Howmuch debt do we owe China? I hear it is in the Trillions...?

Question

Seriously, I need references if possible.

Answer 1

The national debt stands at 8.8 trillion.

Foreign governments hold about 2.2 trillion of that.

Japan holds the most, 615 billion.

China is #2 at 407 billion. About 5% of the outstanding debt obligations of the US government.

Of course, China - it's goverment, businesses, and individuals - also hold private debt of US businesses and investors.


It's no coincidence that the two countries who hold the most of our public debt are also two countries that we run major trade deficits with. Japan and China both have a policy of keeping thier currencies pegged to the dollar, to keep the costs of thier exports stable (and, in the case of China, unrealistically low) - that leaves thier central banks to holding large reserves of US$-denominated securities. If they were to start selling those securities, the dollar would drop relative to thier currencies, raising the prices of thier exports to the US, giving other countries - like S.Korea, Taiwan, Mexico, Vietnam, and so forth - the opportunity to take US trade away from them.

Answer 2

The U.S. doesn't want China to buy our debt. China only buys our debt to devalue ITS currency. Devaluing ITS currency causes an extremely large trade deficit. That trade deficit sends hundreds of billions of dollars into China's banks. That money is being used by to China to rapidly expand its military. Instead of China paying off its own foreign debt ($150 billion), China uses money generated by the trade deficit to buy our debt which creates an even larger trade deficit.

Most of the modern stuff in the world was invented by Americans. And, most Asian countries survive by making copies of U.S. inventions. (China and India both devalue their currency to make their products look less expensive than American products. Japan also devalued its currency in the 1980's.)

American inventions: Plasma tv, electronic tv, lcd screens, cellphone, DVD and CD's (optical recording), computer chips, personal computers, laptop computers, digital audio players, microwave ovens, digital camera, laser printers, inkjet printers, computer hard drives,

Answer 3

They have dollar-denominated assets over one trillion dollars. They actually use whatever Euros and Yen they get to buy MORE dollar denominated assets. Its a double-edged sword - we owe them, but the fact that they buy so much of our debt keeps the value of the dollar from completely falling off the cliff.

Answer 4

If we collected on all our loans to other countries we could pay the national debt 3 times over.

Answer 5

He makes some cuts to assert "seem what I did" and then will strengthen spending without barriers. he's almost a criminal with a stolen credit card. Hurry up and spend it rapid formerly you get caught.

Answer 6

Maybe thats why they are trying to poison us with cheap toothpaste