Sunday, September 28, 2008
Bill Clinton left office with a balanced budget and a fiscal surplus which Bush has turned into a deficit of 11 trillion dollars with his moronic tax refunds and the Iraq war. Now the US government proposes to rescue banks with a bail out of over one trillion dollars. The danger is that the dollar may collapse and inflation jumps in the US. Asian countries are sitting with huge dollar reserves. China has about 2 trillion dollars, Japan has 1.5 trillion and other countries together another trillion. If the dollar collapses all this will become confetti, oil and commodity prices will surge and exports will plummet bringing the entire region into recession. Asian countries should get together and raise a trillion dollars from their reserves and give it to the US on easy terms. This will rescue the US economy and every one can get back to making profits. Unfortunately politicians are small minded people incapable of generosity. They are enjoying US discomfort and may kill the goose with its golden eggs in the process.
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