Going bankrupt: The US's greatest threat. Asia Times Online

[go west young man]

There are three broad aspects to our debt crisis. First, in the current fiscal year (2008) we are spending insane amounts of money on "defense" projects that bear no relationship to the national security of the United States. Simultaneously, we are keeping the income tax burdens on the richest segments of the American population at strikingly low levels.

Second, we continue to believe that we can compensate for the accelerating erosion of our manufacturing base and our loss of jobs to foreign countries through massive military expenditures - so-called "military Keynesianism", which I discuss in detail in my book Nemesis: The Last Days of the American Republic. By military Keynesianism, I mean the mistaken belief that public policies focused on frequent wars, huge expenditures on weapons and munitions, and large standing armies can indefinitely sustain a wealthy capitalist economy. The opposite is actually true.

Third, in our devotion to militarism (despite our limited resources), we are failing to invest in our social infrastructure and other requirements for the long-term health of our country. These are what economists call "opportunity costs", things not done because we spent our money on something else. Our public education system has deteriorated alarmingly. We have failed to provide health care to all our citizens and neglected our responsibilities as the world's number one polluter. Most important, we have lost our competitiveness as a manufacturer for civilian needs - an infinitely more efficient use of scarce resources than arms manufacturing. http://www.atimes.com/atimes/Middle_East/JA24Ak04.html

[izquierdista]

1. Excellent article!

The part about the hollowing out of the American Economy has great personal relevance to me. For a long time, I couldn't understand why all the job offers, why all the activity, was in the defense industry. Surely there had to be research being done independent of the military-industrial complex!

But just as this article states, I have come to realize that all the scientific and engineering talent in the United States is sopped up by the MIC, never to engage in anything that would overcome disease, reduce poverty, build infrastructure, or counter global warming.

[flashl]

2. Why is there so little expectation of return from an agency that make budget requests

as a percentage of GDP?

Or, never passes an audit?

[formercia]

3. Bankruptcy is the goal

so the boys can lay claim against US assets such as public lands and other federal assets and complete the total privatization and destruction of the US Government.

"Drown it in a bathtub." if you will.

[endarkenment]

4. Disaster Capitalism in action.

They've turned their focus inward and are busy creating the next big disaster right here. 9-11 was the first shock. Katrina was the second: they got a free practice session out of that one. Now they are ready to pull the plug and finish the job.

[WistfulAssassin]

5. That's why we need a democrat

The economy was much better in the 90's.

[Skittles]

7. that is true

too bad you are still a troll

[ursi]

6. Kick and Rank!