straight for the TP It is more "divisible" than gold
Okay I'll trade ya
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Old 03-13-2009, 07:14 PM   #38
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As heard from a well-respected Swiss banker on Swiss TV a few months ago:

"If the US goes bankrupt, there will be nowhere to hide"...
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Old 03-13-2009, 08:57 PM   #39
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You guys are crazy!! I'm sick of these tin-foil hat theories!!!
The mainstream is that we came just 3 hours from this scenario, and we're not out of the woods yet. Revealed: The day the banks were just three hours from collapse | Mail Online I would argue that it is tinfoil to believe and trust in the otherwise (that this would never happen to the USA).

Edit: that was an UK link. USA was no less safe: http://www.tribbleagency.com/?p=4166
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Old 03-14-2009, 09:35 AM   #40
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You guys are crazy!! I'm sick of these tin-foil hat theories!!!
Ladelfina is having a bit of fun with the board... Nice to hear from you again, Ladelfina. It seems that you no longer have a desire to put a lot of energy into in-depth economic discussions on this board. From the quality of your past posts, I'd guess it's because you decided you had better ways to spend your time. Good job maintaining your humor.

Tom
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