The funny thing about the US economy is that if we treated it like it were a teenager, we’d have taken away it’s credit cards decades ago!
Think about it. This whole issue with Financial Cliffs and Debt Ceilings is because we all decided that it’s much easier to borrow lots of cash, spend lots of cash, and not really pay the bills. To the tune of trillions of dollars. That was essentially what that ceiling was supposed to be, but whatever, we just raised the credit limit and put the whole thing off for a little while more. No worries. We’ll let the next generation deal with it. Sorry kids, not our problem!
In all fairness, some debt is good. Well… that’s what my finance and economics teachers always said. Personally, I’d rather only buy something if I new I could pay for it… But what do I know? Honestly, I wouldn’t mind paying a bit more taxes for a few years if it meant that it would be spent to kill off the debt in like a decade. Then, of course, NEVER let it get that bad again! Wishful thinking, I know, but what can ya do?
So, who out there is getting kinda worried about the state of affairs here? Any thoughts on how we could go about fixing things?