And military action won't be able to fix this one.
Is it Al-Queda? No.
Is it the BP oil spill? No.
Is it unemployment? Not exactly.
Is it China? Not precisely.
Is it Glenn Beck, Sean Hannity, Bill O'Reily or Rush Limbaugh? Not even close.
So what is it?
It's money. Or more precisely, our lack of it. It's our national debt. Which now stands at 13.3 trillion.
Now before you call me a deficit hawk and click away to next diary, please hear me out. I am not a deficit hawk. I recognize the need to spend money to keep America from crashing. What I am pointing out is what is going on.
This last week, Michael Mullen, head of the joint chiefs of staff chairman, has now proclaimed our top national security threat is the US debt. Not AlQueda. Not the Taliban. Our debt.
I know we have many problems to address. But I am afraid time is running out to fix this problem. Remember, the US dollar is not backed by gold. It's backed by 'faith'. And the faith of the rest of the world is rapidly fading.
Some additional signs that have cropped up this week:
-
For every dollar we collect in taxes, we are creating a new dollar of debt.
-
Citigroup warns that any more quantative easing (printing money) by the federal reserve, will cause the dollar to enter hyperinflation.
-
Morgan Stanley takes it one step further and says there WILL be default:
-
U.S. Postal Service Starts Quoting SDR to Dollar Conversion Rates
SDR stands for Special Drawing Rights, and it is an invention of the IMF.
-
Banks are now settling transactions in RMB (Reminbi - Chinese currency)
Hyperinflation is now something that can no longer be ignored.
We are rapidly losing our place in the world, and although this diary is pessimistic, this IS an issue. Please discuss this with your senators and congressmen before the midterm elections. This IS the issue we need to address.
Individually, I would suggest that if you can, start purchasing a few extra things a month so you can have a supply if hyperinflation does hit. A couple extra tubes of toothpaste, socks, laundry soap, bags of rice, dried legumes, etc. If there is an event, all retail stores will be cleaned out in a matter of days, as people try to get anything they can for their worthless dollars.
Don't throw things away. If you think you could trade it at a swap meet, it's probably worth holding on to. In a hyper inflationary event, commodities are king.
I don't want to live in this world:
I want to live in a world where we all can have basic standard of living, modest health care, hope, security in old age, and something to leave for the next generation.
I don't have a photo of that. But I do have a picture in my mind.
Please talk to your representatives.