Professor Elam

Tuesday Oct 2 2012

 I worked for Ross Perot in 1972-74. He is a most interesting fellow, not just the oddball Presidential candidate that you know him as.

Now Ross suggests  that America is so mired in debt it could be taken over. Now that Ithink about it, this is quite realistic. Mark Steyn in his latest book lays out how it can happen. China is our creditor. Let interest rates on teh $16 T in debt rise back to normal levels and interest cost alone swamps the entire federal budget. Steyn suggests that we will be financing the entire Chinese military with our debt service.

Faced with such a crushing debt burden we would either have to follow China's wishes or default.

Okay pick one, what a choice, but that is where we are headed.