Post from greshambouma at CHUM.LY

The federal government can’t tax us enough to maintain the size and scope of our current system, so it must instead borrow and print. Over the next several quarters it plans on financing almost all of our deficit spending with the printing approach (800 Billion in total QE). When that is over, will China continue to finance our profligacy? And if so at what interest rate? If interest rates go to even 5%, which is very low considering what the Fed is doing, interest on 14 Trillion would be around 700 Billion annually. With tax revenue around 2.1 Trillion, just the interest on our debt would take over 30% of annual federal tax receipts. If someone sees an easy way out of this, I would love to be enlightened. Until then I won’t join the rest of America in this la-la land where you don’t even add 2+2 anymore; where there are no moral hazards; where the god of government can’t fall on its face; where 42 Million people continue to happily cash in their food stamps; where unemployment payments are extended into eternity; where everyone and everything depends on a corrupt maze of bureaucracies; where Soros, the big mover and shaker behind the left, stands to make billions again from the destruction of yet another currency… http://chum.ly/n/4733f2