>Mark,
>
>>>Almost all of which are "luxury" or "nice-to-have" items not critical to living a good life. The only thing we are truly dependent on for our way of life is oil which is scary enough.
>
>You are also dependent on a huge trade deficit. IMHO your fellow Americans have come to regard a high standard of living as their birthright, with little concern for how it is achieved. IMHO few are willing to live in a smaller home or drive a smaller car or forego the latest TV or stereo or iPod or whatever, just so your nation can reduce its reliance on foreign trade. Even if they did, the resulting economic contraction would cause inventory backup in China and reduced their ability to purchase US bonds, which would drive up your interest rates.
>
>FWIW, while the US maintains a very high standard of living, IMHO (and depending what you care about) the standard of living is superior in parts of France and Switzerland, with the improvements over there progressing at a huge rate.

My arguement is based on what I would do as Prez. There would be such a drastic cut in the Federal budget, shutting down of Departments, Agencies, etc., that there would be no need for the sale of Bonds, the Federal debt would vanish in a few years at worst, the interest rate on the Bonds would plummet. The federal income tax would be reduced to such a level where it would seem like a huge pay raise for everyone. There would be such a reduction in the Federal gov't that there would probably be no need for our Federal income tax. Besides, I also have zero sympathy for those living beyond their means.