I want to invest in Ibonds and goverment securities. I wanted to know what would happen say in 30 years when I retire if the US ever defualted on its debts. How would I be compensated if this ever happened or if civil unrest or war ever broke out in the US? If a goverment (any goverment) were to default on its debts then what would happen? I am scared too with the huge deficits the US is carrying right now that will be passed onto our children and that scares me more than terrorism. What would happen in to the goverment and my assets in this case if the US ever defaulted?
2007-02-23 03:49:18 · 7 answers · asked by Anonymous in Politics & Government ➔ Other - Politics & Government
Bush has pushed the deficit off the chart which sure makes national bankruptcy likely after he leaves office. I wouldn't invest in anything government. As long as Bush is in control, the wise money is in oil because he will blow anybody off the map to get it.
2007-02-23 03:53:41 · answer #1 · answered by Anonymous · 1⤊ 2⤋
Relax. The problem is much worse than you think.
If the political and economic climate of the United States is ever such that the government defaults on all its debts, the dollar would not have any value anyway. Almost assuredly, inflation will have run amok, and the value of the dollar will have plummeted. Any assets you have in American banks, government bonds, or even paper currency would be practically worthless. Only items with intrinsic value (metals, gems, etc.) would have value at that point.
So, in reality, you should not hesitate to invest in government bonds anymore than you should hesitate to keep your money in banks. Banks cannot survive without the value of currency any more than the government can.
2007-02-23 11:56:46 · answer #2 · answered by Anonymous · 2⤊ 0⤋
Luckly we have most oil in the world being bought in US dollars (although scarilly some have switched to the euro which makes the dollar less in demand). Also we have many people such as China who have a reserve of american dollars which means its in their best business intirest to keep the dollar strong. When china starts selling its dollars, you start selling yours. And as someone above me said, real estate is the only solid asset that will maintain value no matter what happens to the dollar, and you can farm it.
2007-02-23 12:10:23 · answer #3 · answered by Anonymous · 0⤊ 0⤋
It will happen one day buddy. Enjoy your money NOW. Social Security is defunct. Fiat money makes inflation a tax.
Is there any politician that would run on the Gold Standard.
Nope.. just Ron Paul....
Forget trying to 'save for the future' buy real estate.. live on it.. farm it.. thats about the only REALLY secure future.
2007-02-23 11:52:21 · answer #4 · answered by kent j 3 · 3⤊ 0⤋
If that happened, we would all be effected in the most extreme sort of way. I have always heard that Government Bonds is the safest you can get.
2007-02-23 12:13:11 · answer #5 · answered by Lou 6 · 0⤊ 0⤋
Your bonds would be the least of your worries.Bonds are a good safe investment.
2007-02-23 12:09:49 · answer #6 · answered by Dr. NG 7 · 0⤊ 0⤋
It's the end of the world as we know it...
2007-02-23 14:12:25 · answer #7 · answered by Anonymous · 0⤊ 0⤋