What happens when america's debts are called in?

Question

Couldn't all those countries just come in and start running which ever part of the country that they own. Would america still be land of the free? Could we lose our country?

here are my resorces ingnorant fools!

http://www.marsanomalyresearch.com/general-directories/commentary/09/the-USA-debt.htm
http://www.brillig.com/debt_clock/

wwww.ustreas.gov/tic/mfh.txt

Answer 1

george doesn't answer the phone or says to them "you have the wrong number.

Answer 2

Won't happen, and it's a ridiculous scenario.

Look at it this way. Say a bank decided to one day call in all its loans, which account for, say, 70% of its assets. On that day, 85% of the borrowers say they cannot pay the loan, and default on them. All of a sudden, the bank just lost 60% of its assets. Guess what? It will itself go into default.

That's how it works. Any country holding any significant percentage of US debt would itself be hard hit. Then add to that the fact that most other nations prosper because of the US markets, then their economies would also fail.

As a sovereign nation, we do not have any obligation to honor those debts if called in. We'd not have to give up anything or lose anything.

But the result would be global chaos and misery.

Answer 3

The risk is spread out over many different types of investments so a "run" on American debt is unlikely. The truth is that foreign investors know that American debts are very solid and covered by a lot of scrutiny. Some countries have so much fraud and risk that ours looks very attractive.

I would not worry about the issue you raised. The world is shrinking and becoming a more global economy. This follows that and America is still a great place to park your investments.

Answer 4

An excellent question, Jen. The government will start confiscating the property of their political opponents (this is exactly what happened in the Middle Ages when you had a King like GWB, someone who spent money like a drunken sailor), if not everyone's property. It might be wise to consider buying property in Canada or some other country that actually has the will power (or brain power) to NOT spend more than it brings in.

Answer 5

They wont, China isn't stupid they decide for his or her economy to strengthen and to be certain that that to happen they choose the US. approximately 60% of China's economy is production and the regular public of their strengthen is likewise in production. We as human beings force that strengthen as clientele and if China have been to call in our debt and crash the US economy they might crash their own as nicely using fact no person might have the money to purchase their stuff. With chinese language production flowers ultimate there'll be shortages of difficulty-loose products and the international will plunge into chaos etc.

Answer 6

You seems to miss the simple fact that we are owed more than we owe. We don't lose the country until the American spirit dies. And that ain't happened yet.

Answer 7

Try to keep up, We are in debt to China.

Iraq is in Debt to US.

China uses Iraqi Oil, we do not!

Iraq helps to settle our debt with their Oil!


BTW, did it ever occur to you how much Camp Pendelton in So. California is worth?

I would say it is more than most people would ever be able to count to!-Counting by THOUSANDS!

Answer 8

It's all play money.we can always change the rules,and do ,it's only paper.We don't make anything a few planes ,a few cars,soon not even that.the only things of real value are guns ,bullets,a little gold.water,some food.

Answer 9

No, a lot of the deficit is money owed to us by other countries too.

Answer 10

EDUCATING IDIOTS

There is no foreign debt owed to other countries. It's the other way around. The only debt is owed to the U.S. government itself. What in God's name are you talking about?

Answer 11

If they call it in the house of cards collapses. They loose just as bad. So the illusion goes on!