China is concerned (apparently more so than our own Congress) that the US cannot make good on its debts. They have recently and publicly for the first time, called for a new reserve currency though we already know of numerous direct trade agreements with many other countries eliminating the use of the US dollar. Check this out from Bill Holter at Miles Franklin to see the ramifications of the US losing the privilege of issuing the worlds’ reserve currency.
How will our debt be paid? It won’t be through a miniscule debt reduction over ten years if or when the Senate gets around to passing a budget. It won’t be by lowering the Social Security eligibility age a few years. It won’t be though taxation, no matter how high.
The Boston Globe reports dozens of Chinese companies are putting down roots in Detroit. We don’t have to exchange US debt held by China, Detroit is a fire sale! In addition these Chinese companies are hiring veteran engineers and designers in an effort to soak up the talent and expertise of domestic automakers and their suppliers.
According to Jerome Corsi at World Net Daily, the Bank of China, China’s central bank, continues to advance a plan to convert China’s holdings of U.S. debt into equity owned by China in the U.S. This started in 2009 after our last economic meltdown. Jerome Corsi asks
“Could real estate on American soil owned by China be set up as “development zones” in which the communist nation could establish Chinese-owned businesses and bring in its citizens to the U.S. to work?”
Obviously this plan has gained a lot more urgency on China’s part on day fifteen of the US government shutdown coupled with yet another debt ceiling ‘crisis’ before us. Would Obama sell us down the proverbial river? To get the monkey off our back? The answer is YES! In a heartbeat –in a New York minute, like an inner city tenement house on fire!
Again from Corsi, the Obama administration, under the plan, would grant a financial guarantee as an inducement for China to convert U.S. debt into Chinese direct equity investment. China would take ownership of successful U.S. corporations, potentially profitable infrastructure projects and high-value U.S. real estate.
Our ineffective, dishonest, self-serving leaders in Congress and the White House are setting up a very grim future for America and Americans.
Aloha, Mikie ~just a blogger (fightin’ like a girl)