>>>>>Don't worry, we are not going to default on our debts. As I said, this is an annual pageant. Every year it comes up and every year the ceiling is raised, no matter which party is in charge. It will be raised again this year. It's a perfect opportunity for politicians to puff out their chests and posture, knowing it's just empty words.
>>>>
>>>>not in the next 6 years, in that time span some european countries will probably try to default partially.
>>>>But when the $ is less important than the yuan/renmimbi, something like that becomes more probable.
>>>>
>>>>But honestly: öetting politicians run up deficits to ever greater parts of the GNP is mathemetically certain to cause a meltdown.
>>>>So how to keep them from spending non-existant money ?
>>>
>>>Japans' deficit is over 200% for years now, but all that got meltdown are a few nuclear reactors :)
>>>
>>>Walter,
>>
>>Doesn't have the same impact on the world's economy:
>>http://curiouscapitalist.blogs.time.com/2011/04/19/what-america%E2%80%99s-debt-problem-means-for-the-global-economy/
>
>Isn't Japans debt mostly held by the Japanese who are great savers.
>
>Unlike everyone else which is held by the Bundesbank :-)

China mostly owns the U.S. debt...