There has been a lot of news lately that’s been slipping by many news organizations, simply because everyone is keeping up with the horrors of Katrina. But I thought this story is just as vital as a sign of how bad things have become.
Not to knock Germany. They are an industrial power house. But how in the hell have theyin terms of exports? And they haven’t just eeked by us. They are charging ahead of us. From the article:
Barely noticed, Germany has overtaken America to become the world’s biggest single exporter, shipping the hardware that powers the rising economies of Asia and eastern Europe. Its trade surplus is now greater than that of China, Japan and India combined, reaching a staggering 16.8 billion euros in June alone. The profits made by German companies are running at over 33 per cent of national income, the highest in 40 years
Actually, the answer is quite obvious. We’ve become a service economy. We don’t make jack shit. We buy all of our stuff from China, and they in turn buy our debt. We are faced with the twin deficits (trade and budget). We’re losing on both fronts people.
The inflation numbers have been so contrived, skewed, and incorrect that they are essentially worthless. 3 percent inflation per year my ass. Look at gas! Look at housing prices! Heck, even to 99 cent menu at my local burger king has shrunk. DAMMIT I WANT MY 99 CENT WHOPPER JUNIOR BACK.
We are on top of a major bubble bursting folks. How long is America going to sit pretty at the top of the food chain while everyone is busting their butts trying to keep up. When the realize that they manufacture everything and we merely hand them dollars that the FED prints up on a whim, we’re toast. Our budget is a joke. Not just because of it’s magnitude, but because we exceed it without thinking twice about it. Everything becomes an emergency that requires us to borrow now “but don’t worry Japan, we’ll pay you back later, we promise!” Tomorrow comes, the new politicians blame the old, and then claim they have to dig us out by spending more now. Ahhh, the vicious cycle. How I miss thee.
The government is out of control. It’s insane to think that they can run a budget deficit that’s “only” 374 billion (and oh, by the way, our liabilities as a nation increased 3.7 trillion in 2004) and they run around like 10 year old kids at a birthday bowling party. They’re singing and dancing about what a great freagin job they did. Hey honey, we only went down 374 billion this year! Imagine if the liberals were in control of congress. We’d be screwed!
Calling the Republicans in congress “conservative” is a flat out lie. Our country is in the hole. Congratulations to Germany though, they are doing a heck of a job.