The Obama Administration is spending our money at unprecedented levels and it is projected to continue for years into the future. Our annual federal deficit is approaching $1.5 trillion and will probably hit $2 trillion before long. Our national debt is projected to go from $14 trillion now to $25 trillion in five to eight years.
As of Nov. 30, 2010 the following are the top 10 countries holding U.S. Treasury Securities in billions of dollars:
1) Communist China $896
2) Japan 877
3) United Kingdom 512
4) Oil Exporters, including Venezuela and Middle East countries 210
5) Brazil 184
6) Caribbean Countries 146
7) Hong Kong 139
8) Canada 135
9) Taiwan 131
10) Russia 123
We are indebted to some countries who are potential adversaries and might be unfriendly to us in the future. They could decrease their purchases of U.S. Treasury Securities, which would increase interest rates; or they could sell their U.S. Securities, which would hurt the dollar and significantly increase inflation.
The U.S. Administration and Congress have to reign in our current spending spree and reduce our deficits and the money we owe to foreign countries.
Harold Myerson, editor-at-large of American Prospect and the L.A. Weekly in his article “Think bigger, Mr. President” has it right. He stated “We need to either raise tariffs on unfair foreign competition or reduce taxes on companies that keep, bring or create jobs at home.”
Donald A. Moskowitz
Londonderry, NH
